Apex Welcare Trust

Brickwork Ratings assigns the long-term rating of "BWR BBB/Stable" for the Bank Loan Facilities of Rs. 5.20 Crs. of Apex Welcare Trust.

Particulars

Facilities**	Amount(Rs.Crs.)	Tenure	Rating#
Fund Based	5.20	Long Term	BWR BBB /Stable Assignment
Grand Total	5.20	(Rupees Five Crores and Twenty lakhs Only)

#Please refer to BWR website www.brickworkratings.com for definition of the ratings
**Details of Bank Loan facilities,consolidation or instruments are provided in Annexure RATING ACTION / OUTLOOK

Brickwork Ratings has assigned the long-term rating of “BWR BBB/Stable” for the bank loan facilities of Rs. 5.20 Cr. of Apex Welcare Trust.

The Rating has factored, inter alia, Experienced management with long-standing presence in the healthcare field, low gearing levels and nil debt obligations. The rating is constrained by highly regulated area of operations, modest scale of operations and geographical concentration.

Going forward, the ability of the trust to improve its scale of operations and surplus will remain the key rating sensitivities. The rating outlook has been assigned as "Stable" as BWR believes that Apex Welcare Trust, business risk profile will be maintained over the medium term. The 'Stable' outlook indicates a low likelihood of rating change over the medium term. The rating outlook may be revised to 'Positive' in case the revenue and profitability margins show sustained improvement. The rating outlook may be revised to 'Negative' if the financial risk profile goes down.

KEY RATING DRIVERS

Credit Strengths:

• Experienced Management with Long-Standing Presence in the Healthcare Field :

  The trust is managed by well-qualified, experienced trustees with decades of business experience and an established industrial presence. This strong leadership has driven consistent operational growth and improved student enrollment while ensuring strict compliance with all regulatory guidelines. The management team is led by the chairman, Dr. S. K. Singh, who is supported by a team of medical professionals in establishing the Ayurvedic college and hospital. Furthermore, the trust faces no direct competition in the immediate vicinity, and its established presence of over two decades provides a significant competitive advantage.

• Low Gearing Levels and Nil Debt Obligations :

  As of FY2026 (P), the trust maintains a strong credit profile characterized by nil outstanding debt and obligations. Working capital limits remain unutilized, with a minimal average utilization of 7.53% over the past year. Furthermore, the trust exhibits a robust leverage profile, supported by a Tangible Net Worth of Rs. 76.58 Cr and a conservative TOL/TNW ratio of 0.07x at the end of FY2026 (P).

Credit Risks:

• Highly Regulated Area of Operations :

  Both Healthcare and Education Sectors Are Highly regulated sectors in India. Hence, regulatory challenges continue to pose a significant risk to healthcare and educational institutions as they are highly susceptible to any changes in the regulatory framework.

• Modest Scale of Operations and Geographical Concentration :

  The trust demonstrates moderate scale of operations, reflected by operating income of Rs. 20.64 Cr. in FY2025 which later increased to Rs. 26.64 Cr. in FY2026 (P). All the institution of the trust are located in Mirzapur, Uttar Pradesh which limits the entities exposure to specific locations and exposed to regional political and economic conditions.

ANALYTICAL APPROACH - Standalone

For arriving at these ratings, BWR has considered the standalone performance of Apex Welcare Trust. BWR has applied its rating methodology as detailed in the Rating Criteria (hyperlinks provided at the end of this rationale).

RATING SENSITIVITIES

Going forward, the ability of the trust to Improve their operational scale and surplus would be the key rating sensitivities.

Positive:

• Growth is scale of operations leading to total operating income exceeding Rs. 40.00 Cr., while maintaining operating surplus margin at 18.50% or above.
• Current ratio above 1.10x.

Negative:

• Revenue from operations going below 15% from FY2026 (P) levels.
• Total Debt / TNW above 0.50x or TOL/TNW above 0.75x.

LIQUIDITY INDICATORS - Adequate

The trust has adequately covered its interest expenses through sufficient operating surplus in the recent years and is expected to maintain this momentum in the coming years. It had nil debt obligations, allowing net cash accruals to flow freely into capex or liquidity needs. Although the current ratio moderated to 0.85x in FY2026 (P) from 1.38x in FY2025, this does not indicate a liquidity crunch, as the trust has nil debt obligations and minimal outstanding expenses payable of Rs. 1.22 Cr at the end of FY2026 (P) against adequate cash and cash equivalents of Rs. 2.27 Cr. Furthermore, working capital limit utilization averaged a low 7.53% over the last one year, leaving the unutilized portion as an additional liquidity buffer. 

Considering all these factors, the trust's liquidity position is assessed as "Adequate".

ABOUT THE ENTITY

Apex Welcare Trust is a charitable organization established by the late Rajnarayan Singh on 28-Nov-2006. The trust is registered under the Indian Registration Act, 1908 (Reg. No. 92), and donations made to it are tax-exempt under Section 80G(5)(vi) of the Income Tax Act (Reg. No. VNS/COMM/62(13)/80G). The trust is managed by highly qualified trustees, led by the Chairman, Dr. S. K. Singh, who brings 30 years of experience as a medical practitioner. The trust operates a multi-specialty footprint that includes an Ayurvedic hospital and college, medical science hospital and college, pharmacy institution, blood bank and nursing college. It is located in Mirzapur, Uttar Pradesh - 231304.

