Press Release March 23, 2026 VVIP INFRATECH LIMITED (ERSTWHILE VIBHOR VAIBHAV INFRA PRIVATE LIMITED) Rating Assigned

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	40.50	ACUITE BBB+ | Stable | Assigned	-
Bank Loan Ratings	121.50	-	ACUITE A2+ | Assigned
Total Outstanding	162.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

­Acuite has assigned its 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 plus) on the Rs.162 Cr. bank facilities of VVIP Infratech Limited (Erstwhile Vibhor Vaibhav Infra Private Limited). The Outlook is 'Stable'. Rationale for Rating The assigned rating reflects the company’s established operational track record of over three decades in the civil infrastructure sector. It also factors the improving scale of operations and profitability year on year, a healthy unexecuted order book of approximately Rs. 1,285.06 crore as on December 31, 2025, providing revenue visibility for the next 4-5 years, and a adequate liquidity profile of the company.  The company was listed in July 2024 through a 100% fresh issue IPO aggregating Rs. 61.21 crore. Of the total proceeds, around 82% have been utilized towards meeting working capital requirements, while the balance has been deployed for general corporate purposes and issue-related expenses. Post the IPO, the company’s financial risk profile remains healthy, marked by comfortable leverage indicators. However, these strengths are partially offset by the company’s working-capital-intensive operations, reflected in elevated gross current asset days, along with the tender-based nature of its business.

About the Company

VVIP Infratech Limited (formerly known as Vibhor Vaibhav Infra Private Limited), incorporated in 2001, is a Class “A” civil and electrical contractor with established experience in executing water, wastewater, electrification, and civil infrastructure projects. The company primarily operates across Uttar Pradesh, Uttarakhand, the NCR region, and adjoining northern markets. It has a strong execution track record, particularly in sewage treatment plants (STPs), sewerage networks, water supply infrastructure projects, and electrical distribution works. The company is managed by an experienced board comprising Mr. Vaibhav Tyagi as Managing Director and Mr. Vibhor Tyagi as Whole-time Director. The board is further supported by Mr. Praveen Tyagi, Ms. Nupur Arora, Mr. Man Mohan Goel, and Mr. Varun Agarwal as Directors.

Unsupported Rating

­Not Applicable.

Analytical Approach

­Acuite has considered the standalone business and financial risk profile of VVIP Infratech Limited to arrive at the rating.

Key Rating Drivers

Strengths

­Experienced Management The company is promoted and managed by the Tyagi family, which has over three decades of experience in the infrastructure and construction industry. The promoters oversee key strategic and operational aspects, including tender participation, project execution, and overall supervision of operations. Acuité believes that, supported by the management’s long and established track record, the company is well positioned to secure fresh orders and ensure timely execution of its existing order book over the medium term. Improving Scale of Operations & Profitability The company’s scale of operations improved by 29% in FY 25, thereby improving from Rs. 214.88 cr. in FY 24 to Rs. 277.05 cr. in FY 25. Further, the company’s healthy unexecuted order book position of Rs. 1,285.06 cr. indicates revenue visibility for next 4-5 years. The EBITDA margin of the company improved & stood at 14.45% in FY 25 as against 12.33% in FY 24. Though the company’s profitability is exposed to volatility in raw material, it has an in-built price escalation clause for major raw materials in most of its contracts. Significantly, the PAT margin of the company improved & stood at 9.48% in FY 25 against 7.91% in FY 24. The net cash accrual increased from Rs. 18.01 cr. in FY 24 to Rs. 27.40 cr. in FY 25. Till September 2025, the company reported net revenue of Rs. 129.92 crore. Acuite believes that the company’s scale of operations is likely to improve over the near to medium term, driven by a healthy and diversified order book, which is expected to support stable operating margins and revenue visibility. Healthy Financial Risk Profile The financial risk profile of the company is healthy marked by high net-worth, low gearing and comfortable debt protection metrices. The tangible net worth of the company improved & stood at Rs. 157.74 cr. as on 31st March 2025 against Rs. 78.67 cr. as on 31st March 2024. The improvement in net worth is mainly due to accretion of net profits into reserves and fresh equity capital raised through IPO. The gearing ratio & TOL/TNW of the company improved & stood at 0.18 & 0.80 times in FY 25 against 0.40 & 0.89 times in FY 24 respectively. Further, the debt coverage indicators of the company marked by ISCR & DSCR stood comfortable at 8.53 & 4.77 times respectively for FY 25. Debt/EBITDA stood below unity at 0.67 times for FY 25. Acuite believes that the company’s financial risk profile will remain healthy, primarily supported by the absence of any major debt-funded capital expenditure plans, which is expected to help maintain comfortable leverage levels over the near to medium term.

