Press Release

Press Release

October 16, 2026

TAYAL INDIA MOTORS PRIVATE LIMITED
Rating Upgraded

Product	Quantum (Rs. Cr) (SEBI)	Quantum (Rs. Cr) (Other FSR)	Long Term Rating	Short Term Rating	Regulated By
Bank Loan Ratings	0.00	119.98	ACUITE BBB \| Stable \| Upgraded	-	RBI
Bank Loan Ratings	0.00	0.02	-	ACUITE A2 \| Upgraded	RBI
Total Outstanding	0.00	120.00	-	-	-
Total Withdrawn	0.00	0.00	-	-	-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 upgraded its long-term rating to "ACUITE BBB" (read as ACUITE triple B) from "ACUITE BBB-" (read as ACUITE triple B minus) and short term rating to "ACUITE A2" (read as ACUITE A two) from "ACUITE A3+" (read as ACUITE A three plus) on the Rs. 120.00 Cr. bank facilities of Tayal India Motors Private Limited (TIMPL). The outlook is "Stable".

Rationale for rating
The rating upgrade takes into account the improvement in the company's scale of operations, with operating income increasing to Rs. 728.92 Cr. in FY2026 (Prov.) from Rs. 519.88 Cr. in FY2025 and Rs. 371.54 Cr. in FY2024. The growth in FY2026 (Prov.) is driven by higher passenger vehicle (PV) sales on the back of improved customer demand in H2 FY2026 (Prov.) following GST reductions. Moreover, the company has reported net revenue of Rs. 322.35 Cr. in 5M FY2027 as against Rs. 228.86 Cr. 5M FY2026. The company's profitability also improved, as reflected by EBITDA and PAT margins of 3.28% and 1.20%, respectively, in FY2026 (Prov.), as against 2.50% and 0.24% in FY2025. The rating further draws comfort from the company's efficient working capital management and adequate liquidity position. Additionally, the rating continues to derive benefit from the experience of promoters, established market position and relationship with Maruti Suzuki India Limited (MSIL). However, the above-mentioned strengths are partly offset by the moderate financial risk profile. Acuite notes that the improvement in the company's capital structure and debt protection metrics will remain a key monitorable factor. The rating further remains constrained by exposure to intense competition and thin profitability margins inherent in auto dealership business.

About the Company

Delhi based, Tayal India Motors Private Limited was incorporated in 2000. The company is an authorised dealer of Maruti Suzuki India Limited (MSIL) and is engaged in the business of passenger car dealership and service station of MSIL passenger cars for both Arena and Nexa segment along with sale of spare parts and lubricants. Currently, the company has a distribution network with over 16 showrooms, service stations/ workshops and stockyards operating in Faridabad, Palwal and Jaipur regions. Mr. Aayush Aggarwal, Mr. Rakesh Mohan Aggarwal, Mr. Arpit Aggarwal are directors of the company.

Unsupported Rating

Not Applicable

Analytical Approach

Acuite has considered the standalone business and financial risk profile of Tayal India Motors Private Limited (TIMPL) to arrive at the rating.

Key Rating Drivers

Strengths

Established market position and track record of operations
TIMPL is an authorised dealer of Maruti Suzuki India Limited (MSIL) for both Arena and Nexa segment and is promoted by Mr. Aayush Aggarwal, Mr. Rakesh Mohan Aggarwal, Mr. Arpit Aggarwal. The company currently operates in Faridabad, Palwal and Jaipur regions and has a distribution network with over 16 showrooms, service stations and stockyards which strengthen its market position. The company generates majority of its revenue through sale and services of Maruti Suzuki vehicles and also sells spares for the service purpose making the company a 3S dealership. Acuite believes that the extensive experience of promoters, established market position and relationship with MSIL, will help the company sustain its business risk profile.

Improved scale of operations and profitability margins
TIMPL has been registering y-o-y growth in operating revenue, which stood at Rs. 728.92 Cr in FY2026 (Prov.) as against Rs. 519.88 Cr. in FY2025 and Rs. 371.54 Cr. in FY2024. The growth in FY2026 (Prov.) is driven by higher passenger vehicle (PV) sales on the back of improved customer demand in H2 FY2026 (Prov.) following GST reductions. Additionally, topline is further supported by the Jaipur and Faridabad outlets, which commenced operations in mid-FY2025 and witnessed first full year of operations in FY2026 (Prov.). The operating profitability of the company also improved with EBITDA margin at 3.28% in FY2026 (Prov.) as against 2.50% in FY2025 driven by the improved realizations. Additionally, higher turnover enabled better absorption of fixed costs, resulting in improved operating profitability. Consequently, the PAT margin stood at 1.20% in FY2026 (Prov.) as against 0.24% in FY2025. The company reported net revenue of Rs. 322.35 Cr. in 5M FY2027 as against Rs. 228.86 Cr. 5M FY2026. Acuite expects that the established market position, relationship with Maruti Suzuki India Limited (MSIL) and steady demand for passenger vehicles will continue to support the company’s business risk profile. However, the ability of the company to sustain its profitability margins while scaling up its operations in the near to medium term will remain a key monitorable factor.

