Press Release

Press Release

January 14, 2026

RAMACIVIL INDIA CONSTRUCTION PRIVATE LIMITED
Rating Reaffirmed

Product	Quantum (Rs. Cr)	Long Term Rating	Short Term Rating
Bank Loan Ratings	10.00	ACUITE BBB- \| Negative \| Reaffirmed	-
Bank Loan Ratings	390.00	-	ACUITE A3 \| Reaffirmed
Total Outstanding	400.00	-	-
Total Withdrawn	0.00	-	-

Rating Rationale

Acuite has reaffirmed the long term rating of 'Acuite BBB-' (Read as Acuite Triple B Minus) and short term rating of Acuite 'Acuite A3' (Read as Acuite A Three) on Rs.400.00 crore of bank facilities of Ramacivil India Construction Private Limited. The outlook is revised from 'stable' to 'negative'.

Rationale for rating:

The rating is supported by stable profitability margins and moderate revenue visibility, backed by an outstanding order book of Rs.3,684.85 crores as of Nov’25, including Rs.1,182 crores received in FY26. Despite a significant decline in revenue in the earlier year, the Company recorded approx. Rs.350 crores during 9MFY26 compared to Rs.315 crores in 9MFY25, indicating slightly better performance for FY 26. However, the timely and successful execution of the current order book would remain a key monitorable. Any halt or slowdown in project execution might impact the Company’s operating performance. The financial risk profile remains stable with healthy capital structure but moderation in debt protection metrices, and liquidity is adequate. Acuite also notes the ongoing legal proceedings with NBCC Ltd, as any adverse outcome could materially impact the Company’s credit profile over the medium term and this would remain a key rating sensitivity factor. The rating is constrained by a skewed working capital cycle and risks related to delays or foreclosures in projects, indicating heightened execution risk that could constrain operational scale.

About the Company

Delhi based, Ramacivil India Construction Private Limited was established as a partnershipconcern in 1972 by Mr. Ram Gupta and later was incorporated in 2017 the constitution was changed to private limited. It is engaged in contract-based building construction work mainly for organizations such as Central Public Works Department (CPWD), Delhi Public Works Department (DPWD) and National Building Construction Corporation (NBCC). The company is
managed by Mr. Parveen Gupta & Mr. Gautam Gupta.The Company mainly executes orders in the state of Delhi, UP, Haryana, Jammu, HP etc.

Unsupported Rating

Not Applicable.

Analytical Approach

Acuité has considered the standalone business and financial risk profiles of the Ramacivil India Construction Private Limited ( RICPL) to arrive at the rating.

Key Rating Drivers

Strengths

Experienced Management
RICPL has been present in the construction and infrastructure industry for over four decades which has enabled the company to establish strong relations with its customers as well as with suppliers and also have a strong market position. The company is promoted by Mr. Ram Niwas Gupta who has been associated with the company since its association, which indicating an experience of more than four decades. Acuité believes that the company will continue to derive benefit from its promoter’s experience, and established relations with its customers and suppliers.

Moderate Financial Risk Profile
The company’s financial risk profile is moderate, supported by improving net worth, low gearing, and comfortable debt protection metrics. Tangible net worth rose to Rs.244.88 crore in FY2025 from Rs.228.09 crore in FY2024 due to accretion to reserves, while gearing remained below unity at 0.14 times in FY 25. Total borrowings stood at Rs.34.61 crore in FY2025, comprising long-term debt of Rs.13.74 crore, short-term debt of Rs.2.57 crore, and CPLTD of Rs.18.30 crore. Long-term borrowing and CPLTD are mainly on account of working capital demand loans (mobilization advances) secured against bank guarantees with tenures of 23– 37 months. Debt protection metrics were stable, with ICR at 4.93 times and DSCR at 1.34 times in FY 25 comparative figures to be provided; TOL/TNW and Debt/EBITDA stood at 0.95 and 0.99 times, respectively in FY 25. Acuité believes the financial risk profile to remain in line with FY2025 levels.

Weaknesses

Decline in Scale of operation with stable profitability:
RICPL’s revenue fell sharply to Rs.432.20 crore in FY25 from Rs.1,035.03 crore in FY24 due to execution delays, mainly caused by site clearance issues and funding constraints from govt. authorities, with a major impact from the Rs.783.54 crore Central Public Works Department (CPWD) Sriniwaspuri project stalled over site clearance. Despite this, the company achieved Rs.350 crore revenue in 9MFY26 and holds an outstanding order book of Rs.3,684.85 crore as of Nov’25, including fresh orders worth Rs.1,182 crore in FY26, providing moderate revenue visibility. However, execution risks remain, with potential delays or any foreclosures leading to cost overruns and thus liquidity strain. EBITDA margin stayed stable at 5.83% in FY25 versus 5.82% in FY24, while PAT declined to 3.89% in FY 25 from 4.51% in FY 24 due to higher finance costs. Acuité believes operating performance to improve in the medium term, backed by its outstanding order book and stable profitability.

Intensive Working Capital Management:
RCIPL’s working capital intensity remained high in FY 2025 with GCA days increasing to 236 days from 93days in FY 2024, primarily due to elongated inventory and debtor cycles and high current assets. Debtor days rose to 26 days in FY 2025 from 12 days in FY 2024 which is in line with the company’s policy of receiving payments within 30 days post-invoicing. Inventory days surged to 84 days in FY 25 from 15 days in FY 24, mainly due to WIP. Creditor days increased to 223 days in FY 25 from 134 days in FY 24, indicating stretched payments. Other current assets stood at Rs.126.48 crore in FY 2025 (retention money, advances, security deposits, and balances with revenue authorities. Retention money generally constitutes 2.5% of the project value which realised once the DLP periods get over DLP generally lies between 24 to 36 months. Acuité believes working capital intensity will persist given the nature of operations.

