Godrej Consumer Products Limited announces upgrade in ICRA long-term rating to [ICRA]AAA (Stable) from [ICRA]AA+ (Stable)

Godrej Consumer Products Limited (BSE / NSE: GODREJCP), a leading emerging markets FMCG company, today announced that ICRA upgraded its long-term rating to [ICRA]AAA (Stable) from [ICRA]AA+ (Stable) while reaffirming its short-term rating of [ICRA]A1+.

Corporates with the [ICRA]AAA rating are considered to have the highest degree of safety, with regard to the timely servicing of financial obligations; thus carrying the lowest credit risk.

Commenting on the occasion, V Srinivasan, Company Secretary and Chief Financial Officer at GCPL, said: "We are pleased with the decision from ICRA to upgrade our credit rating to [ICRA]AAA, the topmost rating signifying 'the highest degree of safety regarding timely servicing of financial obligations', from ICRA[AA+]."

He further added: "GCPL's continued strong performance, robust capital structure, well diversified portfolio of products and geographies with strong brands in market leadership positions, etc. reflect the resiliency of our business model, the high relevance we have to our customers' most important objectives and our team's ability to execute in a challenging environment."

The long-term rating upgrade reflects ICRA's expectation that the financial and operational risk profile of GCPL will remain strong, going forward, driven by its established market position in the FMCG industry in the categories in which it is present, its well-diversified product segments and geographical presence. ICRA expects GCPL to continue to leverage its strong brands and market leadership position across different segments/geographies to drive sustained growth in revenues and accruals while maintaining a robust capital structure and debt protection metrics.

Shares of GODREJ CONSUMER PRODUCTS LTD. was last trading in BSE at Rs.869.45 as compared to the previous close of Rs. 870.85. The total number of shares traded during the day was 29594 in over 1615 trades.

The stock hit an intraday high of Rs. 879 and intraday low of 867.9. The net turnover during the day was Rs. 25853697.

Source : Equity Bulls

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