TCC Group Holdings' 'twA+/twA-1' Ratings Affirmed; Outlook Stable, Says S&P Global Ratings

TCC Group Holdings announced that S&P Global Ratings affirmed its long-term issuer credit rating at 'twA+' and its short-term issuer credit rating at 'twA-1' on July 23, with the rating outlook remaining stable.

S&P Global Ratings noted that the rating reflects the TCC Group Holdings’ position as the largest cement producer in Taiwan, Portugal, and Türkiye, as well as TCC’s satisfactory market position in focused provinces in southern China,. Meanwhile, TCC has continued to diversify its business portfolio and expand its global cement footprint in recent years. Coupled with its high-value land holdings and investment properties, which provide good financial flexibility, these factors support the company's credit ratings.
S&P Global Ratings also noted that TCC has a certain degree of exposure to the highly volatile mainland China market. The cement industry is characterized by a high degree of product standardization and significant demand fluctuations. In addition, the profitability of green-related businesses still has room for improvement; all of which are rating constraints considered in this rating.
 

Regarding the financial outlook, S&P Global Ratings estimates that although the TCC’s debt levels will remain relatively high over the next two years to support higher capital expenditures, the debt-to-EBITDA ratio is expected to gradually improve from 3.1x in 2025 to a range of 2.6x to 2.9x, benefiting from the continuous recovery of EBITDA generation and cash inflows from the sale of land and shareholdings.

TCC stated that this rating result affirms our solid market position, financial profile, and diversified business portfolio. Going forward, TCC will continue to optimize capital allocation, improve operational efficiency, and strengthen financial resilience through asset revitalization and core business development, steadily promoting its low-carbon transition and sustainable operations.