India-based credit ratings agency CARE Ratings has announced that it has affirmed its long-term “AA-“ credit rating for Indian steelmaker JSW Steel, with a stable outlook.
CARE stated that the ratings continue to derive strength from JSW Steel’s significant presence in the Indian steel industry, the strong track record of its management in project execution and cost management expertise, and its wide product offering with focus on enriching product mix. Further, the affirmation of the company’s credit ratings also takes into account the completion of expansion of annual crude steel capacity from 14.3 million mt to 18 million mt, the ramp-up of operations in backward integration facilities and diversification of iron ore supply sources. The rating also considers the improvement in operational and financial performance during the first nine months of the financial year 2016-17 compared to the same period of the previous financial year, on the back of an improving industry scenario.