Bulletin: Jardine Matheson's Earnings Resilience Will Chip Away At Elevated Leverage

HONG KONG (S&P Global Ratings) Aug. 2, 2021--S&P Global Ratings today said that Jardine Matheson Holdings Ltd.'s resilience amid the ongoing pandemic will help the Asian conglomerate to pay off the cost of a company reorganization earlier this year. We forecast Jardine Matheson's adjusted EBITDA will recover to 80%-90% of pre-pandemic levels for full-year 2021 and grow 6%-10% in the next two to three years. Our projections are unchanged following interim results that came in largely in line with our expectation. The company grew its underlying operating profit by 25% to US$1.46 billion in the first half of 2021, about 80% of its pre-pandemic level. Operating cash flow improved significantly to US$2.9 billion, compared to US$2.0 billion a year ago.

...August 2, 2021 HONG KONG (S&P Global Ratings) Aug. 2, 2021--S&P Global Ratings today said that Jardine Matheson Holdings Ltd.'s resilience amid the ongoing pandemic will help the Asian conglomerate to pay off the cost of a company reorganization earlier this year. We forecast Jardine Matheson's adjusted EBITDA will recover to 80%-90% of pre-pandemic levels for full-year 2021 and grow 6%-10% in the next two to three years. Our projections are unchanged following interim results that came in largely in line with our expectation. The company grew its underlying operating profit by 25% to US$1.46 billion in the first half of 2021, about 80% of its pre-pandemic level. Operating cash flow improved significantly to US$2.9 billion, compared to US$2.0 billion a year ago. Improved cash flows together with Jardine Matheson's long record of prudent financial management and commitment to deleverage support the 'A+' rating, despite the spike in leverage following the acquisition of a minority stake in...

Bulletin