According to reports from Business Standard, Crisil Ratings has upgraded Rajputana Stainless's (RSL) ratings on bank facilities to 'Crisil BBB+/Stable/Crisil A2' from the previous rating of 'Crisil BBB/Stable/Crisil A3+'. The upgrade reflects an improvement in the company's business and financial risk profile over the past two fiscals, which is expected to sustain over the medium term.
As reported by Business Standard, RSL's operating performance has shown significant improvement with steady increase in sales volume. The company's operating margins improved to 9.26% in fiscal 2026 compared to 8.05% in fiscal 2025 and 6.80% in fiscal 2024. This improvement has been driven by better procurement policy and increasing scale of operations, with the group's operating performance expected to sustain over the medium term.
According to Business Standard, the financial risk profile of the group is on an improving trajectory with debt reduction from ₹100 crore as on March 31, 2025 to ₹67 crore as on March 31, 2026. The company has paid off its external debt in April 2026. The improvement in capital structure coupled with improved operating profitability has led to comfortable debt protection metrics for fiscal 2026.
As reported by Business Standard, Rajputana Stainless is engaged in manufacturing and export of high-quality stainless-steel billet, black bars, bright bars, and wire rods in various grades and sizes. The rating reflects extensive experience of the promoters in steel industry, integrated operations and operating efficiency, and comfortable financial risk profile. These strengths are partially offset by working capital-intensive operations and susceptibility of operations to volatile steel prices. The scrip shed 0.08% to currently trade at ₹130.15 on the BSE.
