HiteJinro's Corporate Bond Credit Rating Upgraded to 'A+'

HiteJinro CI

[Asia Economy Reporter Song Seung-yoon] HiteJinro announced on the 3rd that its domestic credit rating was upgraded by one notch from 'A (Positive)' to 'A+ (Stable)' following the regular evaluation by Korea Credit Rating.

Korea Credit Rating assessed HiteJinro as having strengthened profit-generating capability based on brand competitiveness, improved operating cash flow, and an excellent market position within the alcoholic beverage market.

HiteJinro analyzed that the company maintained its No.1 position in the soju industry with competitive products such as 'Chamisul' and 'Jinro', and that the operating profit surplus due to strong sales of the beer 'Terra' led to a simultaneous increase in market share for both beer and soju. The lifting of social distancing measures and the resumption of economic activities following COVID-19 are also seen as positive factors influencing the outlook for growth in the alcoholic beverage market and improvement in financial structure.

HiteJinro's sales revenue until the first quarter of this year reached 583.7 billion KRW, and operating profit was 58.1 billion KRW, marking increases of 9.1% and 9.8% respectively compared to the first quarter of last year.

A HiteJinro official stated, "Despite the difficulties caused by COVID-19, we recorded favorable first-quarter results through brand competitiveness, which seems to have positively influenced the credit rating," adding, "As a leading alcoholic beverage company approaching its 100th anniversary, we will continue to maintain a stable growth foundation by leveraging the strong product competitiveness of Chamisul, Jinro, Terra, and others."

This content was produced with the assistance of AI translation services.