Fitch affirms Bharat Heavy Electricals

Fitch Ratings said it affirmed Bharat Heavy Electricals Ltd.'s national long-term rating at AAA(ind), along with its Rs. 494 billion non-fund based working capital limits, enhanced from Rs. 400 billion, at AAA(ind)/F1+(ind) and Rs. 6 billion fund-based working capital limits, enhanced from Rs. 1 billion, at AAA(ind).

The outlook is stable.

The ratings reflect its leadership position in the Indian power equipment segment, Fitch said, strong financial position and high visibility of revenues in the medium-term.

The agency said it expects that strong demand from the power generation sector will continue to support the company's order-book growth and stable margins over the short- to medium-term.

However, several capacity expansions planned by its competitors could pressure its margins, Fitch added.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.