Abu Dhabi – Mubasher: Capital Intelligence has reaffirmed Finance House’s short-term corporate credit rating at “A3” and the long-term rating at “BBB-”, giving both a “stable outlook.”
The ratings were supported by Finance House’s strong capital base, good capital ratios, satisfactory asset quality, generally good liquidity ratios that result from a strong deposit base that fully funds the loan portfolio, and good operating profitability, Finance House said in a statement citing the report released by Capital Intelligence.
“At Finance House, we firmly believe that corporate strength is derived from innovative thinking, executive empowerment, inducing teamwork and encouraging our employees to realise their professional potential to the fullest extent possible,” commented Finance House chairman Mohammed Abdulla Alqubaisi.
He indicated that with favourable liquidity ratios and other positives highlighted by the ratings agency, Finance House “continues to demonstrate its ability to overcome market instabilities and disruptions, leading to its investment grade ratings being reaffirmed by the rating agency with a stable outlook.”
It is worth noting that Finance House’s financing is backed by its strong corporate deposit base which more than fully funds the loan portfolio, the firm added, noting that this was also supported by medium-term loan funding and by a series of committed short-term bank funding lines.
Finance House Group chief financial officer (CFO) T.K. Raman described Capital Intelligence’s report as “an independent health check and a positive reaffirmation” of Finance House’s continued business model resilience and a confirmation of its strong liquidity management and strategy execution capabilities.
