Press Release

Press Release

September 30, 2025

LUCKY GLOBAL PROJECTS PRIVATE LIMITED
Rating Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	50.00	ACUITE BB- \| Stable \| Reaffirmed	-
Bank Loan Ratings	127.00	-	ACUITE A4 \| Reaffirmed
Total Outstanding	177.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuite has reaffirmed its long-term rating of 'ACUITE BB-' (read as ACUITE double B minus) and short-term rating of 'ACUITE A4' (read as ACUITE A four) on the bank facilities Rs.177.00 Crore of Lucky Global Projects Private Limited (LGPPL). The outlook is 'Stable'.

Rationale for Rating
The rating reaffirmation factors in the modest scale of operations marked by an operating income of Rs.171.11 Cr. in FY2025 (Prov.) as against Rs.169.64 Cr. in FY2024. The EBITDA margin and PAT Margin stood at 7.95% and 1.92% respectively in FY2025 (Prov.). The company has unexecuted orders in hand of Rs.206.83 Crore as on August, 2025 providing near term revenue visibility. Moreover, the company has clocked Rs.31.28 Cr. in 5M FY2026. Additionally, financial risk profile of the company is moderate as reflected by gearing of 1.09 times as on 31st March 2025 (Prov.) and interest coverage ratio and debt service coverage ratio at 1.61 times and 1.05 times respectively as on 31st March 2025 (Prov.). The rating further draws comfort from the established track record of operations and experience of the management in the Engineering, Procurement and Construction business. However, the rating is partially offset by stretched liquidity profile marked by low net cash accruals and high reliance on bank lines to fund working capital requirements as well as intensive working capital operations marked by GCA days at 314 days as on 31st March 2025 (Prov.) as against 294 days as on 31^st March 2024 owing to nature of operations and same will remain a key monitorable factor. Furthermore, the rating is also constrained by the worldwide EPC division's inherent unevenness and the uncertain order intake resulting from the order securing tendering process. The company's profitability is also vulnerable to presence in competitive industry and the risk of foreign exchange fluctuations resulting from receivables measured in foreign currencies.

About the Company

Incorporated in 2021, Lucky Global Projects Private Limited (LGPPL) is engaged in Engaged in Engineering, Procurement and Construction (EPC). The company is based in Delhi and offers a wide range of projects from Concept to Commissioning for Greenfield and Modernization / Conversion / Expansion / Rehabilitation, in the following fields - Power, Industry, Agriculture, Education, Infrastructure, Healthcare etc. The company operations are ISO certified, extending across Africa, Southeast Asia, and India. Mr. Vinay Kumar Singh, Mr. Diwakar Mishra and Mr. Aashish Oberai are the present directors of the company.

Unsupported Rating

Not Applicable

Analytical Approach

Acuite has considered the standalone business and financial risk profile of Lucky Global Projects Private Limited to arrive at the rating.

Key Rating Drivers

Strengths

Experienced management and established track record of operations
The company has a long track record of operations in the civil construction business with an established track record of project execution contracts in the African continent. The company is managed by Mr. Vinay Kumar Singh, Mr. Diwakar Mishra and Mr. Aashish Oberai who have been associated in the same line of industry for over three decades. The company gains from the promoters' extensive background and established foothold in Africa. Acuite expects that operations of the company will grow over medium term backed by promoters' experience and knowledge of the local business landscape.

Modest Scale of Operations
The operating income of the company stood at Rs.171.11 Cr. in FY2025 (Prov.) as against Rs.169.64 Cr in FY2024. The EBITDA margin of the company stood at 7.95 per cent in FY2025 (Prov.) as against 7.58 per cent in FY2024 and the PAT margin of the company stood at 1.92 per cent in FY2025 (Prov.) against 1.55 per cent in FY2024. Additionally, ROCE of the company stood at 11.32% in FY2025 (Prov.). The increase in revenue and profitability is on the back of orders executed by the company. Furthermore, the company has clocked Rs.31.28 Cr. in 5M FY2026. In addition, the company has an unexecuted order book of Rs.206.83 Crore as on 31^st August, 2025 providing near term revenue visibility (approximately 1.21x of revenue of the company in FY2025 (Prov.)). The projects executed by the company are extending across Africa, Southeast Asia, and India and are on direct tendering basis. Moreover, the company also has tenders in bid of Rs.793.66 Cr. as on 31^st August, 2025. Going forward, revenue and profitability of the company is expected to remain steady in near to medium term on the back of execution of orders in hand along with incremental order book of the company. However, the ability of the company to bag new orders and timely execution of the existing orders will remain a key rating monitorable.