Ongoing Litigation-National Building Construction Corporation(India) Limited, (NBCC):
As per management, RICPL has pending 15 no. of cases ongoing with NBCC Ltd. As of 31-10- 2025, as per management, total amount payable to RICPL by NBCC Ltd is approx. Rs. 691 crores which are under legal proceeding out of which majorly portionis pertaining to Greenview project, Crystal Home and Enchante home (Amrapali Project), ESIC Hospital Project-DHC among others. Presently, the legal proceedings are pending under the Delhi High Court and any adverse decision favouring NBCCLtd, can impact the credit profile of the company. This potential consequence will remain a significant rating sensitivity factor over the medium term.

Rating Sensitivities

1.Movement in Topline and profitability
2.Elongation in working capital cycle
3.Risk related to ongoing litigation with NBCC
4.Timely execution of order book

Outlook: Negative

Liquidity Position

Adequate

The Liquidity of the Company is marked adequate with net cash accruals which stood at Rs.19.04 crores as against long term debt repayment of Rs. 12.36 crores in FY 25. The Company is expected to generate net cash accrual ranging between Rs.25 to Rs.30 crores against long term repayment of Rs.12 to Rs.15 crores annually. The current ratio of the Company stood at 1.62 times in FY 25 as against 1.17 times in FY 24. The Company maintained cash and bank balance of Rs.22.79 crores and investment of Rs.34.36 crores as on FY 25. The Company has investment in FD and Mutual Fund to the tune of rs. 34.36 crores as on 31-03-2025. The average Fund base bank limit utilisation stood at 15% and non fund-based limit utilization stood at 72% for the six months ending as on Dec’25. Acuite believes the Liquidity will be adequate in the medium term backed by steady accruals.

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 25 (Actual)	FY 24 (Actual)
Operating Income	Rs. Cr.	432.20	1035.03
PAT	Rs. Cr.	16.79	46.67
PAT Margin	(%)	3.89	4.51
Total Debt/Tangible Net Worth	Times	0.14	0.14
PBDIT/Interest	Times	4.93	10.58

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
17 Oct 2024	Bank Guarantee (BLR)	Short Term	29.00	ACUITE A3 (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	185.00	ACUITE A3 (Reaffirmed)
	Bank Guarantee (BLR)	Short Term	81.00	ACUITE A3 (Reaffirmed)
	Proposed Bank Guarantee	Short Term	95.00	ACUITE A3 (Assigned)
	Cash Credit	Long Term	3.00	ACUITE BBB- \| Stable (Reaffirmed)
	Cash Credit	Long Term	1.00	ACUITE BBB- \| Stable (Reaffirmed)
	Cash Credit	Long Term	1.00	ACUITE BBB- \| Stable (Reaffirmed)
	Proposed Cash Credit	Long Term	5.00	ACUITE BBB- \| Stable (Assigned)
16 Aug 2024	Bank Guarantee (BLR)	Short Term	185.00	ACUITE A3 (Upgraded from ACUITE A4+)
	Bank Guarantee (BLR)	Short Term	29.00	ACUITE A3 (Upgraded from ACUITE A4+)
	Bank Guarantee (BLR)	Short Term	81.00	ACUITE A3 (Upgraded from ACUITE A4+)
	Cash Credit	Long Term	3.00	ACUITE BBB- \| Stable (Upgraded from ACUITE BB)
	Cash Credit	Long Term	1.00	ACUITE BBB- \| Stable (Upgraded from ACUITE BB)
	Cash Credit	Long Term	1.00	ACUITE BBB- \| Stable (Upgraded from ACUITE BB)
04 Dec 2023	Bank Guarantee (BLR)	Short Term	28.00	ACUITE A4+ (Reaffirmed & Issuer not co-operating*)
	Bank Guarantee (BLR)	Short Term	185.00	ACUITE A4+ (Reaffirmed & Issuer not co-operating*)
	Proposed Bank Guarantee	Short Term	80.00	ACUITE A4+ (Reaffirmed & Issuer not co-operating*)
	Cash Credit	Long Term	5.00	ACUITE BB (Reaffirmed & Issuer not co-operating*)
	Cash Credit	Long Term	2.00	ACUITE BB (Reaffirmed & Issuer not co-operating*)

Annexure - Details of instruments rated

Lender’s Name	ISIN	Facilities	Date Of Issuance	Coupon Rate	Maturity Date	Quantum (Rs. Cr.)	Complexity Level	Rating
Union Bank of India	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	185.00	Simple	ACUITE A3 \| Reaffirmed
H D F C Bank Limited	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	110.00	Simple	ACUITE A3 \| Reaffirmed
H D F C Bank Limited	Not avl. / Not appl.	Bank Guarantee (BLR)	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	35.00	Simple	ACUITE A3 \| Reaffirmed
Union Bank of India	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	3.00	Simple	ACUITE BBB- \| Negative \| Reaffirmed \| Stable to Negative
H D F C Bank Limited	Not avl. / Not appl.	Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	2.00	Simple	ACUITE BBB- \| Negative \| Reaffirmed \| Stable to Negative
Not Applicable	Not avl. / Not appl.	Proposed Bank Guarantee	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	60.00	Simple	ACUITE A3 \| Reaffirmed
Not Applicable	Not avl. / Not appl.	Proposed Cash Credit	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	5.00	Simple	ACUITE BBB- \| Negative \| Reaffirmed \| Stable to Negative

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Shreya Banerjee
Analyst-Analytical 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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