On 19 March the international credit rating agency Moody's has confirmed the credit rating of Latvenergo AS on the investment grade Baa2 level with stable future perspective.
Despite global and regional operation environment factors, like increase of prices of electricity, natural gas and CO2 emission allowances, which had a negative on the financial results of Latvenergo Group in 2018, the rating has been maintained constantly stable for several years attesting the stability and the financial reliability of Latvenergo Group.
Moody's, by re-confirming the credit rating of Latvenergo AS, has particularly appreciated the following in Latvenergo Group:
- successful operation and the competitive position not only on the Latvian, but also Baltic electricity market;
- the environmentally friendly share of HPP in the generation portfolio, as well as the highly efficient CHPP which allow securing substantial savings of primary energy resources in the country and to reduce the volume of CO2 emissions, thus contributing to the fulfilment of the European Union climate goals;
- the stable financial situation which has helped to secure against unfavourable market changes (for example, dry and hot weather conditions in Europe during the last year causing an unexpected electricity price increase);
- the investment program by renovating production facilities and networks and improving the possibilities of interconnections.
Latvenergo AS is the only company in Latvia to which an investment grade rating has been granted by an internationally recognised credit rating agency outside the financial sector used by local and international financial institutions and other stakeholders for evaluating the stability, reliability and future perspectives of Latvenergo Group. Moody's has been setting the credit rating of Latvenergo AS every year since 2004 and it has been Baa2 with stable future evaluation since February 2015.
The credit rating published by Moody's is available on the website of Latvenergo AS in the section for investors/ Credit rating.
Latvenergo Group is the biggest power supply provider in Baltics dealing in electricity generation and heat production and sales, provision of the power distribution service and lease of transmission assets, as well as sales of natural gas. Latvenergo Group is the leader of electricity sales in the Baltics. Latvenergo has been recognised as the most valuable company in Latvia for several years. The international credit rating agency Moody’s has evaluated Latvenergo AS by granting the investment grade credit rating Baa2/stable.
Latvenergo Group comprises the parent company Latvenergo AS (electricity generation and heat production and sales, sales of natural gas) and daughter companies Latvijas elektriskie tīkli AS (lease of transmission assets), Sadales tīkls AS (electricity distribution), Elektrum Eesti, OÜ (electricity and natural gas sales in Estonia), Elektrum Lietuva, UAB (electricity and natural gas sales in Lithuania), Enerģijas publiskais tirgotājs AS (administration of the mandatory procurement of electricity) and SIA "Liepājas enerģija" (heat production and electricity generation, transmission, distribution and sales in Liepāja).