Press Release

August 14, 2026

PHOENIX OVERSEAS LIMITED
Rating Assigned and Reaffirmed

Product	Quantum (Rs. Cr) (Other FSR)	Long Term Rating	Short Term Rating	Regulated By
Bank Loan Ratings	2.00	ACUITE BBB- \| Stable \| Assigned	-	RBI
Bank Loan Ratings	9.75	ACUITE BBB- \| Stable \| Reaffirmed	-	RBI
Bank Loan Ratings	20.00	-	ACUITE A3 \| Assigned	RBI
Bank Loan Ratings	50.25	-	ACUITE A3 \| Reaffirmed	RBI
Total Outstanding	82.00	-	-	-
Total Withdrawn	0.00	-	-	-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 reaffirmed the long-term rating at ‘ACUITE BBB-’ (read as ACUITE triple B minus) and the short-term rating at ‘ACUITE A3’ (read as ACUITE A three) on the Rs.60.00 Cr. bank facilities of Phoenix Overseas Limited (POL). The outlook remains ‘Stable’.

Further Acuité has assigned the long-term rating at ‘ACUITE BBB-’ (read as ACUITE triple B minus) and the short-term rating at ‘ACUITE A3’ (read as ACUITE A three) on the Rs. 22.00 Cr. bank facilities of Phoenix Overseas Limited (POL). The outlook is ‘Stable’.

Rationale for rating

The rating reaffirmation factors in the company's stable operating performance, albeit moderation in profitability during FY26, which was primarily on account of temporary disruptions in export markets. The rating further continues to factor in the longstanding experience of the management, efficient working capital cycle and moderate financial risk profile marked by healthy net worth, low gearing and moderate debt protection metrics. However, the rating remains constrained by the inherently thin net margins in the Agri commodity trading business, susceptibility of profitability to fluctuations in commodity prices and foreign exchange rates, and geographical concentration risks.

About the Company

Incorporated in 2002, Phoenix Overseas Limited (POL) is a Kolkata-based company promoted by Mr. Aparesh Nandi and Mr. Jayanta Kumar Ghosh. The company is predominately engaged the trading and marketing of agricultural commodities, animal feed products, and food grains. Its product portfolio comprises corn, oil cakes, spices (including dry red chillies, coriander, and cumin seeds), rice, wheat, sorghum, tea, pulses, soybean meal, and rice bran de-oiled cake. The company is also involved in the import of lentils, black urad dal, and tur dal into India. In addition to its trading operations, POL is engaged in the manufacturing and export of bags and fashion accessories made from jute, cotton, canvas, and leather. The company exports agricultural commodities and food products primarily to Bangladesh, while its bag manufacturing division caters to customers across Europe (including France, Italy, and Germany), the UAE, and Australia. Further, POL has a presence in the warehousing and cold storage segment through a multipurpose cold storage facility and a potato cold storage facility located at Malda, West Bengal, with a combined storage capacity of approximately 11,827 MT. The company also operates a warehouse with an installed capacity of 17,000 MT, supporting its commodity trading and storage activities.

Unsupported Rating

Not Applicable

Analytical Approach

Acuité has considered the standalone business and financial risk profile of POL while arriving at the rating.

Key Rating Drivers

Strengths

Experienced Management and Diversified Business Operations
Phoenix Overseas Limited (POL) benefits from the extensive experience of its promoters and directors, Mr. Aparesh Nandi, Mr. Jayanta Kumar Ghosh, and Mr. Uday Narayan Singh, who possess over two decades of experience in the trading of agricultural commodities, animal feed raw materials, and allied products. The management's long-standing presence in the industry has enabled the company to establish strong relationships with suppliers and customers, facilitating smooth procurement and repeat business opportunities. Acuite believes that the promoters' extensive industry knowledge and established track record will continue to support the company's business operations and growth prospects over the medium term.

Improving revenues albeit moderation in profitability
The company's operating income improved to Rs. 610.49 crore in FY2026 as against Rs. 487.95 crore in FY2025. The growth was primarily driven by the recovery in export sales following the stabilization of trade conditions in Bangladesh, which had witnessed disruptions in the previous year. Revenue growth was further supported by increased sales of soyabean extraction and DDGS products, along with higher contribution from domestic sales. The company reported revenue of ~Rs. 182.13 crore in Q1 FY2027 as against Rs. 134.09 crore in Q1 FY2026. The operating margins declined to 0.95 percent in FY2026 from 2.01 percent in FY2025 owing to pressure on trading spreads and the lingering impact of disruptions in the Bangladesh market, despite the recovery in export volumes and overall revenue growth during the year. Therefore, the PAT margin stood at 0.52 percent in FY2026 as compared to 1.13 percent in FY2025. Acuite believes that the company will steadily improve the operating scale, however consistent improvement in profitability would remain a key rating monitorable.

