Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 8.00 ACUITE B | Downgraded | Issuer not co-operating* -
Total Outstanding 8.00 - -
Total Withdrawn 0.00 - -
* The issuer did not co-operate; based on best available information.
 
Rating Rationale

­­­­Acuité has downgraded the long-term rating to 'ACUITE B’ (read as ACUITE B) from ‘ACUITE B+’ (read as ACUITE B plus) on the Rs. 8.00 crore bank facilities of ­Profit Shoe Company Private Limited (PSPL) on account of information risk. The rating continues to be flagged as "Issuer Not-Cooperating" and is based on the best available information.

About the Company
­Andhra Pradesh based Profit Shoe Company Private Limited, incorporated in 1991, as a partnership firm and converted to a private limited company in 1995. The company headed by Mr. B.S. Koteshwara Rao (Managing Director) is engaged in the retail of shoes
 
Unsupported Rating
­Not Applicable
 
Non-cooperation by the issuer/borrower:
­Acuité has been requesting for data, information and undertakings from the rated entity for conducting surveillance & reviewof the rating. However, the issuer/borrower failed to submit such information before the due date. Acuité believes that information risk is a critical component in such ratings, and non-cooperation by the issuer along with unwillingness to provide information could be a sign of potential deterioration in its overall credit quality. This rating is, therefore, being flagged as “Issuer not-cooperating”, in line with prevailing SEBI regulations andAcuité’s policies.
 
Limitation regarding information availability
Rating Sensitivity
­"No information provided by the issuer / available for Acuite to comment upon."
 
Liquidity Position
­"No information provided by the issuer / available for Acuite to comment upon."
 
Outlook
Not Applicable­
 
Other Factors affecting Rating
­None
 

Particulars Unit FY 24 (Actual) FY 23 (Actual)
Operating Income Rs. Cr. 67.33 65.34
PAT Rs. Cr. 0.63 0.54
PAT Margin (%) 0.94 0.82
Total Debt/Tangible Net Worth Times 2.27 2.77
PBDIT/Interest Times 2.69 2.45
Status of non-cooperation with previous CRA
­Not Applicable
 
Any other information
­None
 
Applicable Criteria
• Trading Entities: https://www.acuite.in/view-rating-criteria-61.htm
• 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

Note on complexity levels of the rated instrument

Date Name of Instruments/Facilities Term Amount (Rs. Cr) Rating/Outlook
09 Jan 2024 Cash Credit Long Term 8.00 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
21 Oct 2022 Cash Credit Long Term 8.00 ACUITE B+ (Downgraded & Issuer not co-operating* from ACUITE BB-)
* The issuer did not co-operate; based on best available information.
­

Lender’s Name ISIN Facilities Date Of Issuance Coupon Rate Maturity Date Quantum
(Rs. Cr.)
Complexity Level Rating
Indian Bank Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 8.00 Simple ACUITE B | Downgraded | Issuer not co-operating* ( from ACUITE B+ )
* The issuer did not co-operate; based on best available information.

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