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| Product | Quantum (Rs. Cr) (SEBI) | Quantum (Rs. Cr) (Other FSR) | Long Term Rating | Short Term Rating | Regulated By |
| Bank Loan Ratings | 0.00 | 59.60 | ACUITE BBB+ | Reaffirmed & Withdrawn | - | RBI |
| Bank Loan Ratings | 0.00 | 10.66 | Not Applicable | Withdrawn | - | RBI |
| Bank Loan Ratings | 0.00 | 5.50 | - | ACUITE A2 | Reaffirmed & Withdrawn | RBI |
| Bank Loan Ratings | 0.00 | 7.00 | - | Not Applicable | Withdrawn | RBI |
| Total Outstanding | 0.00 | 0.00 | - | - | - |
| Total Withdrawn | 0.00 | 82.76 | - | - | - |
| 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. |
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Rating Rationale |
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Acuite has reaffirmed and withdrawn its long-term rating of ‘ACUITE BBB+’ (read as ACUITE triple B plus) on the Rs. 59.60 Cr. bank facilities and short-term rating of 'ACUITE A2' (read as ACUITE A two) on the Rs. 5.50 Cr. bank facilities of Umberto Ceramics International Private Limited (UCIPL). The rating has been withdrawn on account of the request received from the issuer and No objection certificate (NOC) received from the lender.
Further, Acuité has also withdrawn its long-term rating on the of Rs. 10.50 Cr. bank facility and short-term rating on Rs. 7 Cr. bank facility of Umberto Ceramics International Private Limited (UCIPL), without assigning any rating, as the instrument is fully repaid. The rating has been withdrawn on account of the request received from the issuer and No due certificate (NDC) received from the lender. Acuite has also withdrawn its long-term rating on Rs. 0.16 Cr. bank facility of of Umberto Ceramics International Private Limited (UCIPL) without assigning any rating as its a proposed facility. The rating has been withdrawn on account of the request received from the issuer. The rating withdrawal is in accordance with Acuité's policy on withdrawal of rating as applicable to the respective facility / instrument. Rationale for rating: The rating reaffirmation takes into account the company's moderate financial risk profile and comfortable debt protection metrics. Additionally, the company has an established track record and experienced management, along with a moderate scale and healthy margins. The rating remains constrained on account of intensive working capital operations. The rating is also constrained by the company's exposure to foreign exchange fluctuation risk arising from import and export transactions, which may impact its earnings and cash flows. |
| About the Company |
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Incorporated in 2011, Umberto Ceramics International Private Limited (UCIPL) manufactures & exports of porcelain tableware, and trades SS cutlery, stoneware and has recently started trading of glassware. Based in Mumbai, its directors are Mr. Bernard Gilbert Massaad & Mr. Sunil Kapoorchand Malesha.
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| Unsupported Rating |
| Not Applicable. |
| Analytical Approach |
| Acuité has considered the standalone business and financial risk profile of UCIPL to arrive at the rating. |
| Key Rating Drivers |
| Strengths |
| Experienced management
The management of the company has more than three decades of experience in the ceramic industry. The managing director, Mr. Sunil Malesha, has worked for over a decade with R.A.K. Ceramics India. The senior management team is ably supported by a strong line of mid-level managers. The company has developed long-standing relationships with its reputed customers. Further, the company has planned a capital expenditure of approximately Rs. 46 Cr. in FY27 to expand its production capacity by around 30%, which is expected to support its future growth prospects and strengthen its market position.
Moderate scale of operations and healthy margins
During FY26 (Prov.), the company reported revenue of approximately Rs. 187.48 Cr. as compared to Rs. 179.42 Cr. in FY25. The growth in revenue was primarily driven by a marginal increase in sales volume and improved price realizations. Further, the company has already achieved revenue of Rs. 70.32 Cr. during the period ending July 31, 2026. The company's operating margin moderated to 30.28% in FY26 (Prov.) from 32.09% in FY25, mainly due to an increase in operating expenses however, remains healthy. Further, the PAT margin declined to 19.75% in FY26 (Prov.) from 20.54% in FY25, primarily on account of higher depreciation expenses during the year.
