Press Release May 22, 2026 KERAFIBERTEX INTERNATIONAL 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	16.75	ACUITE BBB- | Stable | Assigned	-	RBI
Bank Loan Ratings	0.00	71.25	-	ACUITE A3 | Assigned	RBI
Total Outstanding	0.00	88.00	-	-	-
Total Withdrawn	0.00	0.00	-	-	-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  its long-term rating of ‘ACUITE BBB-’ (read as ACUITE Triple B minus) on the Rs. 16.75 Cr. bank facilities and short-term rating of ‘ACUITE A3’ (read as ACUITE A three) on the Rs.71.25 Cr. bank facilities of Kerafibertex International Private Limited is (KIPL). The outlook is 'Stable'. Rationale for rating assigned The assigned rating considers extensive experience of the promoters and established operational track record. The rating also factors in the steady growth in operating performance and moderate financial risk profile marked by healthy debt protection metrics and moderate gearing. However, the rating is constrained by the moderately intensive working capital operations, customer concentration risk, susceptibility of profitability to volatility in raw material prices and forex risk.

About the Company

Kerafibertex International Private Limited (KIPL) was incorporated in 2000. Based in Kochi, Kerala, is a prominent manufacturer and exporter of eco-friendly flooring solutions, primarily using natural fibers like coir, jute, and rubber. It operates four manufacturing units in Kerala (Cherthala, Alappuzha, Kakkanad, and Changanacherry). The current directors of the company are Mr. Egidio Giacomini, Mr. Padinjareparimanathu Sundaran Noby, Mr. Giacomini Eleonora, Ms. Zoppas Gianna, and Ms. Giacomini Emilia.

Unsupported Rating

­Not applicable.

Analytical Approach

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

Key Rating Drivers

Strengths

­Extensive experience of the promoters and established operational track record in the export market KIPL, promoted by Mr. Egidio Giacomini, Ms. Giacomini Eleonora and Mr. Padinjareparimanathu Sundaran Noby, has more than two decades’ experience in the coir industry. The company is engaged in the manufacturing and export of mats and rolls made from natural fibres such as coir, jute, and rubber. KIPL operates four manufacturing units located in Cherthala, Alappuzha, Kakkanad, and Changanacherry, all in Kerala. It primarily exports its products to the United States, Italy, and other European markets, with the US being a key destination. Over the years, the company’s long-standing presence has helped it build good relationships with reputed clients, including IKEA, Target, and Home Depot, across the US and Europe. Acuité believes that the promoter's extensive industry experience and established relationship with its customers will aid KIPL's business risk profile over the medium term. Steady improvement in operating performance The company has reported YOY growth of 13.97 percent in revenues which stood at Rs. 351.52 Cr. in FY2026(Prov) as against Rs.308.43 Cr. in FY2025 and Rs. 237.02 Cr. in FY2024. This growth was driven by higher production volumes of its products i.e. rubber backed coir mat, Jute mat, due to higher demand from the customers. EBTIDA margins stood range bound at 7.59 percent in FY2026(Prov) as against 7.42 Percent in FY2025 and 7.83 Percent in FY2024. The stable margin on account of increased material cost on proportionate basis. The company’s primary raw materials include coir, cotton rugs, and polypropylene. Coir is procured domestically from Tamil Nadu, while cotton rugs and polypropylene are imported. Acuite believes that, the operating performance of the company would remain steady in the near to medium term due to stable demand. Moderate financial risk profile Company’s financial risk profile is moderate, marked by moderate net worth along gearing and healthy debt protection metrics. The net worth of the company stood modest at Rs.58.21 Cr. as on March 31st, 2026(Prov), against Rs.45.70 Cr. as on March 31, 2025, and Rs. 36.63 Cr. as on March 31st, 2024, respectively. The net worth improved on account of accretion of profits in reserves. The gearing of the company stood at 1.20 times as on March 31,2026(Prov), as against 1.36 times as on March 31, 2025, and 1.60 times as on March 31st, 2024. Company is having long-term debt of Rs. 19.78 Cr, short term debt of Rs. 47.67 Cr, USL of Rs. 2.30 Cr. Company’s debt protection metrics is healthy marked by– Interest coverage ratio (ICR) and debt service coverage ratio (DSCR) stood at 5.40 times and 2.84 times as on March 31, 2026(Prov), respectively as against 5.78 times and 2.32 times as on March 31, 2025, and 5.28 times and 1.88 times as on March 31, 2024. TOL/TNW stood at 2.08 times as on March 31st, 2026(Prov), against 2.66 times as on March 31st , 2025 and 2.64 times as on March 31st, 2024, respectively. The debt to EBITDA of the company stood at 2.59 times in March 2026(Prov) as against 2.69 times in FY2025 and 3.14 times in FY2024. Acuité believes that the company’s financial profile is likely to improve going forward, supported by adequate internal accrual generation and no major increase in the company's debt levels.

