Outlook Remains 'Stable' at Current Level
Battery Segment Faces Criticism for Continued Underperformance
Three domestic credit rating agencies have maintained SK Innovation's credit rating at 'AA' with a 'stable' outlook.
On the afternoon of the 22nd, NICE Investors Service, Korea Ratings, and Korea Investors Service made this decision regarding SK Innovation's unsecured corporate bond credit rating. The commercial paper credit rating was also maintained at 'A1', the same as before.
The credit rating agencies positively evaluated SK Innovation for its diversified business structure, its efforts to improve its financial structure through rights offerings or asset sales, and its excellent financial flexibility.
However, regarding the battery business segment, NICE Investors Service pointed out, "Large-scale investments are being made that exceed the company's own cash generation capacity," and added, "While the investment burden is high, poor performance continues."
Korea Ratings also noted, "It is necessary to monitor whether other business segments such as refining, petrochemicals, power generation, and city gas can offset the weak performance of the battery segment and help the company's overall performance recover through portfolio effects."
Meanwhile, SK Innovation is scheduled to conduct book-building for corporate bonds on the 27th of this month and on the 4th of next month.
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