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IBI-Rating has affirmed the credit rating of the bonds of «Roztotske» LLC

03.07.2017
IBI-Rating informs on the affirming of the long-term credit rating of the registered interest-bearing naked A Series bonds of «Roztotske» LLC (the issue amount is UAH 430 mln., with redemption in August 2019 ) at uaBBB- grade with a «negative» outlook.

The activity of «Roztotske» LLC, as well as that of other domestic agricultural enterprises, is highly sensitive to the impact of natural and climatic conditions. Also, the seasonality of the Issuer's activity leading to fluctuations in its working capital, should be noted.

The net income of «Roztotske» LLC for 2016 decreased to UAH 145.7 mln., against UAH 388.2 mln. for the previous year. The activity remained profitable, however, the profit volume declined significantly and amounted to UAH 4.5 mln., while in 2015 it was UAH 73.4 mln. In the 1st Q of 2017, net income continued to decline, and the net result was a net loss amounted to UAH 1.9 mln. The decreased financial results, as well as decline in the information openness of the Issuer have caused the review of the outlook of the credit rating of bonds.

The debt of «Roztotske» LLC is formed solely by obligations on interest-bearing bonds of A Series, the volume of which as a result of partial redemption was reduced to amount UAH 49.9 mln. as of March 31, 2017. Debt obligations are accounted for as part of long-term obligations, while the terms of the issue provide for the possibility of presenting bonds for early redemption.

In order to conduct the analytical research the materials provided by «Roztotske» LLC have been used, including: the annual financial statements for 2014-2016 and 3 months of 2017 , information on the issue of A Series bonds, other necessary internal information, as well as the information from the public sources, which the Rating agency considers credible.

Corporate department
For more information please contact:
Press service of IBI-Rating
(044) 362-90-84
press(at)ibi.com.ua