ASTANA, Kazakhstan, February 13. Moody's Investors Service rating agency has affirmed the rating of Kazakhstan Electricity Grid Operating Company's (KEGOC) at Baa2 with a stable outlook, which corresponds to the rating of the government of Kazakhstan (Baa2 positive), Trend reports.
Also in January of this year, after the publication of Moody's updated methodology for Government-Related Issuers (GRI), the rating agency assigned KEGOC a BCA rating (basic credit assessment) at the level of Baa3.
KEGOC's ratings take into account the moderate dependence on default between KEGOC and the government of Kazakhstan, as well as the high likelihood of support from the company's major shareholder.
The BCA rating also reflects KEGOC's monopoly position as the owner and operator of the national electricity infrastructure in Kazakhstan, and its strong financial profile is driven by a fairly favorable tariff-setting mechanism, historically conservative financial policies, and a flexible investment program.
In addition, according to Moody's, the new market model, introduced in July 2023, will further strengthen the company's position in the market and increase KEGOC's revenues.
To note, KEGOC JSC has received 42.7 billion tenge (about $94.3 million) of net profit from January through December 2023. Compared to the same period in 2022, profit growth was 60 percent (for 2022, profit was 26.7 billion tenge, or about $59 million).
At the same time, KEGOC’s gross profit for 2023 compared to 2022 increased by 39 percent, from 50.9 billion tenge (about $112 million) to 70.5 billion tenge (about $155 million).
In addition, the company's revenue amounted to 251.9 billion tenge (about $556 million). Revenue increased by 34.7 billion tenge (about $76.7 million), or 16 percent, compared to 2022.
