DataPro, the tech-driven credit rating agency (CRA) has assigned LandWey Investments Limited a long-term rating of “BBB” with a stable outlook for the year 2022/2023.
In a statement signed by Kehinde Rasheed, Client Services Manager of DataPro, “Considerations for the rating assigned include the company’s revenue, profitability, capital structure, asset quality and liquidity.
DataPro said, “LandWey’s revenue lines improved over the last four (4) years (2018-2022), while revenue for the 2022 increased by 48% compared to the prior year, with earnings for the period under review were largely drawn from sale of Landed properties.
“The company’s efficiency was reflected in its improved profit margin, return on shareholder’s equity and return on assets. The positive rating assigned reflects DataPro’s opinion of LandWey’s diversified revenue source, good project experience as well as its macroeconomic environment.
It further said “”BBB” indicates slight risk. It shows fair financial strength, operating performance and business profile when compared to the standard established by DataPro.
“This company, in our opinion, has the ability to meet its ongoing obligations, but its financial strength is vulnerable to adverse changes in economic conditions.
The statement added, “The short-term rating of “A2” assigned indicates fair credit quality and adequate capacity for timely payment of financial commitments.
“DataPro notes that the rating carries a maximum shelf life of 12 calendar months, in line with international best practice. The rating is therefore not an offer to trade in securities nor a substitute for the user’s judgement. It is meant for reference purposes,” Rasheed concluded.