SHUAA Capital today announced that Moody’s has affirmed its B1 long-term foreign and domestic currency issuer rating and upgraded the outlook to stable from negative.
The affirmation reflects SHUAA’s progress over recent years and the successful implementation of a range of cost cutting measures and restructuring initiatives to improve liquidity levels. The upgrade to stable outlook also reflects SHUAA’s recovering profitability and efficiency, according to a statement issued by Moody’s.
“We see this as an acknowledgement that SHUAA has indeed reached a new level of stability following a period of restructuring and volatility,” commented SHUAA’s Executive Chairman, HH Sheikh Maktoum Hasher al Maktoum. “The Company has successfully executed on a number of turnaround initiatives and the market is starting to recognize their tangible outcomes. We are encouraged and confident that we will continue to be able to report progress, in line with our strategic direction and earnings guidance.”
SHUAA reported a profit of AED 3.62 million in the third quarter of 2013, representing the Company’s second consecutive quarterly profit since the financial crisis. As part of its restructuring and rightsizing program launched in 2011, SHUAA has taken decisive steps to improve earnings by strengthening its balance sheet, increasing liquidity and exiting non-core businesses.
Source: Press Release
