Press Release November 07, 2025 APPL INDUSTRIES LIMITED Rating Assigned and Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	150.00	ACUITE BBB | Stable | Assigned	-
Bank Loan Ratings	240.00	ACUITE BBB | Stable | Reaffirmed	-
Bank Loan Ratings	10.00	-	ACUITE A3+ | Reaffirmed
Total Outstanding	400.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

­ACUITE has reaffirmed its long-term rating of 'ACUITE BBB' (read as ACUITE triple B) and short-term rating of 'ACUITE A3+' (read as ACUITE A three plus)  on the Rs 250.00 crore bank facilities of APPL Industries Limited (AIL). The outlook is ‘Stable’. ­ACUITE has assigned its long-term rating of 'ACUITE BBB' (read as ACUITE triple B) on the Rs 150.00 crore bank facilities of APPL Industries Limited (AIL). The outlook is ‘Stable’. Rationale for rating The rating is based on the improvement in the company's revenue, which grew by approximately 26.70 per cent to Rs. 788.45 Cr. in FY2025 (prov.) from Rs. 622.29 Cr. in FY2024. The improvement in revenue is due to increase in the volume sales. The operating margin of the company shows stability and stood at 7.38 per cent in FY25 (prov.) against 7.41 per cent in FY24. The rating also considers the company's adequate liquidity position, which is reflected in its sufficient net cash accruals, moderate current ratio and  moderate financial risk profile. Additional positive factors include the established track record of operations of more than two decades with experienced management which is also reflected from its growing revenue trend and well-established position on the market of thermoplastic compounding sector. Further, the rating factors in that AIL supplies to the automotive Tier -1 supplier who then caters to the requirements of major OEMs. However, the above mentioned strengths are partly offset by intensive working capital operations. Further, the margins are susceptible to volatility in the raw material prices as well the competitive nature of industry. Acuite notes the availment of current enhancement is not yet decided by the company; any significant deterioration in the financial risk profile due to an increase in the debt level in near to medium term will be key rating sensitivity.

About the Company

­Incorporated in 2001, APPL Industries Limited (AIL) is a Delhi-based company engaged in engineering thermoplastics based on commodity resins and engineering plastics based on advanced plastic resins. The combination of different resins with filler and reinforcement results in different properties and a wide variety of compounds. Its major application areas are the automotive industry, home appliances, packaging and petrochemicals. The company is managed by Ms. Asha Jain, Mr. Aalekh Inder Jain, Mr. Rajeev Shyamrao Basargekar, Mr. Anurag Inder Jain, Mr. Inder Jain and Mr. Shashikant as directors.

Unsupported Rating

­Not Applicable

Analytical Approach

­Acuité has considered the standalone business and financial risk profile of APPL Industries Limited to arrive at this rating.

Key Rating Drivers

Strengths

Experienced Promoters with long track record of operations APPL was incorporated in 2001. The company is engaged into the manufacturing of engineered thermoplastics based on commodity resins and engineering plastics based on advanced plastic resins. The combination of different resins with filler and reinforcement results in different properties and a wide variety of compounds. AIL is currently promoted by Mr. Inder Jain, who has an experience of more than three decade in the same line of business. The established track record has helped the company to maintain a longstanding relationship with reputed clientele like Varroc Polymers Private Limited, Lumax Auto Technologies Limited, Varroc Engineering Limited etc. Further, these customers are the tier-1 suppliers to major OEMs. Acuite believes that AIL will continue to derive benefit from its established track record and longstanding relationship with reputed clientele. Improvement in scale of operations The company has witnessed the growth in the revenue from operations by ~26.70% which stood at Rs.788.45 Cr. in FY25 (prov.) against Rs.622.29 Cr. in FY24. The improvement in revenue is due to increase in the volume sales. In addition, the EBITDA Margins of the company shows stability and stood at 7.38% in FY25 (prov.) against 7.41% in FY24. However, the PAT Margins of the company stood at 2.89% in FY25 (prov.) against 2.73% in FY24. Further, the company has achieved revenue of Rs.494.94 Crore from April 2025 to August 2025. Acuité believes that the company is expected to have better top-line in near to medium term supported by stable margins as compared to previous years. Moderate Financial Risk Profile The financial risk profile of the company is moderate marked by net-worth of Rs.181.69 Crore in FY25 (prov.) against Rs.158.92 Crore in FY24. The total debt of the company stood at Rs.205.59 Crore in FY25 (prov.) which consists of long term debt of Rs.62.69 Crore. Further, the debt-equity ratio of the company stood at 1.13 times in FY25 (prov.) against 0.93 times in FY24. Further, the interest coverage ratio of the company stood at 2.88 times in FY25 (prov.) against 2.62 times in FY24. The DSCR of the company stood at 1.34 times in FY25 (prov.) against 1.12 times in FY24 and TOL/TNW ratio stood at 1.79 times in FY25 (prov.) against 1.67 times in FY24. Acuité believes that the financial risk profile of the company will be a key monitorable over the near to medium term.

