Press Release

Press Release

April 29, 2026

THIESE PRECISION PRIVATE LIMITED
Rating Assigned

Product	Quantum (Rs. Cr) (SEBI)	Quantum (Rs. Cr) (Other FSR)	Long Term Rating	Short Term Rating	Regulated By
Bank Loan Ratings	0.00	11.00	ACUITE BBB \| Stable \| Assigned	-	RBI
Bank Loan Ratings	0.00	94.00	-	ACUITE A3+ \| Assigned	RBI
Total Outstanding	0.00	105.00	-	-	-
Total Withdrawn	0.00	0.00	-	-	-

Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.

Rating Rationale

Acuité has assigned 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.105.00 Crore bank loan facilities of Thiese Precision Private Limited. The outlook is 'Stable'.

Rationale for rating
The rating factors in the company’s modest scale of operations, marked by an operating income of Rs. 214.85 crore in FY2025 with EBITDA and PAT margins at 8.74% and 2.95%, respectively. Moreover, the revenue of the company is estimated at Rs.180.35 crore in FY2026 and has unexecuted orders of Rs.84.95 crore in hand as on March 2026. Further, the rating takes into account the healthy financial risk profile of the company as reflected by the gearing ratio at 0.07 times as on 31st March 2025 along with the interest coverage ratio and debt service coverage ratio at 4.37 times and 3.08 times, respectively, as on 31st March 2025 as well as the adequate liquidity profile supported by sufficient accruals to repayment obligations, adequate cash and cash equivalents, and a moderate current ratio. The rating also draws comfort from the experience of the management in the same line of business and established relationships with customers and suppliers. However, the above-mentioned strengths are partly offset by the moderately intensive working capital operations marked by GCA days at 126 days as on 31st March 2025, susceptibility of margins to fluctuations in raw material prices, and the highly competitive nature of the industry.

About the Company

Thiese Precision Private Limited was incorporated in 2007 and is based in Navsari, Gujarat. It is engaged in the manufacturing of cold-rolled steels and strips and hot-rolled profile sections and products. The current directors of the company are Mr. Chetan Navinchandra Patel, Mr. Chetan Mansukhlal Kothari, Mr. Bimal Mehta, Mr. Shyam Bimal Mehta, Mr. Megh Bimal Mehta, and Mr. Mansukh Arjanbhai Sureja.

Unsupported Rating

Not Applicable

Analytical Approach

Acuite has considered the standalone financial and business risk profiles of Thiese Precision Private Limited (TPPL) to arrive at the rating.

Key Rating Drivers

Strengths

Established track record of operations and Experienced management
TPPL was incorporated in 2007 and is an established player in specialty cold rolled steel coils/strips and hot rolled profile sections. The operations of the company are headed by Mr. Shyam Mehta, who has over four decades of experience in the steel industry and is assisted by an experienced team. This has enabled the company in establishing healthy relationships with its suppliers and clientele from diversified industries, such as automobiles, construction, textiles, electrical, and defence, among others. Acuite believes that the company will continue to derive benefit from the established track record of operations and management’s strong understanding of market dynamics, supporting to undertake fresh orders and timely execution of the existing orders.

Modest Scale of Operations
The operating income of the company stood at Rs.214.85 crore in FY2025 against Rs.245.07 crore in FY2024. Moreover, the revenue of the company is estimated at Rs. 180.35 crore in FY2026. The decrease in revenue is on account of a decrease in sales volume. Despite this, operating profitability of the company improved, wherein the EBITDA margin stood at 8.74% in FY2025 against 4.54% in FY2024 on account of decrease in raw material procurement prices and improved cost efficiencies across employee and other operating expenses. Likewise, the PAT margin stood at 2.95% in FY2025 against 0.31% in FY2024. The stability in revenue is further backed by an unexecuted order book of Rs.84.95 crore as on March 2026, and going forward, the company expects to sustain its market position and maintain its business risk profile over the medium term, supported by the execution of orders in hand coupled with incremental order book of the company. However, the ability of the company to scale up its operations while maintaining profitability margins in the near to medium term will remain a key rating sensitivity.

