Product Quantum (Rs. Cr) Long Term Rating Short Term Rating
Bank Loan Ratings 5.50 ACUITE B | Downgraded | Issuer not co-operating* -
Bank Loan Ratings 2.00 - ACUITE A4 | Reaffirmed | Issuer not co-operating*
Total Outstanding 7.50 - -
Total Withdrawn 0.00 - -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)  and reaffirmed the short term rating to ‘ACUITE A4’ (read as ACUITE A four) on the Rs. 7.50 crore bank facilities of Taylormade Renewables Limited (TRL). The rating continues to be flagged as “Issuer Not-Cooperating” and is based on the best available information.

Rationale for downgrade
The downgrade is primarily driven by a significant decline in EBITDA, attributed to a sharp rise in raw material costs and a 75% increase in total expenses for 9MFY2025 compared to 9MFY2024. Additionally, increased interest costs due to higher long-term borrowings and a rise in depreciation and amortization expenses have further strained financial performance. Liquidity concerns are evident as trade receivables exceed revenue from operations, mainly due to delayed payments from a major Andhra Pradesh water infrastructure project. The financial risk profile is impacted by the substantial upfront investment required for the expansion of the TRL Build-Own-Operate (BOO) Model and the acquisition of a majority stake in Taylormade Enviro Private Limited (TEPL), along with the establishment of a Common Effluent Treatment Plant (CETP) in Gujarat. These factors, combined with a notable decline in Profit Before Tax (PBT) and Profit After Tax (PAT) due to increased material costs, higher depreciation, and rising interest expenses, factors for downgrade.

About the Company
­Based in Ahmedabad, Gujarat, and promoted by Mr. Dharmendra Gor and Gor family, Taylormade Renewables Limited (TRL) was incorporated in 2010. The company manufactures components and carries out EPC (engineering, procurement, and construction) work for renewable energy and solar thermal applications, primarily parabolic concentrators. It also manufactures bio-mass cook stoves, box cookers, and dish cookers among others. TRL has patents for some of its products.

 
 
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 & review of 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 continues to be flagged as “Issuer not-cooperating”, in line with prevailing SEBI regulations and Acuité’s policies.

 
 
Limitation regarding information availability:
­The rating is based on information available from sources other than the issuer/borrower (in the absence of information provided by the issuer/borrower). Acuité endeavored to gather information about the entity/industry from the public domain. Therefore, Acuité cautions lenders and investors regarding the use of such information, on which the indicative credit rating is based.

 
 
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. 46.90 19.79
PAT Rs. Cr. 10.61 1.97
PAT Margin (%) 22.62 9.95
Total Debt/Tangible Net Worth Times 0.11 0.16
PBDIT/Interest Times 30.45 7.82
Status of non-cooperation with previous CRA
­Not Applicable
 
Any other information
­­None
 
Applicable Criteria
• Rating Process and Timeline: https://www.acuite.in/view-rating-criteria-67.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
02 Apr 2024 Bank Guarantee (BLR) Short Term 2.00 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 5.50 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
11 Jan 2023 Bank Guarantee (BLR) Short Term 2.00 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 5.50 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
21 Oct 2021 Bank Guarantee/Letter of Guarantee Short Term 2.00 ACUITE A4 (Reaffirmed & Issuer not co-operating*)
Cash Credit Long Term 5.50 ACUITE B+ (Reaffirmed & Issuer not co-operating*)
* 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
Union Bank of India Not avl. / Not appl. Bank Guarantee (BLR) Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 2.00 Simple ACUITE A4 | Reaffirmed | Issuer not co-operating*
Union Bank of India Not avl. / Not appl. Cash Credit Not avl. / Not appl. Not avl. / Not appl. Not avl. / Not appl. 5.50 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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