Press Release February 19, 2026 KRIPA ANAND RISHI CELLULAR PRIVATE LIMITED Rating Upgraded & Withdrawn

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	12.50	ACUITE BB- | Upgraded & Withdrawn	-
Bank Loan Ratings	2.40	Not Applicable | Withdrawn	-
Total Outstanding	0.00	-	-
Total Withdrawn	14.90	-	-

Rating Rationale

­Acuité has upgraded and withdrawn its long-term rating to 'ACUITE BB-' (read as ACUITE double B minus) from ‘ACUITE B+’ (read as ACUITE B plus) on the Rs.12.50 Cr. bank facilities of Kripa Anand Rishi Cellular Private Limited (KARCPL). The rating has been withdrawn on account of the request received from the company and No Objection Certificate (NOC) received from the lender. Furthermore, Acuité has also withdrawn the long-term rating on the Rs.2.40 Cr. bank facility without assigning any rating as it is a proposed facility of Kripa Anand Rishi Cellular Private Limited (KARCPL). The rating has been withdrawn on account of the request received from the company.  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 rating upgrade and withdrawal considers KARCPL’s improved scale of operations in FY25 backed by sustained demand of mobile phones. Additionally, the rating also considers experienced management and established track record. These strengths are partially offset by the moderate financial risk profile and moderate working capital operations of the company. Further, the same is constrained due to the company’s presence in a highly fragmented industry.

About the Company

Incorporated in 2006, Kripa Anand Rishi Cellular Private Limited (KARCPL); based in Pune, is an authorized dealer of Samsung mobile phones and later forayed into sale of accessories and laptops in 2008. The company supplies to nearly 450 retailers in Pune. From FY25, the company also forayed into supply of medical equipment’s to government via tender participation. The directors of the company are Mr. Rohan Vijaykumar Dudhedia, Mr. Jayesh Vijaykumar Dudhedia and Mr. Manish Ramanlal Dudhedia.

Unsupported Rating

­Not applicable.

Analytical Approach

­­Acuité has considered the standalone financial and business risk profile of KARCPL to arrive at this rating.

Key Rating Drivers

Strengths

­Experienced management and established track record of operations KARCPL is engaged in distribution of electronic products for Samsung mobiles, accessories such as chargers, power bank and headphones. It has an established operational track record of more than two decades. The promoters collectively possess experience in the trading business of electronic products and the same has enabled KARCPL to establish a healthy relationship with its customers and suppliers. Improved scale of operations The revenue of KARCPL improved significantly in FY25 and stood at Rs.297.63 Cr. against Rs.207.48 Cr. in FY24 owing to sustained sales backed by new launch of mobile phones every year specifically of the Samsung ‘S’ series. Out of the total sales, 95% of the sales is from mobile phones, 3% from accessories and 2% from laptops. Further, 9MFY26 top line stood at ~Rs.150 Cr. In addition, apart from this line of business, KARCPL is also into supply of medical equipment’s to government from last one year via tender participation. The medical devices include scanning machines, MRI machines, specialized chairs, etc. The income from this stood at ~Rs.27 Cr. in FY25. The operating margin stood low at 1.55% in FY25 (1.79% in FY24). However, the gross EBITDA margin in the business is expected around 3%. Further, the PAT margin stood at 0.56% in FY25.

Weaknesses

Moderate financial risk profile The financial risk profile of KARCPL is moderate marked by improved yet modest net-worth, moderate gearing and moderate debt protection metrics. The tangible net-worth stood at Rs.17.03 Cr. in FY25 against Rs.13.37 Cr. in FY24. The total debt of the company stood at Rs.24.38 Cr. in FY25 against Rs.30.89 Cr. in FY24. The gearing (debt-equity) remained high at 1.43 times as on 31st March, 2025 (2.31 times as on 31st March, 2024). However, the interest coverage ratio and debt service coverage ratio stood comfortable at 2.05 times and 1.09 times in FY25 respectively (1.88 times and 1.17 times in FY24 respectively). Moderate working capital operations The working capital operations of KARCPL improved yet remained at moderate levels in FY25 marked by Gross Current Assets (GCA) of 77 days as against 84 days in FY24. Further, the inventory cycle of the company stood at 28 days for FY25 (31 days for FY24), whereas the creditors stood at 40 days for FY25 (21 days for FY24). The receivable days also increased slightly and stood at 43 days in FY25 (34 days for FY24). ­Highly competitive industry KARCPL operates in a highly competitive and fragmented industry. The revenues and margins from the mobile products segment depend on the changes in policies with regard to margins to vendors. The company's performance in segments, i.e. IT products and electronics, is exposed to the risk of unfavourable changes in policies. Any significant regulatory changes against the telecom industry and ecommerce players are likely to impact the company to maintain a stable business profile.

Rating Sensitivities

­Not applicable.

Liquidity Position

Adequate

The company has generated net cash accruals of Rs.1.83 Cr. in FY25 against its repayment obligation of Rs.1.49 Cr. during the same period. The current ratio stood comfortable at 1.35 times as on 31st March 2025. The company has maintained cash & bank balance of Rs.1.72 Cr. as of 31st March 2025. Further, the reliance on working capital limits is moderately high, stood at an average of ~80% for the last 6 months ended March 2025.

Outlook: Not Applicable

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Other Factors affecting Rating

­None.

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	297.63	207.48
PAT	Rs. Cr.	1.65	1.19
PAT Margin	(%)	0.56	0.57
Total Debt/Tangible Net Worth	Times	1.43	2.31
PBDIT/Interest	Times	2.05	1.88

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 • Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm • Trading Entities: https://www.acuite.in/view-rating-criteria-61.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 10 Jun 2025 Inventory Funding Long Term 10.50 ACUITE B+ (Downgraded & Issuer not co-operating* from ACUITE BB- | Stable) Term Loan Long Term 2.00 ACUITE B+ (Downgraded & Issuer not co-operating* from ACUITE BB- | Stable) Proposed Long Term Bank Facility Long Term 2.40 ACUITE B+ (Downgraded & Issuer not co-operating* from ACUITE BB- | Stable) 15 Mar 2024 Inventory Funding Long Term 10.50 ACUITE BB- | Stable (Reaffirmed) Term Loan Long Term 2.00 ACUITE BB- | Stable (Reaffirmed) Proposed Long Term Bank Facility Long Term 2.40 ACUITE BB- | Stable (Reaffirmed)

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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. Inventory Funding Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 10.50 Simple ACUITE BB- | Upgraded & Withdrawn ( from ACUITE B+ ) Not Applicable Not avl. / Not appl. Proposed Long Term Bank Facility Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.40 Simple ACUITE Not Applicable | Withdrawn State Bank of India Not avl. / Not appl. Term Loan 01 Sep 2020 Not avl. / Not appl. 31 Aug 2024 2.00 Simple ACUITE BB- | Upgraded & Withdrawn ( from ACUITE B+ )

Contacts

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

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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.