S&P: Lindley view to stable

Standard & Poor’s said it revised the outlook on Corporacion Lindley SA’s to stable from negative.

The agency also said it affirmed the company’s corporate credit rating at BB+.

The outlook revision reflects a view that Lindley has successfully improved its profitability and credit metrics since the last quarter of 2014, S&P said.

Such improvements in operating performance stem from continued sales growth, primarily driven by both volume and price increases due to Peru’s improved economy and higher consumption during that period, the agency said.

Improvement in various operating efficiencies, lower raw material prices and reductions in operating expenses also contributed to the company’s better profitability and credit metrics, S&P said.

These reductions allowed the company to meet expectations in terms of profitability and credit metrics, with EBITDA margins trending toward 20% and debt-to-EBITDA at less than 4x, the agency said.

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