Fitch Affirms Samator Indo Gas at 'A(idn)'; Outlook Stable

By Fitch Ratings26 September 2024

Jakarta, 26 September 2024 - Fitch Ratings Indonesia has affirmed PT Samator Indo Gas Tbk's National Long-Term Rating at 'A(idn)'. The Outlook is Stable. Fitch has also affirmed Samator Indo Gas's outstanding bond and sukuk programme, as well as the outstanding bond and sukuk, at 'A(idn)'.

The affirmation reflects Fitch's expectation that Samator Indo Gas's EBITDA net leverage will fall below 3.5x in 2025, after a temporary increase to slightly above this level in 2024 due to construction of the Batang factory. We believe this will be supported by rising air gas and non-air gas sales volume and the stable prices of its main products.

The rating also reflects the company's robust position in Indonesia's industrial gas market and the contractual nature of a large part of its revenue, but is constrained by its smaller operational scale than higher-rated national peers due to the relatively small size of Indonesia's gas market.

'A' National Ratings denote expectations of a low level of default risk relative to other issuers or obligations in the same country or monetary union.

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