Press Release January 08, 2026 SHREE AUTOMOTIVE PRIVATE LIMITED Rating Assigned and Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	106.00	ACUITE BBB- | Stable | Assigned	-
Bank Loan Ratings	83.00	ACUITE BBB- | Stable | Reaffirmed	-
Bank Loan Ratings	58.00	-	ACUITE A3 | Assigned
Bank Loan Ratings	105.00	-	ACUITE A3 | Reaffirmed
Total Outstanding	352.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuite has reaffirmed its long-term rating of 'ACUITE BBB-' (read as ACUITE triple B minus) and short-term bank 'ACUITE A3' (read as ACUITE A three) on the Rs.188 Cr. bank facilities of Shree Automotive Private Limited (SAPL). The outlook is 'Stable'.­ Acuite has assigned its long-term rating of 'ACUITE BBB-' (read as ACUITE triple B minus) and short-term bank 'ACUITE A3' (read as ACUITE A three) on the Rs.164 Cr. bank facilities of Shree Automotive Private Limited (SAPL). The outlook is 'Stable'. Rationale for Rating The rating factors in the extensive experience of the management and established track record of operations in the automobile industry for more than three decades. Also, the improvement in the scale of operations which stood at Rs.800.21 Crore in FY25 against Rs.759.40 Crore in FY24 with slight improvement in the margins which stood at 4.65% in FY25 against 4.06% in FY24. along with moderate financial risk profile exhibited by comfortable gearing and debt protection metrics has been taken into consideration. However, the strengths are partly offset by the intensive working capital operations marked by moderate inventory and debtor days.

About the Company

­Shree Automotive Private Limited (formerly Shree Automobiles Private Limited) was set up in February 2000, by Mr. Sharad Kumar Kedia and his family, based in Kolkata; it acquired the current name in 2009. The company is an authorized dealer for Commercial Vehicles manufactured by Ashok Leyland, passenger vehicles and CVs of Mahindra & Mahindra in various districts of West Bengal. Mr. Saurabh Kedia, Ms. Sarita Kedia, Mr. Sharad Kumar Kedia and Mr. Abhishek Kedia are the present directors of the company.

Unsupported Rating

­Not applicable

Analytical Approach

­Acuité has considered the standalone business and financial risk profile of SAPL to arrive at the rating

Key Rating Drivers

Strengths

­Experienced management and established track record of operations SAPL has an established position as an auto dealer, with experience of over 25 years. It has extensive presence in various districts of West Bengal. It is the dealer for Ashok Leyland Ltd (ALL) vehicles and Mahindra & Mahindra. The directors of the company are Mr. Saurabh Kedia, Ms. Sarita Kedia, Mr. Sharad Kumar Kedia and Mr. Abhishek Kedia. Acuite believes the SAPL will maintain its established position in the auto dealership business, driven by its healthy position in CV and PV dealership in West Bengal near to medium term. Going forward, company will continue to benefit from the promoter’s experience. Improvement in scale of operations The company has witnessed an improvement in the operations of the company wherein the revenue of SAPL stood at Rs.800.21 Crore in FY25 against Rs.759.40 Crore in FY24 and the EBITDA margins of the company has shown slight improvement stood at 4.65% in FY25 against 4.06% in FY24. The improvement in revenue and EBITDA margins is mainly due to the increase in the sales of spares and services of the vehicles. Also, the PAT Margins of SAPL stood at 0.69% in FY25 against 0.52% in FY24. The company has already achieved sales Rs.464.09 Crore in last six months ended September 2025. Going forward, Acuite believes that increasing demand for passenger and commercial vehicles along with revenue derived from segments including workshop income, sale of spares and accessories shall continue to support the revenue and profitability of SAPL to an extent and the company will sustain revenues at healthy levels in near to medium term. Moderate financial risk profile The financial risk profile of the company is moderate marked by net-worth of Rs.80.23 Crore as on 31st March 2025 against Rs.74.69 Crore as on 31st March 2024. The increase in the net-worth is due to accumulation of profits into reserves. Further, the total debt of the company stood at Rs.274.24 Crore as on 31st March 2025 against Rs.231.13 Crore as on 31st March 2024. In results, the gearing of the company has shown slight deterioration which stood at 3.42 times as on 31st March 2025 against 3.09 as on 31st March 2024. The coverage indicators of the company reflected by interest service coverage ratio and debt service coverage ratio which stood at 1.38 times and 1.13 times respectively as on 31st March 2025 against 1.27 times and 1.03 times respectively as on 31st March 2024. TOL/TNW of the company stood at 3.49 times in FY25 against 3.22 times in FY24. Acuite believes that the financial risk profile of the company is expected to improve in near to medium term in the absence of any debt funded capex in near to medium term.