Healthy Financial risk profile
The financial risk profile of the company is healthy, marked by a comfortable net worth, gearing below unity, and healthy debt protection metrics. The tangible net worth of the company stood at Rs.92.08 crore as on 31st March 2025 as against Rs.85.74 crore as on 31st March 2024. The increase in net worth is on account of the accretion of profits into reserves. The capital structure is marked by a gearing ratio, which stood at 0.07 times as on 31st March 2025 against 0.08 times as on 31st March 2024. Further, the coverage indicators are comfortable, as reflected by the interest coverage ratio and debt service coverage ratio, which stood at 4.37 times and 3.08 times, respectively, as on 31st March 2025 against 2.47 times and 1.60 times as on 31st March 2024. The TOL/TNW ratio of the company stood at 0.66 times as on 31st March 2025 against 0.61 times as on 31st March 2024 and DEBT-EBITDA stood at 0.35 times as on 31st March 2025 against 0.55 times as on 31st March 2024. Acuité expects the financial risk profile of the company to remain healthy with no major debt-funded capex in the near to medium term.

Weaknesses

Moderately Intensive Working Capital Operations
The working capital operations of the company are moderately intensive, marked by GCA days, which stood at 126 days as on 31st March 2025 as against 105 days as on 31st March 2024 wherein the company needs to extend moderate credit to its customers and maintain adequate inventory as and when required for order execution. The inventory days stood at 76 days as on 31st March 2025 against 53 days as on 31st March 2024. Further, the debtor days of the company stood at 36 days as on 31st March 2025 against 38 days as on 31st March 2024 and the creditor days stood at 101 days as on 31st March 2025 against 73 days as on 31st March 2024. Acuite expects that working capital operations of the company to remain in a similar range in the near to medium term owing to the nature of operations.

Highly competitive industry and Susceptibility of margins to fluctuations in raw material prices
The company remains exposed to the inherent challenges of operating in a highly competitive steel processing industry, where the presence of numerous organized and unorganized players limits pricing power and often compresses operating margins. In this environment, sustaining differentiation becomes difficult, especially as customer preferences are price-sensitive and market cycles can shift quickly. Further, the company’s profitability is susceptible to volatility in the prices of key raw materials, hot-rolled steel strips/coils, and wire rods. In case of any sharp raw material cost fluctuations, the ability of the company to pass on such adverse impact to its customers and sustain its operating profitability will be a key rating monitorable factor.

Rating Sensitivities

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

Consistent growth in operating income by more than 40%, supported by healthy order accretion.
Significant improvement in the operating profitability position.
Sustenance of capital structure and debt protection metrics.

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

Decline in revenue y-o-y and/or operating profitability margins below 3%.
Stretch in the working capital cycle.
Deterioration in the financial risk profile owing to any large debt-funded capex.

Liquidity Position

Adequate

The liquidity profile of the company is adequate, marked by net cash accruals of Rs.12.57 Cr. as on 31st March 2025 against the debt repayment obligations of Rs.1.08 Cr. in the same period. Additionally, the cash and cash equivalents available with the company stood at Rs.17.73 Cr. as on 31st March 2025 against Rs.0.67 Cr. as on 31st March 2024. The current ratio stood at 1.28 times as on 31st March 2025 as against 1.42 times as on 31st March 2024. Further, the fund based and non-fund based bank limits stood utilized at 24.26% and 89.52%, respectively, in the last six months ending March 2026. Acuité expects the liquidity profile of the company to remain adequate in the near to medium term, supported by sufficient accruals to debt repayment obligations, adequate cash and cash equivalents, and a moderate current ratio.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	214.85	245.07
PAT	Rs. Cr.	6.34	0.77
PAT Margin	(%)	2.95	0.31
Total Debt/Tangible Net Worth	Times	0.07	0.08
PBDIT/Interest	Times	4.37	2.47

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
• 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 :

Not Applicable

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Listing Status	Regulated By	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
AXIS BANK LIMITED	Not avl. / Not appl.	Bank Guarantee (BLR)	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	0.50	Simple	ACUITE A3+ \| Assigned
AXIS BANK LIMITED	Not avl. / Not appl.	Bills Discounting	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	5.00	Simple	ACUITE A3+ \| Assigned
AXIS BANK LIMITED	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	11.00	Simple	ACUITE BBB \| Stable \| Assigned
AXIS BANK LIMITED	Not avl. / Not appl.	Letter of Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	55.00	Simple	ACUITE A3+ \| Assigned
H D F C Bank Limited	Not avl. / Not appl.	Letter of Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	25.00	Simple	ACUITE A3+ \| Assigned
Not Applicable	Not avl. / Not appl.	Proposed Short Term Bank Facility	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	8.50	Simple	ACUITE A3+ \| Assigned

