• Tuesday, April 23, 2024
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DataPro upgrades BUA Cement Plc rating to “AA”

EFCC did not visit our office – BUA

DataPro, the Technology-Driven Credit Rating Agency (CRA) has in its latest report upgraded BUA Cement Plc long-term rating from “AA-” to “AA” with a Stable Outlook for the year 2021/2022.

The “AA” indicates Lower Risk. It shows excellent Financial Strength, Operating Performance and Business Profile when compared to the standard established by DataPro.

“This Company, in our opinion, has a very strong ability to meet its ongoing obligations. The DataPro Rating Committee approved the Rating after assessment of the Company’s Financial Performance, Corporate Governance & Risk Management, Regulatory Environment and Future Outlook of its current healthy profile in the medium to long term period,” DataPro said.

The Company’s Revenue for the year ended 2021 increased by 23%. This is supported by the increase in sales volume resulting from enhancement in production capacity during the period.

Read also: GTCO: Market focuses on sustained dividend payout as ‘Buy’ rating is maintained

The Production Enhancement features additional 3mmtpa to its existing installed capacity.

Other major Rating considerations of BUA Cement Plc include the Company’s Good Funding, Low Exposure to Credit Risk and Experienced Management Team.

BUA Cement Plc had a Short-Term Rating of “A1” which indicates Good Credit Quality and satisfactory capacity for timely payment of financial commitments.

DataPro notes that the Rating carries a maximum shelf life of 12 calendar months, in line with International Best Practice.