Fitch Ratings has maintained Zhongsheng Group Holdings' (HKG:0881) long-term issuer default rating and senior unsecured rating at BBB, according to a Friday release.

Fitch believes the company's major market share in China's premium car dealership segment and strong after-sales unit will anchor a more solid performance compared to peers.

The company will be able to retain above industry-average profitability through 2028 given its shift to new energy vehicles and solid position despite industry consolidation, the rating agency said.

The outlook is negative, with Fitch cautioning against volatility in the EBITDA recovery over the next six to 12 months.

Fitch sees limited visibility for profitability of new car sales given the major losses incurred by the country's new vehicle dealership industry in the first half.

Major changes in the company's EBITDAR as seen in its new car sales or EBITDAR net leverage could trigger future rating actions, Fitch said.