Press Release

Press Release

February 25, 2026

GYPELITE INDIA PRIVATE LIMITED
Rating Reaffirmed and Withdrawn

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	41.71	ACUITE B+ \| Reaffirmed & Withdrawn	-
Bank Loan Ratings	8.96	Not Applicable \| Withdrawn	-
Bank Loan Ratings	6.00	-	ACUITE A4 \| Reaffirmed & Withdrawn
Bank Loan Ratings	2.33	-	Not Applicable \| Withdrawn
Total Outstanding	0.00	-	-
Total Withdrawn	59.00	-	-

Rating Rationale

Acuite has reaffirmed and withdrawn its long-term rating at ‘ACUITE B+’ (read as ACUITE B plus) and short term rating at ‘ACUITE A4’ (read as ACUITE A four) on Rs.47.71 Cr. bank facilities of Gypelite India Private Limited (GIPL). The rating is being withdrawn on account of request received from the issuer and No Objection Certificate received from the banker.

Furthermore, Acuite has withdrawn the long-term and short-term rating on the Rs. 11.29 Cr. without assigning any rating as it is a proposed facility of Gypelite India Private Limited (GIPL). The rating is being withdrawn on account of request received from the issuer.
The rating withdrawal is in accordance with Acuité's policy on withdrawal of rating as applicable to the respective facility / instrument.

Rationale for rating
The reaffirmation of the rating continues to be constrained by its working-capital–intensive operations, reflected in elongated gross current asset days driven by high inventory levels leading to high utilisation of bank limits. The rating is also constrained on account of susceptibility of profitability to fluctuations in raw material prices and exposure to the cyclicality of the construction sector. The rating positively factors in the experienced management and company’s stable scale of operations and profitability in FY2025 while revenue remained largely unchanged due to subdued demand and lower order inflow.

About the Company

Gypelite India Private Limited (GIPL) was incorporated in 2015 and has its registered office in Nellore, Andhra Pradesh, India. The company is promoted by Mr. Ramesh Chowdary Janarthanam, Mr. Jayanthi Ramesh Chowdary and Mr. Dagubati Lakshmi Madhusuthan. The company is into manufacturing of gypsum boards by using gypsum powder and gypsum liners. GIPL has the installed capacity to produce 15,000 gypsum boards in a single day. GIPL also supplies gypsum powder to major construction companies like Larsen and Toubro limited, Shapoorji Pallonji and company private limited amongst others.

Unsupported Rating

Not applicable

Analytical Approach

Acuité has considered the standalone business and financial risk profile of Gypelite India Private Limited (GIPL) to arrive at the rating.

Key Rating Drivers

Strengths

Established track record of operations and experienced management
Gypelite India Private Limited (GIPL), incorporated in 2015, has an established operational track record in the manufacturing of gypsum boards and gypsum powder, catering to construction sector requirements across multiple southern states. The company has steadily expanded its customer base and geographical presence, with operations covering major markets in Andhra Pradesh, Tamil Nadu and Karnataka, and has recently widened its reach to two additional states.

Stable operating performance
GIPL’s revenue stood at Rs. 67.71 Cr. in FY2025 against Rs. 68.14 Cr. in FY2024. The stagnant revenue growth was primarily due to sluggish demand in the construction sector during the first two quarters, further impacted by an extended monsoon that hindered order inflows. The operating profit margin remained healthy at 19.47 percent in FY2025, though marginally lower than 22.31 percent in FY2024, owing to increased raw material costs and lower realization. The PAT margin remained stable, showing a slight improvement to 2.12 percent in FY2025 from 2.46 percent in FY2024. Further till 9MFY2026, the company has generated revenue of Rs. 63.36 Cr. with operating and net profitability margins at 19.44 percent and 6.19 percent respectively.

Weaknesses

Below- Average Financial Risk Profile
The financial risk profile of the company remains below average, marked by low net worth, high gearing and moderate debt protection metrics. The company’s net worth remained low at Rs. 9.62 Cr. as on March 31, 2025, as against Rs. 3.24 Cr. as on March 31, 2024. This improvement was primarily driven by an equity infusion of approximately Rs. 4.5 Cr. and an additional Rs. 5 Cr. in securities premium. The total debt, largely comprising long-term borrowings, stood at Rs. 49.05 Cr. as on March 31, 2025, compared with Rs. 52.43 Cr. as on March 31, 2024. The gearing and TOL/TNW levels remained high and stood at 5.10 times and 7.17 times, respectively, as on March 31, 2025, compared to 16.18 times and 21.53 times in the previous year. The debt protection metrics are moderate with debt service coverage ratio (DSCR) and interest coverage ratio (ICR) of 1.05 times and 2.17 times respectively as on March 31, 2025 as against 1.33 times and 2.17 times as on March 31st 2024. Debt to EBITDA stood at 3.65 times as on March 31, 2025 against 3.43 times as on March 31, 2024.

Intensive nature of working capital operations
Working capital operations of the company remained intensive in nature as reflected through the Gross Current Asset days (GCA) days of 258 day during FY2025, against 206 days in FY2024. The elongation of GCA is due to higher inventory. The inventory holding days stood at 256 days during FY2025 against 192 days in FY2024. GIPL generally maintains its main raw material i.e. Gypsum rock inventory required for 3 months, other raw materials for 2 months and finished goods for 2 months, leading to higher inventory days. Debtor days stood at 22 days during FY2025 against 31 days in FY2024. GIPL allows credit period of 30 days to its customers and enjoys an extended credit period of 90 days from its suppliers. The current ratio stood moderate at 1.37 times as on March 31, 2025 against 1.08 times as on March 31, 2024. High inventory holding period resulted in high reliance of its fund based working capital facilities of Rs.13.50 Cr at 99.98 per cent during the past 6 months ending December 2025.

