Press Release

Press Release

March 23, 2026

SRMB SRIJAN PRIVATE LIMITED
Rating Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	166.50	ACUITE AA- \| Stable \| Reaffirmed	-
Bank Loan Ratings	130.00	-	ACUITE A1+ \| Reaffirmed
Total Outstanding	296.50	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuite has reaffirmed its long-term rating of ‘ACUITE AA-’ (read as ACUITE double A minus) and short-term rating of ‘ACUITE A1+’ (read as ACUITE A one plus) for Rs. 296.50 Cr. bank facility of SRMB Srijan Private Limited (SSPL). The outlook remains ‘Stable’.

Rationale for rating
The rating takes into account the moderation in operating income of the company due to correction in steel prices while the volume sold has increased. Moreover, the company has registered revenue of ~Rs.2107.05 Cr. till February 2026. The EBITDA and PAT margin have improved in FY25. In addition, the financial risk profile of the company is robust, marked by low gearing and healthy net worth and debt protection metrics. Furthermore, the company has ongoing capex for the expansion and refurbishment of existing manufacturing facilities and product portfolio which is expected to support the topline and margins of the company over the medium term. The rating also draws comfort from the strong liquidity profile marked by healthy net cash accruals, efficient working capital cycle, low bank limit utilization and high current ratio. In addition, unencumbered fixed deposits and security deposits from dealers/distributors provide ample liquidity to the company. However, Acuité notes that any exposure to group entities will remain monitorable. The rating further remains constrained by the intense competition and vulnerability of the operating margins owing to the inherent cyclicality of the steel industry.

About the Company

Incorporated in 2001, Kolkata based SRMB Srijan Private Limited (SSPL) is engaged in manufacturing of billets and TMT bars. SSPL is headed by Mr. Brij Mohan Beriwala, Mr. Nikunj Beriwala and Mr. Ashish Beriwala. The company’s manufacturing unit is located at Durgapur, West Bengal.
The company sells TMT under the brand name ‘SRMB’. and sells steel for window section under brand name ‘SRMB Real edge’. The brand ambassadors for ‘SRMB’ are ex world cup winning captains of Indian cricket team Mr. M S Dhoni, Mr. Kapil Dev and Mr. Rohit Sharma. The brand ambassador for SRMB REALEDGE is renowned Bollywood actress Madhuri Dixit. SRMB REAL FABRICA’ hollow steel pipes, represented by Mr. Saswata Chatterjee. SSPL is also an associate sponsor of ATK Mohun Bagan FC, which participates in Indian Super League.

Unsupported Rating

Not Applicable

Analytical Approach

Acuité has taken a standalone view of the business and financial risk profile of SSPL to arrive at the rating.

Key Rating Drivers

Strengths

Long track record of operations and strong brand recall
The group was established in the 1950s by Late Radha Kishan Beriwala, who was among the early participants in the steel industry in Eastern India and had set up four manufacturing units in Howrah during that period. The group is currently led by Shri Brij Mohan Beriwala, son of the founder. SSPL incorporated in 2001, has been able to establish itself as a leading player in TMT segment in Eastern India. The company has an extensive distribution channel which includes 70 distributors and 2200 dealers across 11 states in India such as West Bengal, Jharkhand, Assam and others. Presently Mr. Brij Mohan manages the day-to-day operations of the company and is assisted by his sons Mr. Ashish & Nikunj Beriwala. SSPL sells TMT bars under its brand name ‘SRMB’ which has a strong brand recall especially in West Bengal. Acuite believes that the company will continue to derive benefit from the long track record of operations and experienced management’s strong understanding of market dynamics.

