From Moody's 2017 outlook: Non-Financial Corporates -- China: 2017 Outlook - Revenue Is Stabilizing; Leverage to Remain Elevated.
- Says that continued robust GDP growth in China in 2017 and stabilizing commodity prices will drive modest revenue growth and improve profitability for the Chinese non-financial corporates
- Says impact will vary by sector
Comments from Clement Wong, an Associate Managing Director in Moody's Corporate Finance Group
- "Revenue will grow modestly in 2017 from a low base in 2016, but we expect deleveraging will remain slow, especially for overcapacity sectors due to still elevated investment needs"
- "At the same time, refinancing risk is manageable for the sector as a whole for the rated portfolio, because onshore bonds account for the majority of bonds maturing through 2017 and onshore issuance remains a supportive funding channel for Chinese corporates"
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.