International rating agency Moody’s have raised their rating of Hella by one level from Ba1 to Baa3, and have left the outlook as ‘positive’.
Moody’s decision is based on the German automotive supplier’s quicker-than-anticipated recovery from the crisis in the automobile industry. The improved rating is largely the result of positive trends in Hella’s results in the first half of fiscal 2010-11. Hella have a leading market position in automotive lighting, electronics and the aftermarket, and have increasingly diversified their customer base and geographical coverage.
Moody’s connected the positive outlook with the expectation that Hella’s rating can be further raised within the next 12 to 18 months, if trends in key indicators maintain upward trajectory.
