Announced Wed, 25 Feb · 14:19 IST

Intimation of Credit Rating under Regulation 30 of SEBI (LODR) Regulation 2015

Rating Watch NegativeCredit & Debt View source PDF

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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

Acuité Ratings has reaffirmed its long-term credit rating of ACUITE BBB on Tirupati Starch & Chemicals' Rs. 140 crore bank loan facilities, but revised the outlook from 'Stable' to 'Negative'. The negative outlook reflects a weakening operating and financial profile in 9MFY2026, with revenue declining to Rs. 273.40 crore from Rs. 288.72 crore and EBITDA margin contracting to 6.24% from 7.28%. Profit after tax fell to Rs. 4.13 crore (from Rs. 6.00 crore) and the debt service coverage ratio slipped below 1x to 0.99 times. The company is undertaking a Rs. 40 crore debt-funded capacity expansion, adding leverage pressure. FY25 numbers were relatively healthier (revenue Rs. 390 crore, PAT margin 1.93%), but the deterioration in 9MFY26 triggered the outlook revision.

Likely market impact

This is a cautious signal for shareholders - the rating itself is unchanged at investment-grade BBB, but the negative outlook means a downgrade is possible if profitability and coverage don't improve. The ongoing debt-funded capex and weak 9MFY26 performance add near-term risk, which may weigh on investor sentiment.