BSESky Industries Ltd-$MediumNeutral
Announced Wed, 8 Oct · 10:45 IST

Intimation of Credit Rating

Credit & Debt View source PDF

Price

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

CRISIL has reaffirmed the credit ratings on Sky Industries' bank loan facilities of Rs. 18.3 crore, keeping the long-term rating at CRISIL BBB-/Stable and the short-term rating at CRISIL A3. The ratings reflect the company's 25+ year established market position in the hook and loop fasteners industry, with 800+ active customers and revenue growth from Rs. 74 crore in FY23 to Rs. 84 crore in FY25. The financial profile remains healthy with low gearing of 0.26x, strong interest coverage of 9.58x, and PAT margins improving to 6.95% in FY25. Weaknesses include modest scale of operations and fluctuating profitability (operating margin ranged between 7-12%) due to raw material price volatility. Liquidity is adequate with low bank limit utilisation of around 39% and cash accruals of Rs. 6-8 crore against term debt obligations of only Rs. 2.5 crore.

Likely market impact

Rating reaffirmation with a stable outlook signals no change in the company's creditworthiness, which is a neutral-to-positive event for shareholders. It indicates business stability and continued lender confidence, though the modest scale and profit volatility remain concerns for future growth.