Efficient Working Capital Management
The working capital management of the company improved marked by GCA days of 52 days as on 31st March 2026 (Prov.) as compared to 100 days as on 31^st March 2025. The inventory days stood at 20 days as on 31st March 2026 (Prov.) as against 50 days as on 31st March 2025 wherein the company maintains adequate inventory of various models of cars for display at its showrooms. Further, the debtor days stood at 11 days as on 31st March 2026 (Prov.) as against 21 as on 31st March 2025. Against this, the creditor days stood constant at 1 day as on 31st March 2026 (Prov.). Acuité expects that the working capital operations of the company to remain in similar range in near to medium term owing to the nature of operations.

Weaknesses

Moderate Financial Risk Profile
The financial risk profile of the company is marked by average net worth, improved albeit high gearing and moderate debt protection metrics. The tangible net worth of the company stood at Rs. 30.74 Cr. as on 31^st March 2026 (Prov.) as against Rs. 22.00 Cr. as on 31^st March 2025 on account of accretion profits into reserves. The total debt stood at Rs. 87.95 Cr. as on 31^st March 2026 (Prov.) as against Rs. 138.67 Cr. as on 31^st March 2025 primarily on account of lower outstanding short-term debt as on 31^st March 2026 (Prov.). The lower debt levels coupled with improved operating profitability during FY2026 (Prov.), resulted in strengthening of the company's leverage and debt protection metrics. Accordingly, the gearing ratio improved to 2.86 times as on 31^st March 2026 (Prov.) as against 6.30 times as on 31^st March 2025. Moreover, the coverage indicators marked by interest coverage ratio and debt service coverage ratio stood at 2.57 times and 1.78 times, respectively, as on 31^st March 2026 (Prov.) as against 1.48 times and 1.12 times as on 31^st March 2025. Further, Total Outside Liabilities/Tangible Net Worth (TOL/TNW) stood at 3.44 times as on 31^st March 2026 (Prov.) as against 6.99 times as on 31^st March 2025, while the Debt/EBITDA stood at 3.61 times as on 31^st March 2026 (Prov.) against 10.35 times as on 31^st March 2025. Acuite expects the financial risk profile of the company to remain in similar range with no debt funded capex plans in near to medium term.

Exposure to intense competition and thin profitability margins inherent in auto dealership business
The company deals in the Nexa and Arena segments wherein the margins of the company majorly depend on the model-mix of the vehicles. While steady demand conditions support sales volumes, the company's profitability margins remain constrained by the fixed margin structure of MSIL coupled with intense competition in the automobile dealership industry. Being an authorized dealer for Maruti Suzuki India Limited (MSIL), the company has to compete with dealers of other car brands. Automotive manufacturers normally encourage multiple dealers in the same area to improve market penetration and sales thereby increasing competition among dealers. Moreover, manufacturers face competition in their respective segments and tend to squeeze margins of dealers to reduce cost. Thus, the business risk profile may continue to be constrained by limited bargaining power with principals, and exposure to intense competition. The company's ability to sustain its operational performance in the near to medium term will remain a key monitorable factor.

Rating Sensitivities

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

Consistent growth in operating income by more than 40%.
Significant improvement in the operating profitability position.
Improvement in the capital structure and debt protection metrics.

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

Decline in revenue y-o-y and/or operating profitability margins below 2%.
Elongation in the working capital cycle.
Deterioration in financial risk profile on account of any large debt funded capex.

Liquidity Position

Adequate

The liquidity profile of the company is adequate, marked by net cash accruals of Rs. 11.72 Cr. as on 31^st March 2026 (Prov.) against debt repayment obligations of Rs. 2.43 Cr. over the same period. The cash and bank balance available with the company stood at Rs. 1.09 Cr. as on 31st March 2026 (Prov.). The company undertakes regular/ routine capex annually related to repair and maintenance, addition of vehicles, furniture and office equipment, etc. and same will be funded by internal cash accruals of the company. Further, the current ratio stood at 1.18 times as on 31st March 2026 (Prov.) while the working capital limits stood moderately utilized at an average of 67.12% for the last six months ended August 2026. Acuite expects the company to maintain adequate liquidity position supported by sufficient accruals against debt repayment obligations, moderate bank limit utilisation and the absence of any debt-funded capex plans in the near to medium term.

