PR
Taihan’s Credit Rating Upgraded to ‘A’ by Korea Investors Service
- Korea Investors Service upgrades Taihan’s credit rating from ‘A-’ to ‘A’, maintaining a Stable outlook
- Upgrade follows NICE Investors Service’s reaffirmation of the same rating
- Evaluation highlights improved profitability, business stability, and a strengthened financial structure
Taihan has been upgraded to an ‘A’ Issuer Credit Rating (ICR) with a Stable outlook by Korea Investors Service (KIS), one of Korea’s leading credit rating agencies. This represents an improvement from the previous ‘A-/Stable’ rating issued in 2023, further validating the company’s external creditworthiness.
KIS identified several factors for the upgrade, including: △A stable and diversified business foundation △Revenue growth and consistent profitability △An improved financial structure.
In its report released on July 10, KIS stated, “Taihan has established a stable business base through a diversified product portfolio and is actively pursuing further diversification, particularly in high-value-added areas such as submarine and optical cables.”
KIS further noted: “Despite the volatility in copper prices, Taihan has maintained relatively stable operating profit margins thanks to its vertically integrated production structure.”
“Following its acquisition by Hoban Group, the company has improved its financial structure through capital injections and paid-in capital increases. It is expected to maintain financial stability with both these funds and cash flows from operations.”
The agency also emphasized Taihan’s growing order backlog, citing increased new orders in international markets such as Singapore, the UK, and Sweden. “Consolidated net debt has improved substantially, decreasing from KRW 456.7 billion at the end of 2021 to negative KRW 126.1 billion as of March 2025.”
Notably, this credit rating upgrade was implemented without a prior adjustment in the rating outlook, which is uncommon. While agencies typically revise the outlook to ‘Positive’ before upgrading a rating, KIS directly raised the credit rating while maintaining a ‘Stable’ outlook—signaling high external confidence in Taihan’s improved credit standing.
Earlier in June, NICE Investors Service, another major Korean credit rating agency, also reaffirmed Taihan’s credit rating at ‘A (Stable)’, reflecting ongoing recognition of the company’s performance and financial soundness. As a result, Taihan now holds ‘A’ ratings from both of Korea’s top rating agencies.
A company spokesperson stated, “This credit rating upgrade reflects external recognition of our strong profitability, financial stability, and competitiveness in high-value-added sectors. We believe the market’s growing trust in our submarine and HVDC cable solutions played a significant role.”
The spokesperson added, “Through responsible management and continued business expansion, we will continue to strengthen our corporate value and lay the foundation for sustainable growth.”
An Issuer Credit Rating (ICR) reflects a company’s overall business profitability and debt repayment capacity and is a key indicator of its external creditworthiness. Since joining Hoban Group, Taihan has built a solid financial and business foundation and continues these assessments to foster trust among clients and stakeholders.