Moderation in revenue albeit improving profitability margins
SSPL had registered a healthy revenue of around Rs. 2454.74 Cr. in FY2025 as against Rs. 2529.52 Cr. in FY2024. A moderation in topline is mainly due to correction of average realization albeit a marginal increase in volume sold of TMT bars. The company commands brand recall and premium pricing, which has led to maintaining margins despite the market fluctuations. This strategy helps to safeguard profitability. The company has achieved revenues of Rs. 2107.05 Cr. till February 2026. The operating margin of the company stood at 6.70 percent in FY2025 as against 5.45 per cent in FY2024 supported by decrease in raw material procurement prices and other operating expenses. The PAT margins stood at 4.15 percent in FY2025 as against 2.83 per cent in FY2024. Further, the EBITDA margin and PAT margin stood at 6.16 percent and 3.58 percent respectively till January 2026. Acuite expects the scale of operations of the company to remain on similar levels in the near to medium term supported by higher sales volume of TMT Bars and billets coupled with focusing on expanding existing facilities and product portfolio, thereby elevating the overall revenue of the company.

Efficient Working capital operations
The working capital management of the company continues to remain efficient marked by Gross Current Assets (GCA) of 68 days as on 31 March 2025 as against 50 days as on 31March 2024 on account of low inventory levels towards year end due to push sell mechanism adopted by company for retail sales through their dealer and distributor network. The inventory holding stood at 16 days in FY25 as against 10 days in FY24. The debtor days stood at 44 days in FY25 as against 34 days in FY24. The company offers extended credit periods to dealers/distributors in exchange of security deposits. Against this, the Company enjoys a credit of about 10-12 days from its suppliers. Acuite expects the working capital operations of the company to remain at similar levels in the near to medium term.

Robust financial risk profile
The financial risk profile of the company is marked by strong net worth, gearing below unity and strong debt protection metrics. The net worth of the company stood at Rs.591.99 Cr. as on March 31, 2025, as against Rs.490.08 Cr. as on March 31, 2024, due to accretion to reserves. The gearing stood comfortable at 0.06 times in FY2025 as against 0.02 times in FY2024. The Company has prepaid the outstanding term loan of Rs.6.36 Cr. from SBI Bank through internal accruals in FY25. The strong debt protection metrics of the company are marked by Interest coverage ratio (ICR) at 11.18 times and debt service coverage ratio (DSCR) at 7.39 times in FY2025. Acuite believes that the Company’s financial risk profile will remain robust due to strong capital structure and debt protection metrices despite future capex plans.

Weaknesses

Intense competition and inherent cyclicality in the steel industry
The company is operating in a competitive and fragmented industry due to the presence of a large number of unorganized players and low entry barriers. Moreover, demand for steel products predominantly depends on the construction and infrastructure sectors. Thus, the profit margins and sales of the company remain exposed to the inherent cyclicality in these sectors. Furthermore, the fluctuation in prices of raw materials and goods is considerably unstable, making this a crucial aspect to watch in the near to medium term.

Rating Sensitivities

Potential triggers (individual or collective) for an upward rating action:

Significant growth in revenues by 30-40% while maintaining profitability at healthy level

Potential triggers (individual or collective) for a downward rating action:

Weakening of business performance reflected through reduced scale or profitability
Elongated working capital cycle
Sizeable financial support or outflows to group entities above Rs.100 crore, which could impact liquidity and leverage

