ECONOMY

S&P upgrades rating outlook for Mytilineos

sp-upgrades-rating-outlook-for-mytilineos

Standard & Poor’s on Wednesday upgraded Mytilineos’ credit outlook to positive from stable, citing the successful management of the crisis, the group’s development and its strategy of diversified activities.

In an announcement, the credit rating agency said this positive outlook creates the conditions for a possible upgrade in the next 12 months and confirmed the group’s BB- rating.

S&P expects a significant increase in profitability with operating profits (EBITDA) projected at 350 million euros in 2021 and at €500-550 million in 2022, up from a previous estimate of €340-360 million. In 2020, EBITDA was €315 million.

S&P underlined the forthcoming launch of a new natural gas unit in 2022, which combined with a stabilization of energy prices and the contribution from the company’s investments are expected to support an increase in operating profitability.