Moderate Financial Risk Profile
The financial risk profile of the company is moderate marked by net-worth of Rs.57.43 Crore as on 31st March 2025 (Prov.) against Rs.52.23 Crore as on 31st March 2024. The increase in the net-worth is on an account of accretion of profits into reserves and treatment of unsecured loans as quasi equity. The total debt of the company stood at Rs.62.82 Crore as on 31st March 2025 (Prov.) against Rs.58.93 Crore as on 31st March 2024. The capital structure of the company is marked by gearing ratio which stood at 1.09 times as on 31st March 2025 (Prov.) against 1.13 times as on 31st March 2024. Further, the coverage indicators of the company improved reflected by interest coverage ratio and debt service coverage ratio which stood at 1.61 times and 1.05 times respectively as on 31st March 2025 (Prov.) against 1.57 times and 1.21 times respectively as on 31st March 2024. The TOL/TNW ratio of the company stood at 2.45 times as on 31st March 2025 (Prov.) against 2.66 times as on 31st March 2024 and DEBT-EBITDA stood at 4.60 times as on 31st March 2025 (Prov.) against 4.58 times as on 31st March 2024. Acuité expects that going forward the financial risk profile of the company will remain in similar range with no major debt funded capex plans.

Weaknesses

Intensive Working Capital Operations
The working capital operations of the company are intensive marked by GCA days which stood at 314 days as on 31st March 2025 (Prov.) as against 294 days as on 31^st March 2024. The EPC business retains a naturally elevated working capital intensity, attributed to prolonged project execution timelines, payments tied to project milestones, and the release of retention money as reflected by high debtor days which stood at 285 days as on 31st March 2025 (Prov.) against 256 days as on 31st March 2024. Further, the inventory holding stood at 7 days as on 31^st March 2025 (Prov.) against 9 days as on 31st March 2024 and the creditor days stood at 214 days as on 31^st March 2025 (Prov.) against 188 days as on 31^st March 2024. In addition, the average fund based and non-fund based bank limit utilization of the company stood high at 93.23% and 66.85% respectively for the last six months ended August, 2025. Acuite believes that working capital operations of the company is likely to remain in similar range in near to medium term owing to the nature of operations and same will remain a key monitorable factor.

Intense competition and cyclicality in the EPC industry and Exposure to Foreign Exchange risk
LGPPL undertakes construction under the EPC model, wherein revenue and profitability depends on successful bidding. Competitive pressure and tender-based nature of business may continue to constrain scalability, pricing power and profitability. Moreover, though the business risk profile is expected to remain stable, backed by orders from existing clients, revenue remains susceptible to economic cycles that impact the construction industry. Furthermore, as majority of the revenue of the company comes from African nations, it puts its export receivables at risk from foreign exchange fluctuations.

Rating Sensitivities

Sustainability in the growth in scale of operations while improving profitability margins.
Timely execution of orders in hand
Working Capital Operations

Liquidity Position

Stretched

The liquidity profile of the company is stretched marked by net cash accruals of Rs.3.92 Crore as on 31^st March 2025 (Prov.) against the debt repayment obligation of Rs.3.36 Crore over the same period. Going forward, the company is expected to generate net cash accruals under the range of Rs.4.50 Crore to Rs.5.20 Crore against the debt repayment obligations up to Rs.4.32 Crore in the next two years. The current ratio of the company stood at 1.24 times as on 31st March 2025 (Prov.) against 1.08 times as on 31st March 2024. The cash and cash equivalents available with the company stood at Rs.6.89 Crore as on 31st March 2025 (Prov.). In addition, the average fund based and non-fund based bank limit utilization of the company stood high at 93.23% and 66.85% respectively for the last six months ended August, 2025. Acuite expects that company’s liquidity is likely to remain similar due to low net cash accruals and high reliance on bank lines to fund working capital requirements and will remain a key monitorable factor.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Provisional)	FY 24 (Actual)
Operating Income	Rs. Cr.	171.11	169.64
PAT	Rs. Cr.	3.28	2.63
PAT Margin	(%)	1.92	1.55
Total Debt/Tangible Net Worth	Times	1.09	1.13
PBDIT/Interest	Times	1.61	1.57

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
• 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

Date	Name of Instruments/Facilities	Term	Amount (Rs. Cr)	Rating/Outlook
02 Jul 2024	Bank Guarantee (BLR)	Short Term	80.00	ACUITE A4 (Assigned)
	Bank Guarantee (BLR)	Short Term	22.00	ACUITE A4 (Assigned)
	Letter of Credit	Short Term	25.00	ACUITE A4 (Assigned)
	PC/PCFC	Long Term	9.00	ACUITE BB- \| Stable (Assigned)
	PC/PCFC	Long Term	38.00	ACUITE BB- \| Stable (Assigned)
	PC/PCFC	Long Term	3.00	ACUITE BB- \| Stable (Assigned)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
Canara Bank	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	80.00	Simple	ACUITE A4 \| Reaffirmed
Yes Bank Ltd	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	22.00	Simple	ACUITE A4 \| Reaffirmed
Canara Bank	Not avl. / Not appl.	Letter of Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	25.00	Simple	ACUITE A4 \| Reaffirmed
Canara Bank	Not avl. / Not appl.	PC/PCFC	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	42.00	Simple	ACUITE BB- \| Stable \| Reaffirmed
Yes Bank Ltd	Not avl. / Not appl.	PC/PCFC	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	8.00	Simple	ACUITE BB- \| Stable \| Reaffirmed

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

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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