Weaknesses

Intensive Working capital operations The working capital management of the company is intensive marked by GCA days of 146 days in FY25 as against 133 days in FY24. Inventory days of the company stood at 83 days in FY25 as against 70 days for FY24 and debtor days in FY25 are 56 days, compared to 55 days in FY24. The fact that most cars are financed by banks and that the loan processing takes time contributes to the moderate debtor days. Generally, the company uses EDFS facility offered by banks to purchase the automobile, in which the dealer has to pay upfront to the OEM. As a result, the reliance of working capital limits in the form of EDFS is reflected by higher dependence on the external borrowing resulted into average utilization of around ~92.91 percent in last 06 months ended November 2025. Acuite expects that the working capital operations of the company will remain at similar levels and will be key monitorable in near to medium term. ­Low operating profitability As a dealer of vehicles manufactured by original equipment manufacturers, SAPL  has no control over vehicle prices, which limits its ability to improve operating profitability. Furthermore, the company is also engaged in the sales of spares and servicing of vehicles, which is contributing almost 22.93% of the total revenue and it is expected to be increased in near to medium term, which will help company to fetch better margins in near to medium term. Acuite believes SAPL’s profitability margin may improve over the medium term.

Rating Sensitivities

­Movement in the scale of operations and margins. Movement in working capital operations.

Liquidity Position

Adequate

The liquidity position of the company is adequate. The company has generated net cash accruals of Rs.7.98 Crore as on 31st March 2025 against the debt repayment obligation of Rs.4.00 Crore in the same period. The current ratio of the company stood at 1.28 times as on March 31, 2025 against 1.33 times as on March 31, 2023. The unencumbered cash and bank balance of the company stood at Rs.2.37 Crore as on March 31, 2025. Further, the average fund based bank limit utilization is at 92.91% and non-fund based bank limit utilization is at 62.50% for the 6 months’ period ending November 2025. Acuité believes that going forward the company will maintain adequate liquidity position due to steady accruals.

Outlook: Stable

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Other Factors affecting Rating

­None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	800.21	759.40
PAT	Rs. Cr.	5.53	3.95
PAT Margin	(%)	0.69	0.52
Total Debt/Tangible Net Worth	Times	3.42	3.09
PBDIT/Interest	Times	1.38	1.27

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 • Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Trading Entities: https://www.acuite.in/view-rating-criteria-61.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 31 Oct 2024 Channel/Dealer/Vendor Financing Short Term 10.00 ACUITE A3 (Assigned) Channel/Dealer/Vendor Financing Short Term 64.50 ACUITE A3 (Assigned) Channel/Dealer/Vendor Financing Short Term 19.50 ACUITE A3 (Assigned) Channel/Dealer/Vendor Financing Short Term 1.00 ACUITE A3 (Assigned) Channel/Dealer/Vendor Financing Short Term 10.00 ACUITE A3 (Assigned) Inventory Funding Long Term 5.00 ACUITE BBB- | Stable (Assigned) Working Capital Demand Loan (WCDL) Long Term 63.00 ACUITE BBB- | Stable (Assigned) Cash Credit Long Term 15.00 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 INDUSIND BANK LIMITED Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 8.00 Simple ACUITE A3 | Assigned BANK OF INDIA (BOI) Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE A3 | Assigned State Bank of India 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 BANK OF INDIA (BOI) Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 60.00 Simple ACUITE BBB- | Stable | Assigned INDUSIND BANK LIMITED Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE A3 | Reaffirmed RBL Bank Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 19.50 Simple ACUITE A3 | Reaffirmed RBL Bank Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.00 Simple ACUITE A3 | Reaffirmed AXIS BANK LIMITED Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE A3 | Reaffirmed Bank Of Baroda Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 64.50 Simple ACUITE A3 | Reaffirmed INDUSIND BANK LIMITED Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE A3 | Assigned Unity Small Finance Bank Limited Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 3.00 Simple ACUITE A3 | Assigned H D F C Bank Limited Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 7.00 Simple ACUITE A3 | Assigned YES BANK LIMITED Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE A3 | Assigned YES BANK LIMITED Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 1.00 Simple ACUITE A3 | Assigned Punjab National Bank Not avl. / Not appl. Channel/Dealer/Vendor Financing Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 12.00 Simple ACUITE A3 | Assigned H D F C Bank Limited Not avl. / Not appl. Inventory Funding Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE BBB- | Stable | Reaffirmed H D F C Bank Limited Not avl. / Not appl. Inventory Funding Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 13.00 Simple ACUITE BBB- | Stable | Assigned SG Finserve Limited Not avl. / Not appl. Line of Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE A3 | Assigned Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 23.00 Simple ACUITE BBB- | Stable | Assigned INDUSIND BANK LIMITED Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 63.00 Simple ACUITE BBB- | Stable | Reaffirmed INDUSIND BANK LIMITED Not avl. / Not appl. Working Capital Demand Loan (WCDL) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.00 Simple ACUITE BBB- | Stable | Assigned

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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.