Weaknesses

­Intensive Working capital operations The working capital operations of the company is intensive marked by gross current assets (GCA) days of 114 days in FY25 (prov.) against 112 days in FY24. There is a stability in the GCA days due to the inventory days of the company which stood at 29 days in FY25 (prov.) against 34 days in FY24. However, debtors days of the company stood at 82 days in FY25 (prov.) against 81 days in FY24. Further the creditors days stood at 37 days in FY25 (prov.) against 48 days in FY24. Acuité believes that going forward the working capital operations of the company will remain intensive due to nature of the business.­ Susceptibility of the profitability to volatility in the raw material prices The profitability margins of the company remain susceptible to volatility in the raw material prices (raw materials being petroleum derivatives), the prices of which are highly volatile in nature. Any adverse fluctuation in raw material price may impact the profitability of the company. In addition, the automotive sector is quite cyclical, and vehicle OEM sales and the sales of automotive component suppliers are mutually exclusive. The auto-ancillary market is also quite competitive due to the abundance of participants in both the organised and unorganised sectors.

Rating Sensitivities

­Movement in scale of operations and profitability Movement in working capital operations Changes in financial risk profile

Liquidity Position

Adequate

The liquidity profile of the company is adequate. The company has generated net cash accruals of Rs.32.21 Crore in FY25 (prov.) against the debt obligation of Rs. 18.59 Crore. In addition, the current ratio of the company stood at 1.26 times and cash and bank balance stood at Rs. 0.19 Cr. in FY25 (prov.). The average bank limit utilisation of fund based and non-fund based facilities stood at 86.82% in last 10 months ending August 2025. Acuite believes that liquidity profile of the company is expected to improve in near to medium term.

Outlook: Stable

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Other Factors affecting Rating

­None

Key Financials

Particulars	Unit	FY 25 (Provisional)	FY 24 (Actual)
Operating Income	Rs. Cr.	788.45	622.29
PAT	Rs. Cr.	22.78	16.96
PAT Margin	(%)	2.89	2.73
Total Debt/Tangible Net Worth	Times	1.13	0.93
PBDIT/Interest	Times	2.88	2.62

Status of non-cooperation with previous CRA (if applicable)

­Not Applicable

Any other information

­None

Applicable Criteria

• Default Recognition :- https://www.acuite.in/view-rating-criteria-52.htm • Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.htm • Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm

Note on complexity levels of the rated instrument

­In order to inform the investors about complexity of instruments, Acuité has categorized such instruments in three levels: Simple, Complex and Highly Complex. Acuite’s categorisation of the instruments across the three categories is based on factors like variability of the returns to the investors, uncertainty in cash flow patterns, number of counterparties and general understanding of the instrument by the market. It has to be understood that complexity is different from credit risk and even an instrument categorized as 'Simple' can carry high levels of risk. For more details, please refer Rating Criteria “Complexity Level Of Financial Instruments” on www.acuite.in.

Rating History

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook 01 Oct 2025 Letter of Credit Short Term 10.00 ACUITE A3+ (Upgraded from ACUITE A3) Term Loan Long Term 3.76 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Cash Credit Long Term 50.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Cash Credit Long Term 15.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Term Loan Long Term 10.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Cash Credit Long Term 15.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Term Loan Long Term 10.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Cash Credit Long Term 50.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Term Loan Long Term 1.39 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Proposed Long Term Bank Facility Long Term 22.85 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Term Loan Long Term 30.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Term Loan Long Term 10.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) Term Loan Long Term 22.00 ACUITE BBB | Stable (Upgraded from ACUITE BBB- | Stable) 03 Jul 2024 Letter of Credit Short Term 10.00 ACUITE A3 (Reaffirmed) Term Loan Long Term 24.00 ACUITE BBB- | Stable (Reaffirmed) Cash Credit Long Term 40.00 ACUITE BBB- | Stable (Reaffirmed) Cash Credit Long Term 10.00 ACUITE BBB- | Stable (Assigned) Cash Credit Long Term 15.00 ACUITE BBB- | Stable (Reaffirmed) Cash Credit Long Term 50.00 ACUITE BBB- | Stable (Reaffirmed) Term Loan Long Term 19.50 ACUITE BBB- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 41.50 ACUITE BBB- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 16.67 ACUITE BBB- | Stable (Assigned) Term Loan Long Term 8.33 ACUITE BBB- | Stable (Assigned) Term Loan Long Term 15.00 ACUITE BBB- | Stable (Assigned) 05 Apr 2023 Letter of Credit Short Term 10.00 ACUITE A3 (Assigned) Term Loan Long Term 24.00 ACUITE BBB- | Stable (Assigned) Cash Credit Long Term 40.00 ACUITE BBB- | Stable (Assigned) Cash Credit Long Term 15.00 ACUITE BBB- | Stable (Assigned) Term Loan Long Term 1.50 ACUITE BBB- | Stable (Assigned) Cash Credit Long Term 50.00 ACUITE BBB- | Stable (Assigned) Term Loan Long Term 19.50 ACUITE BBB- | Stable (Assigned) Proposed Long Term Bank Facility Long Term 40.00 ACUITE BBB- | Stable (Assigned)

