Hyundai Elevator : No-warranty Bond Credit Rating Rises

Positive evaluation for stable performance in a global recession, financial structure improvement, and retention of a zero debt management

- Further raise to be considered upon market diversification and business expansion, product portfolio, and competitiveness reinforcement

On June 30th, Hyundai Elevator (CEO Song Seung-bong) announced its raise in no-warranty bond credit ratings from A0/Positive to A+/Stable in regular evaluation from Korea Ratings.

Korea Ratings highlighted three reasons for the upgrade: stable sales performance in a global recession, improved financial structure despite the risk associated with its factory relocation, and anticipated retention of zero debt management.

Furthermore, Korea Ratings appraised that Hyundai Elevator has a cost structure that exceeds the industry average, high business competitiveness based on loyal customers, and a high position in the domestic elevator market. High financial stability despite the construction of a factory in Shanghai and relocation of the Chungju factory also worked favorably.

Korea Ratings also forecasted a zero debt management of the company. It determined that the company is expected to "have a smooth net cash flow, considering the increase of residential constructions, excellent profitability of maintenance, and small working capital risk due to an order-driven production and short production lead time". It also announced that it may consider a further upgrade if additional criteria are met: market diversification and business expansion, and product portfolio and competitiveness reinforcement.​