The affirmation reflects the operational recovery to date and subsequent improvement in credit metrics. However, metrics and liquidity remain weak, with further improvement contingent on continued top-line growth enabled by a broader recovery in demand.

The rating action is driven by Masterplast securing additional financing, which has alleviated an immediate liquidity crunch.

The downgrade is based on the sustained deterioration of credit metrics due to a prolonged market slowdown in Hungary, while the under review status reflects concerns over a potential liquidity crunch.

The rating action highlights Masterplast's reliance on renewing short-term bank loans against a backdrop of reduced demand and difficult economic conditions, despite improved operational stabilisation through effective cost-saving measures.

The rating action reflects weaker credit metrics, driven by lower-than-expected EBITDA in an unsupportive macroeconomic environment and potential liquidity concerns.

The Negative Outlook reflects weaker credit metrics, driven by lower-than-expected EBITDA in an unsupportive macroeconomic environment.

Masterplast Nyrt. seeks to widen business offering as it is looking to invest in mineral wool facilities, financed by proceeds from the announced SPO, and has also signed a call option to purchase T-Cell Plasztik.

Scope forecasts improved cash generation driven by regulatory tailwinds and the end of the capex-heavy expansion phase (2020-2022) helping to keep credit metrics under control amid a challenging environment.

The upgrade is driven by the company’s ongoing strong business performance thanks to continuous, subsidised investments in its production capacities leading to a further improvement in credit metrics.

No impact on senior unsecured debt rating from management's intention to issue a second bond under the MNB Bond Funding for Growth Scheme.