MARC Ratings has maintained its rating of AA-_IS on MMC Port Holdings Berhad’s (MMC Port) Sukuk Murabahah Programme, which has been upsized to RM2.0 billion from RM1.0 billion. The rating outlook remains stable.

Proceeds from immediate issuances under the upsized programme will be used to fund group investments. The rating remains underpinned by MMC Port’s strong credit profile, which is derived from the consolidated performance of its portfolio of operators of mature ports in Peninsular Malaysia, including Port of Tanjung Pelepas and Johor Port in Johor, Northport in Selangor, and Penang Port in Penang. MMC Port has been generating strong and steady dividend income from its key port operators.

In 1H2026, the group generated RM2.9 billion in revenue (1H2025: RM2.3 billion) at an operating profit margin of 38.7% (1H2025: 31.1%). The consolidated cash flow from operations (CFO) increased to RM1.2 billion (1H2025: RM0.8 billion), translating into strong CFO interest and debt coverage ratios of 11.27x and 0.38x, respectively.

MARC Ratings is currently undertaking an annual rating review of MMC Port and will publish the full rating rationale in the near future.