Moderate financial risk profile The financial risk profile of the company remained comfortable, supported by a healthy net worth, low gearing, and adequate debt protection metrics. The net worth improved to Rs. 164.10 Cr. in FY26 (Prov.) from Rs. 127.07 Cr. in FY25, driven by the accretion of profits to reserves. The net worth also includes redeemable cumulative preference shares amounting to Rs. 9.86 Cr. as on March 31, 2026 (Prov.), which is treated as quasi-equity. The gearing ratio continued to remain below unity and improved to 0.26 times in FY26 (Prov.) from 0.34 times in FY25. Further, debt protection metrics remained comfortable, marked by an improvement in the interest coverage ratio (ICR) to 19.17 times in FY26 (Prov.) from 15.23 times in FY25. The debt service coverage ratio (DSCR) stood at 3.60 times in FY26 (Prov.) as against 8.12 times in FY25, primarily due to higher principal repayment obligations during FY26.
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| Weaknesses |
| Intensive working capital management
The company’s working capital operations remained intensive, with gross current assets days increasing to 263 days in FY26 (Prov.) from 219 days in FY25, primarily on account of higher inventory levels. Inventory holding days increased to 218 days from 162 days following the company’s appointment as the exclusive pan-India distributor of Pasabahçe, necessitating the maintenance of higher stock levels of imported products. Debtor days remained stable at 55 days in FY26 (Prov.) as against 57 days in FY25, reflecting established customer relationships and disciplined collection practices. Creditor days stood at 146 days in FY26 (Prov.) compared to 160 days in FY25, with the company continuing to benefit from credit support from both domestic and overseas suppliers. Exposure to raw material, fuel cost and foreign exchange fluctuations The ceramic and tableware industry remains vulnerable to fluctuations in raw material and energy costs, which can impact profitability despite strong demand. Further, UCIPL imports approximately ~42% of its procurement and exports approximately ~40% of its supplies, thereby keeping the operations susceptible to foreign exchange fluctuations. |
Rating Sensitivities
| Potential triggers (individual or collective) for an upward rating action: |
| Not Applicable. |
| Potential triggers (individual or collective) for a downward rating action: |
| Not Applicable. |
| Liquidity Position |
| Adequate |
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The company’s liquidity position is adequate marked by sufficient net cash accruals of Rs. 43.25 Cr. in FY26 (Prov.) as against maturing debt repayment obligations of Rs. 9.76 Cr. for the same period. The current ratio stood healthy at 2.02 times in FY26 (Prov.). Further, the unencumbered cash and bank balances of the company stood at Rs. 1.95 Cr. as on March 31, 2026 (Prov.). Additionally, the average bank limit utilisation stood moderate marked by fund-based limit utilisation of 70.29 percent for past 6 month ending July 2026.
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| Outlook: |
| Not Applicable |
| Other Factors affecting Rating |
| None. |
| Particulars | Unit | FY 26 (Provisional) | FY 25 (Actual) |
| Operating Income | Rs. Cr. | 187.48 | 179.42 |
| PAT | Rs. Cr. | 37.03 | 36.85 |
| PAT Margin | (%) | 19.75 | 20.54 |
| Total Debt/Tangible Net Worth | Times | 0.26 | 0.34 |
| PBDIT/Interest | Times | 19.17 | 15.23 |
| Status of non-cooperation with previous CRA (if applicable) |
| Not Applicable. |
| Any other information |
| None. |
| Applicable Criteria |
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• Default Recognition :- https://www.acuite.in/view-rating-criteria-52.htm • Manufacturing Entities: https://www.acuite.in/view-rating-criteria-59.htm • Application Of Financial Ratios And Adjustments: https://www.acuite.in/view-rating-criteria-53.htm |
| Note on complexity levels of the rated instrument |
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| 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. |
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Contacts |
List of instruments and names of regulators of the instruments |
