Press Release

Press Release

October 21, 2026

ROCKEIRA ENGINEERING PRIVATE LIMITED
Rating Assigned and Reaffirmed

Product	Quantum (Rs. Cr) (SEBI)	Quantum (Rs. Cr) (Other FSR)	Long Term Rating	Short Term Rating	Regulated By
Bank Loan Ratings	0.00	7.50	ACUITE BBB- \| Stable \| Assigned	-	RBI
Bank Loan Ratings	0.00	35.00	ACUITE BBB- \| Stable \| Reaffirmed	-	RBI
Bank Loan Ratings	0.00	117.00	-	ACUITE A3 \| Reaffirmed	RBI
Total Outstanding	0.00	159.50	-	-	-
Total Withdrawn	0.00	0.00	-	-	-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

Acuite has reaffirmed its long-term rating of "ACUITE BBB-" (read as ACUITE triple B minus) and short-term rating of "ACUITE A3" (read as ACUITE A three) on Rs.152.00 crore bank facilities of Rockeira Engineering Private Limited(REPL). The outlook is ‘Stable’.

Acuite has assigned its long-term rating of "ACUITE BBB-" (read as ACUITE triple B minus) on Rs.7.50 crore bank facilities of Rockeira Engineering Private Limited(REPL). The outlook is ‘Stable’.

Rationale for rating
The rating reaffirmation reflects Rockeira Engineering Private Limited’s established operating track record, experienced management and healthy order book, which provides medium-term revenue visibility. The rating also derives comfort from the company’s stable profitability, healthy financial risk profile, geographically diversified project portfolio and established relationships with government and railway authorities. However, the rating remains constrained by the modest pace of revenue growth, intensive working-capital operations. The rating is further constrained by the inherent risks associated with the competitive and tender-based nature of the infrastructure contracting industry, where order inflows remain dependent on successful bid conversion and timely execution of projects.

About the Company

Rockeira Engineering Private Limited was incorporated in the year 1970, by Mr. Kondaiah. The company is primarily into the construction of roads, bridges and flyovers, water supply, irrigation and power projects in civil and engineering construction including design utilities, engineering, longevity of structures and construction. The company was converted to a private limited company from LLP in May 2022. The company has its registered office in Jubilee Hills, Hyderabad.

Unsupported Rating

Not Applicable.

Analytical Approach

Acuite has taken standalone approach to analysis the business and financial risk profile of REPL.

Key Rating Drivers

Strengths

Extensive experience of the promoters:
REPL was incorporated in the year 1970, by Mr. Kondaiah. The promoter has extensive experience in the same line of business. Mr. Srikanth Ramineni is a Civil Engineer who has almost two decades of experience in Infra & Construction Management, while Mr. RCM Kondaiah is also a Civil Engineer almost four decades of experience in this industry. Acuite believes that the experience of the promoters in the construction business will likely benefit REPL in its operational performance going forward.

Stable operating scale and profitability, supported by a healthy order book position
REPL’s operating income increased marginally to Rs.140.41 crore in FY26 (Prov.) from Rs.136.92 crore in FY25, indicating a broadly stable scale of operations.The modest growth, despite the sizeable order book, was primarily attributable to a majority of the new projects being awarded during Q4FY26, with execution remaining at the mobilization and initial stages as at the year-end. EBITDA remained stable at Rs.23.92 crore (17.04%) in FY26 (Prov.) compared with Rs.23.32 crore (17.03%) in FY25. PAT improved to Rs.10.17 crore (7.24%) in FY26 (Prov.) from Rs.9.35 crore (6.83%) in FY25, mainly due to lower finance costs. The company reported revenue of Rs.31.53 crore during 5MFY27 (Prov), compared with Rs.39.53 crore during 5MFY26, reflecting a decline of around 20.2% due to mobilization, approval and monsoon-related delays in recently awarded projects. As on August 31, 2026, the company had an unexecuted order book of approximately Rs.835 crore, providing healthy medium-term revenue visibility. Further, bids aggregating Rs.318.54 crore remain under technical evaluation. Acuite believes that timely execution of recently awarded projects and conversion of the order book into certified billings, while maintaining profitability, will remain key monitorables.

Healthy financial risk profile
The financial risk profile of REPL remains healthy, supported by a comfortable capital structure and improvement in debt-protection metrics during FY26(Prov.). Net worth improved to Rs.89.58 crore in FY26 (Prov.) from Rs.79.41 crore in FY25, supported by profit accretion. Total debt moderated to Rs.32.66 crore in FY26 (Prov.), comprising Rs.1.32 crore of long-term borrowings and Rs.31.34 crore of short-term borrowings, from Rs.36.94 crore in FY25, primarily due to scheduled term-loan repayments and lower channel-financing exposure. Consequently, gearing improved to 0.36 times in FY26 (Prov.) from 0.47 times in FY25, while TOL/TNW increased marginally to 0.89 times from 0.84 times, reflecting higher operational liabilities associated with the elongated working-capital cycle. Debt-protection metrics improved, with ICR and DSCR at 6.52 times and 3.66 times, respectively, in FY26 (Prov.), compared with 4.15 times and 2.37 times in FY25. During FY27, the company availed additional ECLGS and machinery loans aggregating Rs.13.25 crore, which are expected to increase debt and repayment obligations. Acuite believes that REPL’s financial risk profile will remain healthy, supported by its comfortable net worth and leverage, while adequate cash-accrual generation against incremental repayments and improvement in working-capital management will remain key monitorables.

