The UK-based housing association has a “stable outook”, according to credit rating provider
Standard & Poor’s (S&P) are affirming their ‘A+’ credit rating of developer and landlord Aster Group. Research from the global ratings agency notes that they expect Aster Group ‘will continue to generate stable operating and financial performance.’ It also states they ‘believe Aster will be able to manage its increasing exposure to market-related activities by effectively monitoring risks and maintaining a strong liquidity position.’
Aster Group, which was established in 1990, provides around 29,000 units of social and affordable housing, as well as supported living in the southwest of England.
S&P findings state that their affirmation of the group’s stand-alone credit profile at ‘A+’ ‘reflects our view that Aster continues to benefit from a very strong enterprise profile and strong financial profile.’
Earlier this year, Aster reported record results for its 2017 financial year. Pre-tax profits increased by 29% to £44m and revenues were up 7% to £191m. The group is currently implementing its development plan which will see £1.5bn invested in thousands of new homes between now and 2024. In its last financial year, Aster completed more than 800 homes.
Chris Benn, group finance director at Aster Group, said: “This affirmation of our strong credit rating comes at the end of another record year for the group.
“Aster is becoming a more productive developer and a more profitable business. This means we are in the best possible position to deliver a wide range of high-quality housing for people in the communities where we operate.
“It is pleasing to see S&P recognise that we continue to execute our clear, long-term strategy and place sound financial management at the heart of everything we do.”