Financial rating

Since 2004, PZU and PZU Życie have been subject to regular reviews by the rating agency of S&P Global Ratings (S&P). The rating assigned to PZU and PZU Życie results from an analysis of financial data, competitive position, management and corporate strategy of both companies as well as the sovereign rating. It also includes a ratings outlook, or an assessment of the Company’s future position in the event that specific circumstances occur.

Recent rating/outlook changes: On 28 May 2024, the rating agency of S&P Global Ratings (S&P) raised the rating outlook of PZU from “stable” to “positive”. The financial strength and credit ratings of PZU have remained at A- since 21 January 2016.

On November 8, 2024, the S&P rating agency decided to affirm the rating at A- and A-2 for long- and short-term liabilities in foreign currencies, respectively, and at A and A-1 for long- and short-term liabilities in the domestic currency, respectively.

The rating outlook remained stable.

Bank Pekao cooperates with three leading rating agencies: Fitch Ratings (Fitch), S&P Global Ratings (S&P) and Moody’s Investors Service Moody’s). The first two agencies prepare the rating at the Bank Pekao’s request on the basis of concluded contracts; however, the Bank does not have a contract Moody’s and their rating is based on publicly available information and review meetings.

On October 30, 2024, Fitch Ratings announced that it had upgraded Alior Bank’s long-term rating to BB+. The Agency pointed out that the rating upgrade reflected the continued improvement of Alior Bank’s financial and business profile. According to Fitch Ratings, the transformation of Alior Bank’s loan portfolio, with greater emphasis on secured lending and tighter credit policies in the non-retail segment, has led to improvements in asset quality performance and concentration ratios. The outlook for the Bank’s long term rating is stable.

On May 17, 2024, S&P Global Rating announced that it had raised Alior Bank’s rating outlook from stable to positive, and affirmed its long-term and short-term rating at the existing levels of BB+ and B, respectively. In its rationale for the decision to raise the outlook, the agency noted that this was primarily related to the improvement of the structure of the Bank’s loan portfolio, tightening of lending standards, and active reduction of the share of non-performing loans. The agency also emphasized Alior Bank’s high capacity to generate capital on its own, which will support possibility of distributing profits to shareholders and facilitate further growth of lending.