Weaknesses

Intensive working capital operations
REPL’s working-capital operations remained intensive, with GCA days increasing to 349 days in FY26 (Prov.) from 282 days in FY25. Inventory increased to Rs.36.09 crore from Rs.28.74 crore, resulting in inventory days increasing to 113 days from 92 days, mainly due to advance procurement for ongoing and recently awarded projects during the year end. Trade receivables increased to Rs.68.82 crore in FY26 (Prov.) from Rs.54.56 crore in FY25, with debtor days increasing to 179 days from 145 days, owing to longer certification and payment cycles from government and railway authorities. Retention money stood at Rs.17.66 crore, of which around Rs.2.25-Rs.2.50 crore is expected to be realized during FY27. Trade payables increased to Rs.35.53 crore from Rs.15.48 crore, resulting in creditor days increasing to 116 days from 52 days, owing to higher procurement and subcontracting activity and the alignment of supplier payments with customer collections. Average utilization of fund-based and non-fund-based limits stood at 74.23% and 67.95%, respectively, during the six months ended September 2026. Acuite believes that REPL’s working-capital operations will remain intensive, given its project-based operations, milestone-linked collections and retention requirements. Timely certification, realization of receivables and retention money, and conversion of inventory into billings will remain key monitorables.

Susceptibility to tender-based operations
Revenue and profitability depend entirely on the ability to win tenders. Entities in this segment face intense competition, thus requiring them to bid aggressively to procure contracts; this restricts the operating margin to a moderate level. Also, given the cyclicality inherent in this industry, the ability to maintain profitability margin through operating efficiency becomes critical. Acuité believes that the company’s business profile and financial profile can be adversely impacted on account of presence of stiff competition and has inherent risk of susceptibility to tender based operations.

Rating Sensitivities

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

Steady growth in scale of operations with timely execution of existing orders and growth in order book resulting in revenues above Rs 250.00 Cr coupled with sustaining profitability margin
Improvement in working capital management with GCA below 250 days.
Improvement in financial risk profile

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

Significant decline in revenues and profitability
Deterioration in financial risk profile.
Further elongation in working capital cycle beyond 400 days

Liquidity Position:

Adequate

REPL’s liquidity position remained adequate, supported by expected net cash accruals of Rs.15.93 crore as on 31st March 2026 (Prov.) as against scheduled repayment obligations of Rs. 1.64 crore over the same period. Further, the company maintained a comfortable current ratio of 1.78 times as on March 31, 2026 (Prov.). As on March 31, 2026 (Prov.), the company reported a cash and bank balance of Rs.0.09 crore. However, liquidity is moderated by the working-capital-intensive operations, reflected in GCA days of 349 days. The average utilization of fund-based and non fund based limits remained moderate at around 74.23% and 67.95% during the Six-month period ended Sep 2026. Going forward, timely realization of receivables, release of retention money and moderation in working-capital intensity and generation of sufficient cash accruals against incremental repayments will remain key monitorable.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 26 (Provisional)	FY 25 (Actual)
Operating Income	Rs. Cr.	140.41	136.92
PAT	Rs. Cr.	10.17	9.35
PAT Margin	(%)	7.24	6.83
Total Debt/Tangible Net Worth	Times	0.36	0.47
PBDIT/Interest	Times	6.52	4.15

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
23 Jul 2025	Letter of Credit	Short Term	12.00	ACUITE A3 (Assigned)
	Bank Guarantee (BLR)	Short Term	45.00	ACUITE A3 (Assigned)
	Letter of Credit	Short Term	9.00	ACUITE A3 (Assigned)
	Bank Guarantee (BLR)	Short Term	35.00	ACUITE A3 (Assigned)
	Letter of Credit	Short Term	6.00	ACUITE A3 (Assigned)
	Bank Guarantee (BLR)	Short Term	10.00	ACUITE A3 (Assigned)
	Cash Credit	Long Term	20.00	ACUITE BBB- \| Stable (Assigned)
	Cash Credit	Long Term	5.00	ACUITE BBB- \| Stable (Assigned)
	Cash Credit	Long Term	10.00	ACUITE BBB- \| Stable (Assigned)

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
Indian Bank	Not avl. / Not appl.	Bank Guarantee (BLR)	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	57.00	Simple	ACUITE A3 \| Reaffirmed
YES BANK LIMITED	Not avl. / Not appl.	Bank Guarantee (BLR)	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	35.00	Simple	ACUITE A3 \| Reaffirmed
Bandhan Bank	Not avl. / Not appl.	Bank Guarantee (BLR)	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	16.00	Simple	ACUITE A3 \| Reaffirmed
Indian Bank	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	20.00	Simple	ACUITE BBB- \| Stable \| Reaffirmed
Bandhan Bank	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	10.00	Simple	ACUITE BBB- \| Stable \| Reaffirmed
YES BANK LIMITED	Not avl. / Not appl.	Cash Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	5.00	Simple	ACUITE BBB- \| Stable \| Reaffirmed
YES BANK LIMITED	Not avl. / Not appl.	Letter of Credit	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	9.00	Simple	ACUITE A3 \| Reaffirmed
Bandhan Bank	Not avl. / Not appl.	Term Loan	Unlisted	RBI	25 Aug 2026	Not avl. / Not appl.	31 Aug 2029	7.50	Simple	ACUITE BBB- \| Stable \| Assigned

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Dharmavarapu Sai Kiran
Senior 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.