Moderate financial risk profile

The company’s financial risk profile remains moderate, supported by a moderate net worth base, comfortable capital structure and adequate debt protection metrics. The tangible net worth improved marginally to Rs. 79.88 crore as on March 31, 2026 from Rs. 77.84 crore as on March 31, 2025, supported by accrual of profits to reserves. The total debt of the company stood at Rs. 50.43 crore as on March 31, 2026, comprising predominantly short-term working capital borrowings of Rs. 48.33 crore, long-term debt of Rs. 1.29 crore, current portion of long-term debt (CPLTD) of Rs. 0.81 crore. The gearing (debt to equity) of the company remained comfortable at 0.63 times as on March 31, 2026, as against 0.54 times as on March 31, 2025. The Total Outside Liabilities to Tangible Net Worth (TOL/TNW) ratio stood at 0.83 times as on March 31, 2026, as against 0.77 times as on March 31, 2025. The debt protection metrics, although moderated during the year, continued to remain adequate. The moderation was primarily on account of lower operating profitability, resulting in the Interest Coverage Ratio (ICR) declining to 2.44 times in FY2026 from 3.04 times in FY2025 and Debt Service Coverage Ratio (DSCR) moderating to 1.62 times in FY2026 from 1.68 times in FY2025. Further, the Net Cash Accruals to Total Debt (NCA/TD) ratio stood at 0.08 times in FY2026.

Acuite believes that the financial risk profile of the company will remain moderate over the medium term, supported by steady accruals, comfortable leverage levels, and the absence of any significant debt-funded capital expenditure plans.

Efficient working capital management
The company’s working capital management continues to remain efficient, as reflected by the gross current asset (GCA) days of 57 days in FY2026 from 64 days in FY2025. The improvement was primarily driven by a significant reduction in inventory holding period to 13 days in FY2026 from 28 days in FY2025. The lower inventory levels were supported by faster inventory turnover, and the trading nature of operations, which limits the requirement for maintaining large stock levels. The collection period, however, increased to 25 days in FY2026 from 11 days in FY2025, largely due to higher receivables outstanding at the year-end amid increased business volumes and the timing of collections from customers. Creditor days moderated to 8 days in FY2026 from 13 days in FY2025, indicating reduced dependence on supplier credit. Moreover, the fund-based limit utilization stood at 75.27 per cent over the ten months ended June 2026. Acuite believes that the working capital operations of the group will remain at same level as evident from efficient collection mechanism and comfortable inventory levels over the medium term.

Weaknesses

Exposure to geographical concentration risks
The company remains exposed to geographical concentration risk as around 90 per cent of the total operating income from sale of products are derived from exports to customers based out of Bangladesh in FY2025. Acuite believes that diversification of the customer base will remain a key rating sensitivity. Any changes in the trade policy of Bangladesh can impact the operations of POL.

Susceptibility of profitability volatility in raw material prices and forex risk
POL’s profitability remains exposed to fluctuations in agri-commodity prices and foreign exchange rates, given its trading-based operations and growing dependence. Variations in global prices or INR/USD movements can significantly impact procurement costs and trading margins, making overall profitability vulnerable to external market dynamics. The company’s business remains exposed to fluctuations in foreign exchange rate, thereby affecting its revenues and margins. Although, there is no instance of losses in the recent past, and natural hedge is available to an extent, the company remains susceptible to foreign exchange rate fluctuations over the medium term in the absence of hedging mechanism.

Rating Sensitivities

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

Sustain growth in revenues and improvement in profitability margins with EBITDA above 2.50 per cent on a sustained basis
Improvement in financial risk profile

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

Significant decline in revenue and EBITDA margins with net cash accruals falling below Rs. 6.00 Cr
Weakening the financial risk profile and liquidity position
Elongation in working capital cycle

Liquidity Position

Adequate

The liquidity position of the company is adequate marked by steady net cash accruals of Rs. 3.84 Cr. in FY2026 as against long term debt repayment of Rs. 1.04 Cr. over the same period. Going forward, the company is expected to generate net cash accruals of ~Rs. 6.00-8.00 Cr. in FY 2027-28 against of ~Rs. 1.00-2.00 Cr. its maturing repayment obligations. The unencumbered cash and bank balance stood at Rs. 11.31 Cr. as on March 31, 2026. Moreover, the fund-based limit utilization stood at 75.27 per cent over the ten months ended June 2026. The current ratio stood comfortable at 1.75 times as on March 31, 2026 as compared to 1.76 times as on March 31, 2025. Further, the efficient working capital management is marked by moderate Gross Current Asset (GCA) days of 57 days in FY2026 as against 64 days over the previous year. Acuite believes that liquidity of the company will remain adequate backed by steady cash accruals.

