Creditreform Rating has confirmed the unsolicited corporate issuer rating of the Electricity Supply Board (ESB) at A, and changed the outlook from stable to negative. The decisive factors for the rating level were the strategic importance of the company for the region, which is supported by a solid legal framework on both sides of the Irish border (in ROI and NI), as well as the close proximity to the Irish state. Given the fact that the Republic of Ireland owns 95.7% of the company´s shares and based on our rating methodology for government-related companies, we assume that the Irish government would be willing to provide adequate financial support to ESB in the event of a crisis. The positive business development, solid financial figures and a comfortable liquidity situation in 2019 continued to be key influencing factors. The negative outlook is mainly due to the pandemic and economic effects, which have a significant impact on the Group's business and earnings development in the current 2020 financial year. In addition, uncertainties regarding Brexit and a lower permissible return on the regulated network business for the next regulation period could weaken the profitability of the group in the coming financial year.
Creditreform Rating has carried out an unsolicited rating of Electricity Supply Board (ESB). The rating has been set to A with stable outlook.