Santiago, Chile, October 29 – International rating agency Fitch Ratings upgraded Grupo Falabella’s credit rating to BBB- with a stable outlook, meaning the company has regained investment grade status after two years.

In its report, the agency highlighted the company’s efforts to improve operational profitability and reduce debt levels. In fact, Grupo Falabella achieved an EBITDA margin of 15% in the first half of 2025, driven by broad improvements across its regional operations. The net financial debt to EBITDA ratio stood at 1.9x at the end of Q2 2025, a significant improvement from the 8.2x recorded when the rating was downgraded in November 2023.

“This change reflects the strong momentum of Grupo Falabella and confirms our ability to continue growing, the resilience of our business model, and the commitment of our teams in every country where we operate. The rating upgrade is the result of sustained efforts to strengthen our financial position, optimize operations, and continue creating value for our customers, employees, investors, and communities. We will keep working responsibly and with long-term vision, seeking opportunities across the region,” said Alejandro González, CEO of the company.

It is worth noting that in Q2 of this year, the group reported profits of US$390 million, accumulating US$596 million in earnings for the first half, representing a 221% increase compared to the same period last year.

The company’s CFO, Juan Pablo Harrison, added: “This rapid rating recovery acknowledges that our financial position is solid and consistent over time, reflecting disciplined management, strong expense control, improved cash generation, and a robust capital structure.”

Additionally, S&P Global Ratings revised Grupo Falabella’s outlook from “negative” to “stable,” citing improved operational performance and a recovery in the consumer environment, further supporting the company’s financial and commercial strategy.