Susceptibility of profitability to fluctuations in raw material prices and cyclicality in construction sector
Indian gypsum board industry is largely fragmented and faces stiff competition from established domestic players which sometimes results in lower price quotations for the customers and yields less margins. Furthermore, the performance is susceptible to cyclicality in the end user industries. GIPL products such as gypsum boards and gypsum powder are mainly used in construction sector, which is susceptible to the seasonal cyclicality and any adverse weather conditions may affect the demand and supply of gypsum boards.

Rating Sensitivities

Not Applicable

Liquidity Position

Stretched

GIPL’s liquidity position is stretched as the company has high reliance on its fund based working capital facilities with 99.98 per cent utilisation during the past 6 months ending December 2025, there are instances of overutilisation however not more than 30 consecutive days. The company has net cash accruals (NCA) of Rs.7.24 Cr. on March 31, 2025 against debt repayment obligations of Rs. 6.56 Cr. The current ratio stood at 1.37 times in FY25 and 1.08 times in FY24.

Outlook: Not Applicable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	67.71	68.14
PAT	Rs. Cr.	1.43	1.68
PAT Margin	(%)	2.12	2.46
Total Debt/Tangible Net Worth	Times	5.10	16.18
PBDIT/Interest	Times	2.17	2.17

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
09 Jul 2025	Proposed Short Term Bank Facility	Short Term	2.33	ACUITE A4 (Reaffirmed)
	Letter of Credit	Short Term	6.00	ACUITE A4 (Reaffirmed)
	Cash Credit	Long Term	13.50	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	9.41	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	9.19	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	6.00	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	0.57	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	1.73	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	1.18	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	0.13	ACUITE B+ \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	8.96	ACUITE B+ \| Stable (Reaffirmed)
17 Apr 2024	Proposed Short Term Bank Facility	Short Term	4.33	ACUITE A4 (Reaffirmed)
	Letter of Credit	Short Term	4.00	ACUITE A4 (Reaffirmed)
	Funded Interest Term Loan	Long Term	11.17	ACUITE B+ \| Stable (Reaffirmed)
	Proposed Cash Credit	Long Term	4.00	ACUITE B+ \| Stable (Assigned)
	Funded Interest Term Loan	Long Term	0.80	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	11.13	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	7.02	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	2.66	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	3.04	ACUITE B+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	9.50	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	1.35	ACUITE B+ \| Stable (Reaffirmed)
17 Aug 2023	Letter of Credit	Short Term	4.00	ACUITE A4 (Reaffirmed)
	Proposed Short Term Bank Facility	Short Term	1.85	ACUITE A4 (Reaffirmed)
	Funded Interest Term Loan	Long Term	1.06	ACUITE B+ \| Stable (Reaffirmed)
	Cash Credit	Long Term	9.50	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	11.19	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	11.33	ACUITE B+ \| Stable (Reaffirmed)
	Funded Interest Term Loan	Long Term	7.09	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	4.02	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	3.52	ACUITE B+ \| Stable (Reaffirmed)
	Working Capital Term Loan	Long Term	1.44	ACUITE B+ \| Stable (Reaffirmed)
14 Jul 2023	Letter of Credit	Short Term	4.00	ACUITE A4 (Reaffirmed & Issuer not co-operating*)
	Proposed Short Term Bank Facility	Short Term	4.25	ACUITE A4 (Reaffirmed & Issuer not co-operating*)
	Term Loan	Long Term	26.00	ACUITE B+ (Reaffirmed & Issuer not co-operating*)
	Funded Interest Term Loan	Long Term	1.05	ACUITE B+ (Reaffirmed & Issuer not co-operating*)
	Covid Emergency Line.	Long Term	8.68	ACUITE B+ (Reaffirmed & Issuer not co-operating*)
	Working Capital Term Loan	Long Term	1.52	ACUITE B+ (Reaffirmed & Issuer not co-operating*)
	Cash Credit	Long Term	9.50	ACUITE B+ (Reaffirmed & Issuer not co-operating*)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
State Bank of India	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	13.50	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Funded Interest Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Mar 2030	9.41	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Funded Interest Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Mar 2030	9.19	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Funded Interest Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Mar 2030	6.00	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Funded Interest Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jul 2025	0.13	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Letter of Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	6.00	Simple	ACUITE A4 \| Reaffirmed & Withdrawn
Not Applicable	Not avl. / Not appl.	Proposed Long Term Bank Facility	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	8.96	Simple	ACUITE Not Applicable \| Withdrawn
Not Applicable	Not avl. / Not appl.	Proposed Short Term Bank Facility	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	2.33	Simple	ACUITE Not Applicable \| Withdrawn
State Bank of India	Not avl. / Not appl.	Working Capital Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Aug 2025	0.57	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Working Capital Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jul 2026	1.73	Simple	ACUITE B+ \| Reaffirmed & Withdrawn
State Bank of India	Not avl. / Not appl.	Working Capital Term Loan	Not avl. / Not appl.	Not avl. / Not appl.	01 Jul 2028	1.18	Simple	ACUITE B+ \| Reaffirmed & Withdrawn

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Anuja Bele
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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