Weaknesses

Intensive Working Capital Operations The working capital operations of the company is intensive, as reflected in the high GCA of 256 days in FY25. The intensity is primarily driven by inventory holding of 114 days, average debtor realization period of 93 days and high ‘other current asset’ (primary security deposit / retention money) According to the management, the company is required to procure bulk materials such as steel, cement, pipes, and mechanical/electrical components, etc. well in advance to avoid execution delays, resulting in high inventory levels. The debtor realization increased from 44 days in FY 24 to 93 days in FY 25 mainly due to 46% of the revenue booked in the last quarter of FY 25. Acuite believes that the company’s working capital cycle is expected to remain intensive going forward, given the inherent nature of EPC operations.­ Tender based natured of operations The company’s operations remain predominantly tender-driven, exposing it to intense competition from established EPC contractors as well as regional players. This results in pressure on bid margins and can lead to volatility in the order inflow. Additionally, the tender based model often entails elongated project award timelines, pricing rigidity, and susceptibility to delays in project execution, thereby impacting overall profitability and cash-flow visibility.

Rating Sensitivities

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

Timely execution of ongoing order book Gross Current Asset (GCA) days below 175 on a sustainable basis

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

­Delay in realization of bills leading to cash flow mismatch Any delay in execution of order book which may moderate the scale of operations & profitability

Liquidity Position

Adequate

The liquidity profile of the company is adequate marked by generating net cash accruals of Rs. 27.40 Cr. in FY 2025 against the current maturities of debt obligation of Rs. 1.85 crore for the same period indicating sufficient cushion for any future endeavours. The company has cash & bank position of Rs. 0.99 Cr. and current ratio stood at 1.88 times for FY 25. The average fund-based bank limit utilization stood at 89.24% for the last six months’ period ending January 2026. Acuite believes the company's liquidity profile will remain adequate in near to medium term supported by 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.	277.05	214.88
PAT	Rs. Cr.	26.26	17.01
PAT Margin	(%)	9.48	7.91
Total Debt/Tangible Net Worth	Times	0.18	0.40
PBDIT/Interest	Times	8.53	7.99

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

­None.

Any other information

­None

Applicable Criteria

• Default Recognition :- https://www.acuite.in/view-rating-criteria-52.htm • Infrastructure Sector: https://www.acuite.in/view-rating-criteria-51.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 :

­Not Applicable

Annexure - Details of instruments rated

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum (Rs. Cr.) Complexity Level Rating ICICI BANK LIMITED Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 27.50 Simple ACUITE A2+ | Assigned 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. 64.00 Simple ACUITE A2+ | Assigned Punjab and Sind Bank Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 30.00 Simple ACUITE A2+ | Assigned Punjab and Sind Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.00 Simple ACUITE BBB+ | Stable | Assigned ICICI BANK LIMITED Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 20.00 Simple ACUITE BBB+ | Stable | Assigned H D F C 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 | Assigned Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 0.50 Simple ACUITE BBB+ | Stable | Assigned

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Contacts

Mohit Jain Chief Analytical Officer - Rating Operations Kartik Arora Senior 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.