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| Product | Quantum (Rs. Cr) | Long Term Rating | Short Term Rating |
| Bank Loan Ratings | 98.13 | ACUITE BBB+ | Stable | Reaffirmed | - |
| Bank Loan Ratings | 3.00 | - | ACUITE A2 | Reaffirmed |
| Total Outstanding | 101.13 | - | - |
| Total Withdrawn | 0.00 | - | - |
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Rating Rationale |
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Acuité has reaffirmed the long-term rating of ‘ACUITE BBB+’ (read as ACUITE triple B plus) and the short-term rating of ‘ACUITE A2’ (read as ACUITE A two) on the Rs.101.13 Cr. bank facilities of Bilaspur Mining Industries Private Limited (BMIPL). The outlook remains ‘Stable'.
Rationale for reaffirmation The rating reaffirmation considers the stable scale of operations and moderate financial risk profile marked by moderate debt protection metrics and average gearing levels. The rating also factors in the group's experienced management and established track record of operations for over two decades in the plastic packaging industry. Also, the liquidity position of the company remains adequate. The rating, however, remains constrained on account of moderately intensive working capital operations and presence in the competitive and fragmented nature of the industry. |
| About Company |
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Kolkata based, , Bilaspur Mining Industries Private Limited (BMIPL), Incorporated in 1997 is headed by Mr. Jai Prakash Agarwal and Mr. Malay Kumar Dutta. The company is engaged into the manufacturing of PP Woven Sacks, Block Bottom Sacks, BOPP Sacks with an installed capacity of 25000 MTPA. Earlier the company used to manufacture special purpose machinery mainly used in the mining industry.
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| About the Group |
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Kolkata based, J K Sons Engineers Private Limited (JKSEPL) was incorporated in the year 1996 and is currently promoted by Mr. Jai Prakash Agarwal, Mr. Malay Kumar Dutta and Mr. Satya Prakash Agarwal. The company manufactures PP Woven Sacks, Block Bottom Sacks and BOPP Sacks with an installed capacity of 16000 MTPA.
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| Unsupported Rating |
| Not Applicable |
| Analytical Approach |
| Extent of Consolidation |
| •Full Consolidation |
| Rationale for Consolidation or Parent / Group / Govt. Support |
| For arriving at this rating, Acuité has consolidated the business and financial risk profiles of Bilaspur Mining Industries Private Limited (BMIPL) and J K Sons Engineers Private Limited (JKSEPL), together referred to as ‘Bilaspur Group’ (BG). The consolidation is in the view of common management, operational linkages between the entities and a similar line of business. |
| Key Rating Drivers |
| Strengths |
| Experienced management and long operational track record
The group has established a strong presence for over two decades in the plastic packaging industry. The operations of the group are aided by the extensive experience of more than two decades of Mr. Jai Prakash Agarwal, Mr. Pranav Prakash Agarwal, Mr. Satya Prakash Agarwal, and Mr. Malay Kumar Dutta, thereby assisting in the development of long-term, healthy relationships with the clientele. The strong clientele base has aided the group in achieving a stable scale of operations. Acuite believes that the promoters’ entrepreneurial experience and healthy relationships with customers and suppliers will support its business risk profile over the medium term. Steady scale of operations The revenue of the group improved and stood at Rs. 484.99 Cr. in FY2025 as compared to Rs. 456.33 Cr. in F2024 reflecting a year-on-year growth of ~6.28% in FY2025 driven by steady demand and consistent execution of orders. Further, the group has booked revenue of ~Rs. 242.54 Cr. in H1FY2026 with EBITDA margin of 9.49%. The EBITDA margin stood at similar lines at 9.10% in FY2025 as compared to 9.24% in FY2024 on account of steady realizations. The PAT margin stood at 1.92% in FY2025 as against 2.12% in FY2024. Acuité believes that the scale of operations of the group will continue to remain steady owing to the healthy demand from the end user industries. Moderate financial risk profile The financial risk profile of the group has remained moderate with average gearing and moderate debt protection metrics. The net worth of the group stood at Rs.124.21 Cr. as on March 31, 2025, as compared to Rs.113.80 Cr. as on March 31, 