Jun. 30 at 8:44 PM
Moody's Ratings affirmed Holley Inc.'s B2 corporate family rating and revised its outlook to stable from negative, reflecting expectations that the automotive aftermarket company will sustain healthy profitability, moderate leverage, and positive free cash flow over the next 12 to 18 months. The agency also affirmed Holley's B2-PD probability of default rating, B2 rating on its senior secured credit facility, and SGL-2 speculative-grade liquidity rating.
Moody's said Holley's rating continues to reflect its solid competitive position in the automotive performance aftermarket, healthy operating margins, and good liquidity, while balancing risks tied to its moderate scale, discretionary product portfolio, and relatively high leverage. The agency expects low-single-digit revenue growth in 2026 and 2027 as the company exits lower-margin businesses and benefits from operational initiatives, including the elimination of more than 11,000 SKUs.
$HLLY