JAKARTA. Pemeringkat Efek Indonesia (Pefindo), a local company and security rating agency, has officially upgraded the rating of PT AKR Corporindo Tbk (AKRA) and its Shelf-Registration Bonds I from “idAA-“ to “idAA.”

According to the official statement received by IDNFinancials, Pefindo also revised the outlook of AKRA’s rating to “stable.” Initially, the outlook of this fuel distributor was at the “positive” level.

“The advanced rating reflects AKRA’s sustainable financial improvement, which is supported by its increased EBITDA due to high demands for fuel and basic chemical ingredients that will continue to remain solid within the short and medium term,” Pefindo added in the official statement.

Furthermore, Pefindo also mentioned that this rapid shift in the industrial zone business line will provide good support for AKRA’s business and finance. “Generating recurring income may offset the volatility of the revenue coming from the distribution segment,” Pefindo further explained.

Pefindo is also open to the possibility of boosting AKRA’s rating should the company raise its business profile and expand its market share. On the contrary, Pefindo may also demote the rating again once the revenue and EBITDA of AKRA fell below the target.

Until September 30, 2022, AKRA recorded total assets of IDR 26.67 trillion. The company’s net profit was reported at IDR 1.56 trillion at the end of said period, while the debt-to-equity ratio clocked up to 1. (KR/ZH)