Park-Ohio Industries Inc.
- ID: 1753670
- March 2011
- Standard & Poors
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Research Type: Full Analysis
Significant positions in diverse specialty markets; and Some product, end-market, and customer diversity. Exposure to cyclical, competitive markets; Highly leveraged; and Weak cash flow generation. Standard & Poor's Ratings Services' ratings on Cleveland, Ohio-based Park-Ohio Industries Inc. reflect the company's highly leveraged financial risk profile and its weak business risk profile as a diversified operator of logistics and manufacturing businesses serving cyclical and competitive end markets. We expect revenue growth in the high single-digits in 2011, due in part to recent acquisitions. This, combined with a slightly improved, but still weak, operating margin (before depreciation and amortization) of less than 10% should result in debt to EBITDA of 5x-6x, and funds from operations (FFO) to debt in excess of 10%--levels...
Companies mentioned in this report are: Park-Ohio Industries Inc.