Fitch Ratings upgrades Argos from stable to positive

Argos, a Grupo Argos cement company, received an upgrade in its credit rating outlook, going from 'Stable' to 'Positive' according to Fitch Ratings, an international credit rating agency.

The positive outlook granted by Fitch Ratings reflects the good performance of Cementos Argos and the expectation that the generation of operating cash flows will continue with a growth trend, a trend that has been benefited by the operational efficiency strategies that the company has launched. 

Among the reasons for the positive rating of Argos is its competitive position, which has seen it consolidate itself as one of the main producers of cement and concrete in Colombia, the United States and Central America and the Caribbean, and is reflected in the increase in volumes of shipped material. Likewise, the company increased its EBITDA margin and reduced debt thanks to the strategic divestments it has carried out and its operational efficiencies programmes. 

On the other hand, the strategy implemented by Argos to protect the cash flow from the impacts of the pandemic generated favourable financial results and allowed the company to maintain the employment of 100 per cent of its employees and continue creating value for the community through different social investment projects, reports Fitch Ratings.