S&P Global Ratings expects Guardian Industries Resources LLC's revenue and adjusted EBITDA will remain subdued in 2026 and 2027. Challenging industry demand conditions, as well as higher input and energy costs and maintenance-related furnace repairs, will cause the company's EBITDA margins to remain low in 2026. In addition, we do not believe Guardian's very strong debt leverage offsets its smaller scale and weaker profitability measures relative to those of its similarly rated peers. Therefore, we lowered our issuer credit rating on the company to'BBB+'from'A-'. The stable outlook reflects our expectation that Guardian will maintain S&P Global Ratings-adjusted leverage of below 1.0x over the next 24 months and generate sufficient cash flow to support its operations and growth
