Publicis: S&P Global Ratings downgrades to 'BBB'
(CercleFinance.com) - S&P Global Ratings has downgraded its LT BBB+ rating for Publicis to "BBB" while confirming its ST "A-2" rating.
Following Publicis' recent profit warning, S&P Global Ratings now expects the group to report a 2.5% organic decline in sales in 2019, followed by a further fall of 2% in 2020, meaning that the group will only be able to reduce its debt at a slower rate than expected.
Publicis is faced with challenges relating to its high exposure to consumer goods companies that are rapidly changing, S&P Global Ratings said.
It believes that Publicis' inability to support organic growth highlights its weakened competitive position.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
Following Publicis' recent profit warning, S&P Global Ratings now expects the group to report a 2.5% organic decline in sales in 2019, followed by a further fall of 2% in 2020, meaning that the group will only be able to reduce its debt at a slower rate than expected.
Publicis is faced with challenges relating to its high exposure to consumer goods companies that are rapidly changing, S&P Global Ratings said.
It believes that Publicis' inability to support organic growth highlights its weakened competitive position.
Copyright (c) 2019 CercleFinance.com. All rights reserved.