ESG Profile

The institutions demonstrate a Adequate ESG profile based on its environmental, social, and governance practices. For educational institutions, governance is a key factor influencing the overall ESG assessment.

Environmental: Apex Welcare Trust demonstrates a commitment to environmental compliance and waste management across its medical, blood bank, and educational campuses. The Trust strictly adheres to standard Bio-Medical Waste (Management and Handling) Rules and State Pollution Control Board guidelines by maintaining segregated clinical waste streams, effluent management, and safe incineration or disposal protocols. Energy efficiency measures, such as the gradual adoption of solar panel systems integrated across its academic buildings, laboratories, and hospital wards to minimize operational power consumption. Additionally, the Trust maintains dedicated herbal gardens at its Ayurvedic institution, promoting biodiversity and sustainable cultivation of medicinal flora native to the region.

Social: The Trust delivers substantial social value by providing affordable, subsidized, and charitable medical care to rural and economically weaker sections across Eastern Uttar Pradesh and adjoining states. Its multi-specialty healthcare infrastructure including emergency care, oncology, cardiology, AYUSH therapies, and a functional blood bank addresses critical regional healthcare gaps. Through its medical, nursing, pharmacy, and paramedical colleges, the Trust generates local employment and drives human capital development by offering practical clinical training to students. Furthermore, the Trust regularly organizes free health camps, vaccination drives, and voluntary blood donation campaigns to improve public health awareness in surrounding communities.

Governance: Apex Welcare Trust operates under a formal governance structure led by a Board of Trustees including experienced medical practitioners and administrative leaders. Operational transparency and care quality are backed by recognized accreditations, including NABH and ISO certifications. The Trust complies with regulatory frameworks set by the National Commission for Indian System of Medicine (NCISM), Indian Nursing Council (INC), and affiliated state medical universities. Financial governance is maintained through independent annual audits, compliance with Section 80G tax-exempt trust guidelines, and prudent fund allocation across operational and academic CAPEX requirements.

KEY FINANCIAL INDICATORS (Standalone)

Key Parameters	Units	FY 23 - 24 (Audited)	FY 24 - 25 (Audited)	FY 25 - 26 (Provisional)
Operating Revenue	Rs.Crs.	20.20	20.64	26.64
EBITDA	Rs.Crs.	5.57	2.11	4.77
PAT	Rs.Crs.	5.58	2.01	4.79
Tangible Net Worth	Rs.Crs.	64.01	68.71	76.58
Total Debt / Tangible Net Worth	Times	0.02	Not Available	Not Available
Current Ratio	Times	2.38	1.38	0.85

KEY COVENANTS OF THE FACILITY RATED

The terms of sanction of the rated facilities include standard covenants normally stipulated for such facilities.

STATUS OF NON-COOPERATION WITH PREVIOUS CRA

Not Applicable

ANY OTHER INFORMATION

None

RATING HISTORY FOR LAST THREE YEARS (including withdrawal and suspended)

Facilities	Current Rating  (2026)			2026 (History)		2025		2024		2023
Type	Tenure	Amount (Rs.Crs.)	Rating	Date	Rating	Date	Rating	Date	Rating	Date	Rating
Fund Based	LT	5.20	BWR BBB/Stable (Assignment)	18Feb2026	BWR C (Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed and withdrawn)	27Mar2025	BWR C (Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed)	09Jan2024	BWR C (Continues to be in ISSUER NOT COOPERATING* category/Downgraded)	NA	NA
Non Fund Based	LT	0.00	NA	18Feb2026	BWR C (Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed and withdrawn)	27Mar2025	BWR C (Continues to be in ISSUER NOT COOPERATING* category/Reaffirmed)	09Jan2024	BWR C (Continues to be in ISSUER NOT COOPERATING* category/Downgraded)	NA	NA
Grand Total		5.20	(Rupees Five Crores and Twenty lakhs Only)

Hyperlink/Reference to applicable Criteria

• General Criteria
• Approach to Financial Ratios
• Services Sector
• Education Sector

Analytical Contacts
Mohammed Farzan Rating Analyst mohammed.f@brickworkratings.com	Suryanarayan N Director suryanarayan.n@brickworkratings.com
Media Contact | media@brickworkratings.com	Client Support | clientsupport@brickworkratings.com

SL.No.	Name of the Bank/Lender	Type Of Facilities	Long Term(Rs.Crs.)	Short Term(Rs.Crs.)	Total(Rs.Crs.)	Complexity of the Instrument
1	Central Bank of India	Over Draft - Sanctioned	5.20	_	5.20	Simple##
Total			5.20	0.00	5.20
TOTAL (Rupees Five Crores and Twenty lakhs Only)

## BWR complexity levels are meant for educating investors. The BWR complexity levels are available at www.brickworkratings.com / download / ComplexityLevels.pdf. Investors queries can be sent to info@brickworkratings.com.