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Annexure - Details of instruments rated

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum (Rs. Cr.) Complexity Level Rating H D F C Bank Limited Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 50.00 Simple ACUITE BBB | Stable | Reaffirmed ICICI BANK LIMITED Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 15.00 Simple ACUITE BBB | Stable | Reaffirmed YES BANK LIMITED Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 50.00 Simple ACUITE BBB | Stable | Reaffirmed Standard Chartered Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 15.00 Simple ACUITE BBB | Stable | Reaffirmed YES BANK LIMITED Not avl. / Not appl. Letter of Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE A3+ | Reaffirmed Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 22.85 Simple ACUITE BBB | Stable | Reaffirmed Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 150.00 Simple ACUITE BBB | Stable | Assigned H D F C Bank Limited Not avl. / Not appl. Term Loan 01 Nov 2017 Not avl. / Not appl. 16 Nov 2025 3.76 Simple ACUITE BBB | Stable | Reaffirmed YES BANK LIMITED Not avl. / Not appl. Term Loan 04 Aug 2017 Not avl. / Not appl. 19 Jan 2026 1.39 Simple ACUITE BBB | Stable | Reaffirmed Standard Chartered Bank Not avl. / Not appl. Term Loan 29 Mar 2025 Not avl. / Not appl. 28 Mar 2031 10.00 Simple ACUITE BBB | Stable | Reaffirmed TATA Capital Financial Service Ltd. Not avl. / Not appl. Term Loan 05 Jan 2025 Not avl. / Not appl. 05 Dec 2028 22.00 Simple ACUITE BBB | Stable | Reaffirmed ICICI BANK LIMITED Not avl. / Not appl. Term Loan 26 Feb 2025 Not avl. / Not appl. 26 Mar 2028 10.00 Simple ACUITE BBB | Stable | Reaffirmed Bajaj Finance Ltd. Not avl. / Not appl. Term Loan 30 Apr 2024 Not avl. / Not appl. 05 May 2030 30.00 Simple ACUITE BBB | Stable | Reaffirmed Bajaj Finance Ltd. Not avl. / Not appl. Term Loan 24 Mar 2025 Not avl. / Not appl. 05 Apr 2031 10.00 Simple ACUITE BBB | Stable | Reaffirmed

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Contacts

Mohit Jain Chief Analytical Officer - Rating Operations Siddharth Garg Associate Analyst - Rating Operations	Contact details exclusively for investors and lenders Mob: +91 8591310146 Email ID: analyticalsupport@acuite.in

About Acuité Ratings & Research

Acuité is a full-service Credit Rating Agency registered with the Securities & Exchange Board of India (SEBI). The company received RBI Accreditation as an External Credit Assessment Institution (ECAI) for Bank Loan Ratings under BASEL-II norms in the year 2012. Acuité has assigned ratings to various securities, debt instruments and bank facilities of entities spread across the country and across a wide cross section of industries. It has its Registered and Head Office in Kanjurmarg, Mumbai. Disclaimer: An Acuité rating does not constitute an audit of the rated entity and should not be treated as a recommendation or opinion that is intended to substitute for a financial adviser's or investor's independent assessment of whether to buy, sell or hold any security. Ratings assigned by Acuité are based on the data and information provided by the issuer and obtained from other reliable sources. Although reasonable care has been taken to ensure that the data and information is true, Acuité, in particular, makes no representation or warranty, expressed or implied with respect to the adequacy, accuracy or completeness of the information relied upon. Acuité is not responsible for any errors or omissions and especially states that it has no financial liability whatsoever for any direct, indirect or consequential loss of any kind, arising from the use of its ratings. Ratings assigned by Acuité are subject to a process of surveillance which may lead to a revision in ratings as and when the circumstances so warrant. Please visit our website (www.acuite.in) for the latest information on any instrument rated by Acuité. Please visit https://www.acuite.in/faqs.htm to refer FAQs on Credit Rating. Note: None of the Directors on the Board of Acuité Ratings & Research Limited are members of any rating committee and therefore do not participate in discussions regarding the rating of any entity.