JAKARTA. Fitch Ratings has revised PT Indosat (Persero) Tbk (ISAT) outlook from Negative to Stable, with long-term rating and foreign currency senior unsecured rating at 'BBB' level and long-term national rating at 'AAA (idn)' level.
According to Fitch's official statement, the revised outlook is in accordance with the deleveraging process carried out by ISAT. This process is considered faster than Fitch estimates, because the company's EBITDA recovery is supported by strong revenue growth and better efficiency.
"However, free cash flow is likely to remain negative for the next two years," explained Fitch.
Nevertheless, Fitch said that ISAT's rating is still comparable with its competitor, PT Excel Axiata Tbk (EXCL). (KR/AR)