Outlook

Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 26 (Actual)	FY 25 (Actual)
Operating Income	Rs. Cr.	610.49	487.95
PAT	Rs. Cr.	3.20	5.49
PAT Margin	(%)	0.52	1.13
Total Debt/Tangible Net Worth	Times	0.63	0.54
PBDIT/Interest	Times	2.44	3.04

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
24 Feb 2026	Letter of Credit	Short Term	5.00	ACUITE A3 (Reaffirmed)
	Bank Guarantee/Letter of Guarantee	Short Term	0.75	ACUITE A3 (Reaffirmed)
	PC/PCFC	Short Term	37.00	ACUITE A3 (Reaffirmed)
	Term Loan	Long Term	0.92	ACUITE BBB- \| Stable (Reaffirmed)
	Cash Credit	Long Term	9.00	ACUITE BBB- \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	7.33	ACUITE BBB- \| Stable (Reaffirmed)
26 Nov 2024	Bank Guarantee/Letter of Guarantee	Short Term	0.75	ACUITE A3 (Reaffirmed)
	PC/PCFC	Short Term	37.00	ACUITE A3 (Reaffirmed)
	Letter of Credit	Short Term	5.00	ACUITE A3 (Reaffirmed)
	Term Loan	Long Term	6.80	ACUITE BBB- \| Stable (Reaffirmed)
	Cash Credit	Long Term	9.00	ACUITE BBB- \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	1.45	ACUITE BBB- \| Stable (Reaffirmed)
15 Dec 2023	Letter of Credit	Short Term	5.00	ACUITE A3 (Reaffirmed)
	Bank Guarantee/Letter of Guarantee	Short Term	0.75	ACUITE A3 (Reaffirmed)
	PC/PCFC	Short Term	37.00	ACUITE A3 (Reaffirmed)
	Term Loan	Long Term	6.80	ACUITE BBB- \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	1.45	ACUITE BBB- \| Stable (Reaffirmed)
	Cash Credit	Long Term	9.00	ACUITE BBB- \| Stable (Reaffirmed)

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
BANK OF INDIA	Not avl. / Not appl.	Bank Guarantee/Letter of Guarantee	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	0.25	Simple	ACUITE A3 \| Reaffirmed
BANK OF INDIA	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	9.00	Simple	ACUITE BBB- \| Stable \| Reaffirmed
BANK OF INDIA	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	1.00	Simple	ACUITE BBB- \| Stable \| Assigned
BANK OF INDIA	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	1.00	Simple	ACUITE BBB- \| Stable \| Assigned
ICICI BANK LIMITED	Not avl. / Not appl.	PC/PCFC	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	20.00	Simple	ACUITE A3 \| Reaffirmed
BANK OF INDIA	Not avl. / Not appl.	PC/PCFC	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	30.00	Simple	ACUITE A3 \| Reaffirmed
ICICI BANK LIMITED	Not avl. / Not appl.	PC/PCFC	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	20.00	Simple	ACUITE A3 \| Assigned
Not Applicable	Not avl. / Not appl.	Proposed Long Term Bank Facility	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	0.21	Simple	ACUITE BBB- \| Stable \| Reaffirmed
BANK OF INDIA	Not avl. / Not appl.	Working Capital Term Loan	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	30 Oct 2026	0.54	Simple	ACUITE BBB- \| Stable \| Reaffirmed

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Ritika Lalwani
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 ⁶	RBI
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 a	Fixed Deposits raised by NBFCs, HFCs, FIs	RBI
11 b	Fixed Deposits raised by Banks	7
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 ⁶	RBI
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)	7
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.
³The 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.
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.
⁶ By virtue of the instrument being listed, SEBI acts as the regulator for listing and related issues.
⁷ To be finalized following a discussion with the regulatory authorities.

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 ⁸	Not applicable

⁸ 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.