Rating Agencies Update for CSG: Moody’s Upgrades to Baa3 and Fitch Affirms BBB-

Core Insights - CSG has received an upgrade from Moody's for its backed senior secured debt to Baa3, indicating improvements in corporate governance, a simplified capital structure, and a conservative financial strategy following its IPO [1][2][3] - Fitch Ratings has affirmed CSG's rating at BBB- with a Stable Outlook, reflecting the company's consistent credit profile in the defense and aerospace sector [4][5] Financial Performance - Moody's upgrade reflects expectations of continued growth, strong free cash flow generation, and a solid financial profile for CSG in the coming years [2][3] - CSG's IPO in January 2025 raised approximately EUR 30 billion in market capitalization and strengthened the company's cash position [6] Strategic Developments - The IPO has enabled CSG to simplify its capital structure and support strategic objectives, including a sustainable dividend policy and prudent leverage management [6] - CSG plans to gradually transition from secured to unsecured debt while maintaining leverage at prudent levels [3] Market Outlook - CSG anticipates continued revenue growth and stable free cash flow generation, bolstered by favorable conditions in the European defense sector [7]