On June 14, the internationally renowned rating agency S&P Global upgraded the credit rating of China Resources Gas from BBB+ to A- in a report, giving the company a stable outlook. This was a second upgrading for CR Gas by a major rating agency in this year. The first was given by Moody’s in March.
According to the S&P Global report, the solid growth of CR Gas in the past years, stable returns over a ten-year period since its listing and a strong tradition of strict control over capital expenses will promise continued steady growth in the future. The vibrant cash flow generated by a robust business performance will provide props for the company to carry out M&A transactions and enhance dividend payout ratios. The Company has maintained good relationships with commercial banks and won wide recognition within the capital market, which will further reduce its debt level, thereby keeping up a strong financial record.
S&P Global first rated CR Gas at BBB- in 2011, which was later upgraded to BBB in 2012 and BBB+ in 2015. Seven years later, the rating was lifted to A-, which is not only the highest given by S&P Global to China Resources companies, but also to China’s gas companies. The succession of credit rating lifts by various international rating agencies represents a high affirmation of the Company’s extraordinary operational control ability and robust financial performance.