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Archita Sharma
Associate Analyst - Rating Operations

Contact details exclusively for investors and lenders

Mob: +91 8591310146
Email ID: analyticalsupport@acuite.in

List of instruments and names of regulators of the instruments

As required by SEBI Circular (SEBI/HO/DDHS/DDHS-PoD-2/I/4685/2026) dated February 10, 2026, a list of activities or instruments falling under the purview of various Financial Sector Regulators (FSRs), along with the names of respective FSRs, is being disclosed below:
A. Rating Activity:

Sr. No.	Instrument / activity Name	Regulator of the instrument
1	Listed/Proposed to be listed Bonds/Debentures/Preference Shares (all securities)	SEBI
2	Unlisted/Proposed to be unlisted Bonds/Debentures/ Preference share (all securities)	MCA
3	Listed PTCs / Securitisation Notes (originated by entities regulated by RBI)¹	SEBI
4	Listed PTCs / Securitisation Notes (originated by entities not regulated by RBI)¹	SEBI
5	Unlisted PTCs / Securitisation Notes (originated by entities regulated by RBI)¹	RBI
6	Listed Commercial Paper and NCDs with original maturity less than 1 year	RBI
7	Unlisted Commercial Paper and NCDs with original maturity less than 1 year	RBI
8	Loan Facilities (Fund/Non-Fund Based) from Bank / NBFCs/ NHB/ FIs ²	RBI
9	External Commercial Borrowings and other similar borrowings	RBI
10	Certificates of Deposit	RBI
11	Fixed Deposits raised by NBFCs, Banks, HFCs, FIs	RBI
12	Fixed Deposits raised by corporates other than NBFCs, Banks, HFCs, FIs	MCA
13	Inter Corporate Deposits/Loans extended by Corporates	MCA
14	Borrowing programme ³	-
15	Issuer Ratings ⁴	-
16	Credit Ratings for Capital Protection Oriented Schemes (by Mutal Funds and AIFs)	SEBI
17	Credit quality ratings (CQRs) for Mutual Fund Schemes and Schemes of AIFs	SEBI
18	Listed Security Receipts	SEBI
19	Unlisted Security Receipts	RBI
20	Independent Credit Evaluation (ICE)	RBI
21	Expected Loss Ratings (For Loan Facilities [Fund/Non-Fund based] from Banks/NBFCs/NHB/FIs)	RBI
22	Expected Loss Ratings (Listed / Proposed to be listed Bonds / Debentures / Preference Shares (all securities))	SEBI
23	Expected Loss Ratings (Unlisted / Proposed to be unlisted Bonds/ Debentures / Preference Shares (all securities))	MCA
24	Unlisted PTCs / Securitisation Notes (originated by entities not regulated by RBI) ¹	Investor-side Regulator such as IRDAI, PFRDA ⁵

¹Includes securitisation transactions involving assignee payout, acquirer's payout.

² Includes bank facilities such as liquidity facility, second loss facility that are part of securitisation transactions.
³There is no instrument being rated and hence, Regulator of the Instrument is not applicable. The rating scale and definitions are being followed as stipulated in SEBI Master Circular for CRAs.
⁴ The rated instrument may involve issuance of different instruments such as debt securities (listed or otherwise), bank loans, commercial paper (listed or otherwise), etc. The regulator of the instrument may accordingly be SEBI, RBI or MCA and can only be determined upon issuance. In Press Release(s) subsequent to issuance(s), Acuite shall separately capture the rated quantum details along with names of respective regulators.
⁵ These ratings were assigned during regulatory regime prior to the introduction of SEBI CRA Circular dated Feb 10, 2026 and accordingly, investor side regulators have been included.

B. Other activities:

Sr. No.	Activity Name	Regulator of the activity
1	Monitoring Agency	SEBI
2	Research activities, incidental to rating, such as research for Economy, Industries and Companies ⁶	Not applicable

⁶ permitted by SEBI vide SEBI Master Circular for CRAs.

Disclosure on instruments / activities and names of regulators:

A list of products/activities or ratings of instruments falling under the purview of various financial sector regulators (FSRs) along with the names of respective FSRs has also been duly disclosed by Acuite on its website. A link to the same has been provided below for ready reference:

https://acuite.in/Activities-and-Regulators.html

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.