Moody's upgrades Grifols' credit rating

BarcelonaGrifols' outlook improves after a period of stock market penalties. Credit rating agency Moody's has upgraded the Catalan multinational blood products company's rating from B3 to B2 and its probability of default rating from B3 to B2-PD. At the same time, it maintains its outlook on the company as "positive."

As a result, the credit rating agency has upgraded the ratings of the senior secured securities issued by Grifols, Grifols World Wide Operations Ltd., and Grifols World Wide Operations USA, Inc. to B1. It has also upgraded the senior unsecured securities issued by Grifols Escrow Issuer, SAU to Caa1 from Caa2.

Moody's highlights that the rating upgrade from B3 to B2 reflects "Grifols' robust operating performance." For its part, the agency emphasizes its "solid revenue growth and profitability" and "improved management." In its note, the agency says it expects the company's adjusted gross leverage to be below 6.5 times by the end of 2025 "from 7 times during the last twelve months to March 2025." It also states that "its EBITDA adjusted for interest expenses will be around 3 times in 2025."

"The positive outlook reflects our expectations that Grifols' operating performance and credit metrics will continue to improve over the next 12 to 18 months," Moody's stressed, highlighting in its report that the B2 rating also reflects the company's "solid" market position. Moody's raised Grifols' rating after the multinational reported a few days ago that it earned €60 million in the first quarter of the year, triple the profit of the same period a year earlier.

In a red-tinged session on the Spanish stock market, Grifols fell 1.93% today, but its share price remains above €9, specifically €9.342 at the close of trading.