KÉSZ Group's credit rating confirmed by Scope Ratings
The rating of KÉSZ Holding Zrt. has been confirmed by Scope Ratings in its annual review. Corporate bonds retained their BB rating, while KÉSZ Holding Zrt. as issuer remained in the BB range. With the review, KÉSZ Holding continues to meet the requirements of the National Bank of Hungary (MNB)’s Bond Funding for Growth Scheme and, with these ratings, the company is in the strongest category of the Hungarian construction industry.
The credit rating of KÉSZ Holding Zrt. was affirmed by Scope Ratings GmbH with the publication date of 24 March 2025. The corporate bonds issued by KÉSZ Holding Zrt. continue to hold BB ratings, while the company itself, as issuer, is rated BB.
The company continues to meet the requirements of the MNB’s Bond Funding for Growth Scheme and, with these ratings, is in the strongest category of the Hungarian construction industry.
Strong market position, diversified operations
Although the group's consolidated revenue is forecast to decline to around HUF 182 billion in 2024, Scope Ratings highlighted that the company's profitability on a revenue-per-unit basis has nevertheless improved. Scope Ratings also highlighted as a positive the company's regional and vertical diversification compared to its industry peers, thanks to previous successful acquisitions (energy, real estate development, façade engineering) and geographic expansion in Romania, Ukraine, Germany and the US.
However, the generally negative economic and industrial environment and the downward trend and lower volume of construction contract backlog are a risk.
With more than four decades of history and a structure unique in the market, KÉSZ Group is able to serve the entire construction value chain, from design, through manufacturing and construction, to operation. The KÉSZ Group is primarily active in the construction industry, but has also made its mark in a number of other sectors, and sees itself as an innovative technology-driven group of companies, able to provide its customers with unique solutions. In addition to its core activities, the company is active in the broader fields of energy (energy management, renewable energy construction, energy storage and generation), property development and management, as well as in a complex way in industrial technologies, electrical engineering and construction, and fire protection. For the 2024 financial year, the KÉSZ Group has also achieved outstanding successes in the field of façade technology construction both in Hungary and in foreign markets, and has been awarded significant new projects, which provide a balanced basis for achieving future success. It should be noted that the turnover of the Group's foreign subsidiaries is steadily increasing as a percentage of total sales, and the strengthening of this trend remains one of the strategic objectives of the company.
"The performance of KÉSZ Group remains stable despite the risks of the current business environment, providing a good foundation for our domestic and international investment projects. Our objective remains unchanged: to strengthen our international presence. Regarding future order volume, it is encouraging that KÉSZ Group has recently secured general construction projects in high-value market segments, including the pharmaceutical industry and solar panel and storage capacity installation projects in the energy sector," said Tamás Vida, CEO of KÉSZ Group.