Fitch Ratings affirms Enter Engineering at ‘B+’

Enter Engineering has confirmed they have full funding for the current business strategy.

Fitch Ratings, a leading provider of credit ratings, commentary and research for global capital markets, has affirmed Company’s Long-Term Issuer Default Rating (IDR) at ‘B+’. The Rating Outlook is stable.

Fitch has also noted that:

• Enter Engineering’s backlog of ongoing projects has grown from USD 4.4 billion to USD 4.9 for the last year as it further strengthens its local presence;

• the backlog growth provides Enter Engineering with good visibility of revenues and future cash flows and also compares well with its much larger international peers;

• Enter Engineering has further projects, which have not yet been officially signed, but have a high chance of approval.  Fitch Ratings believes this will further improve Enter Engineering’s local leadership position and provide some contract diversification.

Fitch forecasts working capital to reverse in 2022, and that the expansion of the project portfolio should limit the volatility of working capital. This should allow leverage to reduce comparing to its E&C peers.

Fitch forecasts revenue growth at an average of around 12% over 2021-2024 with EBITDA margin sustained at around 12% to 2024

Fitch views Enter Engineering's financial profile as solid.

Separately, Enter Engineering affirms it has sufficient access to domestic and private sources of financing to implement its current business strategy and has no immediate plans to enter the capital markets. Enter Engineering has therefore come to decision to withdraw Fitch rating.