2024, due to accretion of reserves. The gearing (debt to equity) of the group stood at 1.01 times as on March 31, 2025, against 0.96 times as on March 31, 2024. The total debt of the group stood at Rs. 125.06 Cr. as on March 31, 205 which comprises of Rs.73.94 Cr. and Rs. 51.11 Cr. of short-term debt against Rs. 109.08 Cr. as on March 31, 2024. Debt protection metrics – Interest coverage ratio (ICR) and debt service coverage ratio (DSCR) stood at 3.12 times and 1.21 times as on March 31, 2025, respectively as against 3.58 times and 1.34 times as on March 31, 2024 respectively. Tol/ TNW stood at 1.27 times as on March 31, 2025, as against 1.30 times as on March 31, 2024. The debt to EBITDA of the company stood at 2.78 times as on March 31, 2025, as against 2.56 times as on March 31, 2024. Acuite believes the financial risk profile of the group will continue to remain moderate despite the debt laden capex in FY25 and no further debt-funded capex plan over the medium term. |
| Weaknesses |
| Moderately intensive working Capital operations
Group’s working capital operations remained moderately intensive marked by Gross Current Asset (GCA) of 118 days in FY2025 as against 107 days in FY2024. The deterioration in GCA days are on account of increase in inventory period which stood at 55 days in FY2025 as compared to 46 days in FY2024. The debtor days stood at 62 days in FY2025 as against 61 days in FY2024. Subsequently, the payable period stood at 31 days in FY2025 as against 21 days in FY2024 respectively. However, the average bank limit utilisation of the fund based working capital limits stood at 69 percent for the past six months ended September 2025. Acuité believes the working capital operations of the group is expected to remain at similar levels over the medium term owing to the nature of business. Competitive and fragmented nature of the industry The group is operating in a competitive and fragmented industry. There are several players engaged in the Plastic Packaging industry in the organized and unorganized sector. Hence, the group might face pricing pressure from other competitors. Therefore, having an established brand name is of utmost importance in this industry along with continuous addition of value-added products in the product offerings. |
| Rating Sensitivities |
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Consistent improvement in the revenue and profitability margins
Sustenance in the overall financial risk profile Any deterioration in working capital cycle leading to stretch in liquidity |
| Liquidity Position |
| Adequate |
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Group’s Liquidity is adequate with adequate net cash accruals (NCAs) to its repayment obligations. Group generated cash accruals of Rs.27.43 Cr. during FY2025, while it’s maturing debt obligations Rs.20.22 Cr. during the same period. The average fund-based working capital utilization stood at 69 percent for the past six months ended September 2025. The group has maintained unencumbered cash and bank balances Rs.0.47 Cr. and the current ratio stood at 1.50 times as on March 31, 2025. Acuité expects that the liquidity of the group is likely to be adequate over the medium term on account of adequate cash accruals to its maturing debt obligations.
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| Outlook: Stable |
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| Other Factors affecting Rating |
| None |
| Particulars | Unit | FY 25 (Actual) | FY 24 (Actual) |
| Operating Income | Rs. Cr. | 484.99 | 456.33 |
| PAT | Rs. Cr. | 9.29 | 9.68 |
| PAT Margin | (%) | 1.92 | 2.12 |
| Total Debt/Tangible Net Worth | Times | 1.01 | 0.96 |
| PBDIT/Interest | Times | 3.12 | 3.58 |
| Status of non-cooperation with previous CRA (if applicable) |
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Not applicable
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| Any Other Information |
| None |
| Applicable Criteria |
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• Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Consolidation Of Companies: https://www.acuite.in/view-rating-criteria-60.htm • Default Recognition: https://www.acuite.in/view-rating-criteria-52.htm • Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.htm |
| Note on complexity levels of the rated instrument |
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*Annexure 2 - List of Entities (applicable for Consolidation or Parent / Group / Govt. Support) | ||||||
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