Press Release

VIS Maintains Ratings of International Steels Limited

Karachi, March 12, 2021: VIS Credit Rating Company Limited has maintained the entity ratings of ‘A+/A-1’ (Single A Plus/A-One) assigned to International Steels Limited (ISL). The long term rating signifies good credit quality with adequate protection factors. Risk may vary slightly from time to time because of economic conditions. Short term rating of ‘A-1’ depicts high certainty of timely payment where liquidity factors are excellent and supported by good fundamental protection and minor risk factors. Previous rating action was announced on October 20, 2020.

ISL was placed on a ‘Rating Watch - Negative’ in October 2020 on account of the cash flow coverage indicators sliding below the threshold for the assigned rating. However, the increased steel demand witnessed in H1’FY21, has translated in significant improvement in turnover and profitability, while debt has been notably reduced, translating in much better cash flow coverage indicators. In view of the same, the outlook has been revised to ‘Stable’.

For further information on this rating announcement, please contact Mr. Javed Callea (Ext: 201) or Mr. Arsal Ayub (Ext: 215) at 021-35311861-71 or fax to 021-35311872-3.



Faryal Ahmed Faheem
Deputy CEO

Applicable Rating Criteria: Industrial Corporates (May 2019)
https://www.vis.com.pk/kc-meth.aspx

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