CRAFTSMANNSECraftsman Automation LimitedMediumNeutral
Announced Sat, 13 Dec · 10:14 IST

Craftsman Automation Limited has informed the Exchange about Credit Rating

New Credit FacilityCredit & Debt View source PDF

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Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

CRISIL Ratings has reaffirmed the long-term rating of 'CRISIL AA-/Stable' and short-term rating of 'CRISIL A1+' for both Craftsman Automation Limited (CAL) and its wholly owned subsidiary DR Axion India Private Limited. Importantly, the total rated bank loan facility amount for CAL has been enhanced from Rs. 2,300 crore to Rs. 3,950 crore, and for DR Axion from Rs. 313.97 crore to Rs. 525 crore. The reaffirmation reflects strong business growth, with consolidated H1 FY26 revenue rising to Rs. 3,786 crore from Rs. 2,365 crore a year ago, and net profit climbing to Rs. 160 crore from Rs. 121 crore. The aluminium segment now contributes over 60% of consolidated revenues, while the company is undertaking Rs. 1,200 crore capex in FY26, pushing expected debt to around Rs. 3,500 crore by year-end.

Likely market impact

The reaffirmation at AA-/Stable with enhanced rated facility size signals continued lender confidence in Craftsman Automation's creditworthiness despite higher debt levels, supporting cheaper borrowing access for ongoing capex and acquisitions. Shareholders can take comfort that strong revenue growth (28% in FY25) and stable outlook outweigh the temporary moderation in debt metrics.