Moody’s upgrades Volvo Cars credit rating. 8298

   

• Rating agency Moody’s Investors Service (Moody’s) today upgraded its corporate credit rating for Volvo Cars to Ba1 from Ba2, with a stable outlook.

• “The upgrade of Volvo’s ratings was driven by continued improvements in its operating performance and credit metrics and our expectation that this trend will continue in the current fiscal year founded by further successful new model launches," says Falk Frey, a Senior Vice President and lead analyst for Volvo Car.

• Moody’s anticipates the positive trend in unit sales and revenues to continue based on the full year availability of the XC60 as well as the introduction of the XC40, Volvo’s first SUV in the compact segment.

• Moody’s stated that Volvo Car’s liquidity profile is very good and that the company’s existing resources, as of 31 March 2018, would be sufficient to cover its corporate cash requirements over the next 12 months including sustained high levels of capital expenditures, intra year working capital needs and potential dividend payments.

Note to editors:

• Full report from Moody's available here

This information is information that Volvo Car AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at 16:05 on May 02, 2018.

Source : Volvo Cars.