Despite Covid-19, Infoparks Kerala retains CRISIL A-/Stable rating
Date : 25/09/2020
Kochi, Sep 25: Notwithstanding the work-from-home culture set in after the outbreak of COVID-19, Infoparks Kerala has retained A- /Stable CRISIL ratings as per the latest review. The rating continues to reflect Infoparks’ strong financial risk profile & healthy liquidity. The achievement comes amidst a slump in the state’s real-estate sector, more so in the past six months following the spread of the novel coronavirus.
Establishments depend on rating by a credible agency for enhancing their access to funding, widening range of funding alternatives, and for optimising cost of funds. The 1987-founded CRISIL, as a subsidiary of American financial information company S&P Global, provides ratings and research, besides risk and policy advisory services.The latest CRISIL rating reflects the financial stability of Infoparks Kerala, according to Mr. Sasi PM, Chief Executive Officer of IT Parks Kerala.
Implying that the pandemic couldn’t make a dent in the business prospects, he said the Infoparks continue to get regular enquiries for occupancy. “A few small firms did wind up operations, but that is not necessarily owing to COVID-19. This has happened in the past also. What is gratifying is that the demand for space has been increasing steadily over the past two months, even more than the space being vacated”, Mr Sasi added.
The CRISIL report attributes Infopark’s good performance to the financial support from the Kerala government and guarding the IT establishment against any possible loss. With an impressive low debt level in capital structure, Infoparks have shown strong financial health. Infopark has an annual inflow of Rs 50 Cr for the year ending March 30, 2020 according to CRISIL.
Infoparks Kerala enjoy 80 per cent occupancy in its IT buildings. Their 2019-20 income was Rs 2 crore more than the year before. The post-tax profit of Infoparks Kerala has shown a 10 percent increase. All these reinforce the good health of Infoparks Kerala, CRISIL adds.