Liquidity Position

Strong

The company has strong liquidity reflected from growing and healthy net cash accrual of Rs.118.51 Cr. during FY2025 as against repayment obligation of Rs.2.88 Cr. However, the Company has prepaid its outstanding term loans of Rs.6.36 Cr with SBI Bank in FY25. In addition, average utilization of working capital limits at 22 per cent for fund based and 42% for non- fund based (consolidated) for last 8 months ended January 2026. Further, the working capital requirement of the company stood efficient as reflected from GCA days of 68 days as on March 31, 2025 as against 50 days as on 31st March 2024. The security deposits received from the dealer/ distributors provide ample liquidity to the Company. As on March 31, 2025, the free FDs with bank were about Rs.115 Cr. So, dependence on external borrowings is low. The cash and bank balances as on Jan 26 stands at Rs.51 Cr. The current ratio stood comfortable at 3.20 times as on 31st March 2025. The company has ongoing capex plans for the expansion of existing manufacturing facilities and product portfolio which is expected to support the topline and margins of the company over the medium term. Furthermore, the company is expected to support its group entities for capex of manufacturing products for SRMB which is expected to support the operational efficiency of SRMB over the long term. Acuite believes the liquidity position of the company will remain strong, backed by healthy accruals, efficient working capital management, and a high current ratio over the medium term albeit expected support to group entities to facilitate their capex programmes.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	2454.74	2529.52
PAT	Rs. Cr.	101.95	71.47
PAT Margin	(%)	4.15	2.83
Total Debt/Tangible Net Worth	Times	0.06	0.02
PBDIT/Interest	Times	11.18	9.26

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
27 Dec 2024	Bank Guarantee/Letter of Guarantee	Short Term	10.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	60.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	30.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	20.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	10.00	ACUITE A1+ (Reaffirmed)
	Cash Credit	Long Term	55.00	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
	Cash Credit	Long Term	25.00	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
	Cash Credit	Long Term	10.00	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
	Cash Credit	Long Term	14.00	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
	Term Loan	Long Term	7.84	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
	Cash Credit	Long Term	40.00	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
	Proposed Long Term Bank Facility	Long Term	14.66	ACUITE AA- \| Stable (Upgraded from ACUITE A+ \| Stable)
24 Jun 2024	Cash Credit	Long Term	55.00	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	30.00	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	10.00	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	14.00	ACUITE A+ \| Stable (Reaffirmed)
	Term Loan	Long Term	9.11	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	40.00	ACUITE A+ \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	18.39	ACUITE A+ \| Stable (Reaffirmed)
	Bank Guarantee/Letter of Guarantee	Short Term	10.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	60.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	30.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	20.00	ACUITE A1+ (Reaffirmed)
27 Mar 2023	Cash Credit	Long Term	55.00	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	30.00	ACUITE A+ \| Stable (Reaffirmed)
	Term Loan	Long Term	34.37	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	10.00	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	14.00	ACUITE A+ \| Stable (Reaffirmed)
	Term Loan	Long Term	12.73	ACUITE A+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	40.00	ACUITE A+ \| Stable (Assigned)
	Proposed Long Term Bank Facility	Long Term	0.40	ACUITE A+ \| Stable (Assigned)
	Bank Guarantee/Letter of Guarantee	Short Term	10.00	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	56.90	ACUITE A1+ (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	3.10	ACUITE A1+ (Assigned)
	Bank Guarantee (BLR)	Short Term	30.00	ACUITE A1+ (Reaffirmed)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
Punjab National Bank	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	60.00	Simple	ACUITE A1+ \| Reaffirmed
State Bank of India	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	30.00	Simple	ACUITE A1+ \| Reaffirmed
ICICI BANK LIMITED	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	20.00	Simple	ACUITE A1+ \| Reaffirmed
H D F C Bank Limited	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	10.00	Simple	ACUITE A1+ \| Reaffirmed
South Indian Bank	Not avl. / Not appl.	Bank Guarantee/Letter of Guarantee	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	10.00	Simple	ACUITE A1+ \| Reaffirmed
ICICI BANK LIMITED	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	40.00	Simple	ACUITE AA- \| Stable \| Reaffirmed
State Bank of India	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	55.00	Simple	ACUITE AA- \| Stable \| Reaffirmed
H D F C Bank Limited	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	25.00	Simple	ACUITE AA- \| Stable \| Reaffirmed
South Indian Bank	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	10.00	Simple	ACUITE AA- \| Stable \| Reaffirmed
Punjab National Bank	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	14.00	Simple	ACUITE AA- \| 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.	22.50	Simple	ACUITE AA- \| Stable \| Reaffirmed

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Manvi Khaitan
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.

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