Outlook: Stable

Other Factors affecting Rating

None

Key Financials

Particulars	Unit	FY 26 (Provisional)	FY 25 (Actual)
Operating Income	Rs. Cr.	728.92	519.88
PAT	Rs. Cr.	8.74	1.24
PAT Margin	(%)	1.20	0.24
Total Debt/Tangible Net Worth	Times	2.86	6.30
PBDIT/Interest	Times	2.57	1.48

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
18 Jul 2025	Bank Guarantee (BLR)	Short Term	0.02	ACUITE A3+ (Upgraded from ACUITE A4+)
	Proposed Long Term Bank Facility	Long Term	16.19	ACUITE BBB- \| Stable (Upgraded from ACUITE BB+)
	Channel/Dealer/Vendor Financing	Long Term	89.10	ACUITE BBB- \| Stable (Upgraded from ACUITE BB+)
	Secured Overdraft	Long Term	3.90	ACUITE BBB- \| Stable (Upgraded from ACUITE BB+)
	Term Loan	Long Term	5.12	ACUITE BBB- \| Stable (Upgraded from ACUITE BB+)
	Term Loan	Long Term	5.67	ACUITE BBB- \| Stable (Upgraded from ACUITE BB+)
02 Jun 2025	Bank Guarantee (BLR)	Short Term	0.02	ACUITE A4+ (Downgraded & Issuer not co-operating* from ACUITE A3+)
	Channel/Dealer/Vendor Financing	Long Term	59.40	ACUITE BB+ (Downgraded & Issuer not co-operating* from ACUITE BBB- \| Stable)
	Secured Overdraft	Long Term	3.90	ACUITE BB+ (Downgraded & Issuer not co-operating* from ACUITE BBB- \| Stable)
	Term Loan	Long Term	7.50	ACUITE BB+ (Downgraded & Issuer not co-operating* from ACUITE BBB- \| Stable)
	Term Loan	Long Term	7.50	ACUITE BB+ (Downgraded & Issuer not co-operating* from ACUITE BBB- \| Stable)
	Proposed Long Term Bank Facility	Long Term	41.68	ACUITE BB+ (Downgraded & Issuer not co-operating* from ACUITE BBB- \| Stable)
14 Mar 2024	Bank Guarantee (BLR)	Short Term	0.02	ACUITE A3+ (Reaffirmed)
	Channel/Dealer/Vendor Financing	Long Term	31.50	ACUITE BBB- \| Stable (Reaffirmed)
	Channel/Dealer/Vendor Financing	Long Term	27.90	ACUITE BBB- \| Stable (Assigned)
	Proposed Long Term Bank Facility	Long Term	0.58	ACUITE BBB- \| Stable (Reaffirmed)
	Proposed Long Term Bank Facility	Long Term	41.10	ACUITE BBB- \| Stable (Assigned)
	Secured Overdraft	Long Term	1.90	ACUITE BBB- \| Stable (Reaffirmed)
	Secured Overdraft	Long Term	2.00	ACUITE BBB- \| Stable (Assigned)
	Term Loan	Long Term	7.50	ACUITE BBB- \| Stable (Assigned)
	Term Loan	Long Term	7.50	ACUITE BBB- \| Stable (Assigned)
17 Feb 2023	Bank Guarantee (BLR)	Short Term	0.02	ACUITE A3+ (Assigned)
	Channel/Dealer/Vendor Financing	Long Term	31.50	ACUITE BBB- \| Stable (Assigned)
	Proposed Long Term Bank Facility	Long Term	0.58	ACUITE BBB- \| Stable (Assigned)
	Cash Credit	Long Term	1.90	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
Canara Bank	Not avl. / Not appl.	Bank Guarantee (BLR)	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	0.02	Simple	ACUITE A2 \| Upgraded ( from ACUITE A3+ )
Canara Bank	Not avl. / Not appl.	Channel/Dealer/Vendor Financing	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	89.10	Simple	ACUITE BBB \| Stable \| Upgraded ( from ACUITE BBB- )
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.	19.92	Simple	ACUITE BBB \| Stable \| Upgraded ( from ACUITE BBB- )
Canara Bank	Not avl. / Not appl.	Secured Overdraft	Unlisted	RBI	Not avl. / Not appl.	Not avl. / Not appl.	Not avl. / Not appl.	3.90	Simple	ACUITE BBB \| Stable \| Upgraded ( from ACUITE BBB- )
KOTAK MAHINDRA BANK LIMITED	Not avl. / Not appl.	Term Loan	Unlisted	RBI	28 Dec 2022	Not avl. / Not appl.	10 Feb 2030	4.19	Simple	ACUITE BBB \| Stable \| Upgraded ( from ACUITE BBB- )
KOTAK MAHINDRA BANK LIMITED	Not avl. / Not appl.	Term Loan	Unlisted	RBI	25 Apr 2023	Not avl. / Not appl.	10 May 2028	2.87	Simple	ACUITE BBB \| Stable \| Upgraded ( from ACUITE BBB- )

Contacts

Mohit Jain
Chief Analytical Officer - Rating Operations

Archita Sharma
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.