S&P Global Ratings upgraded Grupo Falabella’s international credit rating from BB+ to BBB-, with a stable outlook, according to an April 1 announcement. The agency cited sustained improvement in the company’s financial and operating metrics as key reasons for the upgrade.
The new rating places Grupo Falabella at investment grade, which both S&P Global Ratings and Fitch Ratings now assign to the company. This development is seen as support for Falabella’s growth strategy and reflects strong business performance.
S&P Global Ratings said its decision was based on consistent improvement in operating results over the past year, a significant reduction in debt, and stronger cash generation. The agency also noted that Falabella has maintained solid performance and financial discipline despite challenges in the retail industry. Progress in its omnichannel strategy, growth of e-commerce, and diversification into supermarkets, home improvement stores, shopping malls, and banking were highlighted as factors strengthening its competitive position across the region.
“This rating upgrade is a signal of confidence in the company from S&P. It validates our financial strength and the strong results we have delivered consistently over recent quarters. We have a robust value proposition across each of our businesses and solid EBITDA generation, enabling us to enter this new stage of growth on firm foundations,” said Alejandro González, CEO of Grupo Falabella.
Juan Pablo Harrison, CFO of Grupo Falabella, said: “The broad-based improvement across our operations and greater discipline in capital allocation allowed us to regain investment-grade status from both international rating agencies. In 2025, the company achieved a record EBITDA of US$2.141 billion, with a margin of 14.6%.”
Fitch Ratings previously upgraded Grupo Falabella’s rating to BBB- in October 2025. With recognition from both agencies now consolidated at investment grade level, Grupo Falabella plans to continue executing its regional growth plan by enhancing technological and commercial capabilities.