Weaknesses

Moderately intensive Working capital operations Company's working capital operations are moderately intensive in nature as reflected through the gross current assets (GCA) of 121 days in FY2026(Prov) against 137 days in FY2025 and 138 days in FY2024. Inventory days stood at 43 days in FY2026(Prov) compared to 41 days in FY2025, 23 days in FY2024. Debtor days stood at 62 days in FY2026(Prov) against 68 days in FY2025 and 70 days in FY2024. The Company generally provides credit period of 60-70 days to its customers. The creditor days stood at 35 days in FY2026(Prov) as against 48 days in FY2025 and 35 days in FY2024. Acuite believes that the operations of the company would remain moderately intensive in medium term on the back of elongated debtor days. Customer concentration risk The company primarily exports its products to the US and Europe, with a highly concentrated revenue base, as the top five customers accounted for 99% of total income in FY2025. Susceptibility of profitability to volatility in raw material prices and forex risk Profitability in the coir industry remains volatile, driven by fluctuations in key input costs such as coconut husk, cotton (used in rugs), and polypropylene. These costs are influenced by seasonal supply conditions, crude oil–linked polymer prices, and  Additionally, given the company’s export-oriented revenue profile, fluctuations in foreign exchange rates—particularly between the Indian Rupee and major currencies like the US Dollar and Euro—can impact realizations and overall profitability.

Rating Sensitivities

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

Growth in revenues of over 30 percent aiding expansion in scale of operations while maintaining healthy profitability Improvement in working capital cycle

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

Significant decline in revenues and profitability Large debt funded capex leading to Increase in overall gearing above 2x and DSCR below 1.5 times Elongation in working capital cycle

Liquidity Position

Adequate

Company’s liquidity is adequate marked by adequate net cash accruals (NCAs) of Rs.17.77 Cr. during FY2026(Prov), while its maturing debt obligations are Rs. 3.02 Cr. during the same period. Going forward, the company is expected to generate cash accruals in the range of Rs. 21.63-25.37 Cr. in FY26-FY27 against its repayment obligations of Rs. 3.07-3.15 Cr. The company has maintained unencumbered cash and bank balances Rs.1.05 Cr. and the current ratio stood at 1.19 times as on March 31, 2026(Prov). The working capital limit  utilization is moderate  at 67 percent for Non fund based over the 9 months ended April 2026. Acuité believes that the liquidity of the company is likely to remain adequate over the medium term.

Outlook: Stable

­

Other Factors affecting Rating

­None.

Key Financials

Particulars	Unit	FY 26 (Provisional)	FY 25 (Actual)
Operating Income	Rs. Cr.	351.52	308.43
PAT	Rs. Cr.	12.51	9.07
PAT Margin	(%)	3.56	2.94
Total Debt/Tangible Net Worth	Times	1.20	1.36
PBDIT/Interest	Times	5.40	5.78

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

Care, vide its press release dated March 05th, 2026 had denoted the rating of Kerafibertex International Private Limited as Care BB/ Stable/ A4 'Downgraded and Issuer not co-operating’.

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

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Contacts

Mohit Jain Chief Analytical Officer - Rating Operations Moparthi Anuradha Devi Senior Analyst - Rating Operations	Contact details exclusively for investors and lenders Mob: +91 8591310146 Email ID: analyticalsupport@acuite.in

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In Press Release(s) subsequent to issuance(s), Acuite shall separately capture the rated quantum details along with names of respective regulators. 4 There 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. 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. 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