Metal Crafts Constructors Pvt. Ltd.

Brickwork Ratings assigns the ratings for the Bank Loan Facilities of Rs. 63.18 Crs. of Metal Crafts Constructors Pvt. Ltd.

Particulars

Facilities**	Amount(Rs.Crs.)	Tenure	Rating#
Fund Based	42.18	Long Term	BWR BBB - /Stable Assignment
Non Fund Based	21.00	Short Term	BWR A3 + Assignment
	(4.00)
Grand Total	63.18	(Rupees Sixty Three Crores and Eighteen 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 assigns the ratings of "BWR BBB-/Stable/A3+",  for the Bank Loan Facilities of Rs. 63.18 Crs. of Metal Crafts Constructors Pvt. Ltd.

The ratings are positively influenced by the promoter's extensive industrial engineering expertise and established relationships with premier conglomerates, which ensure a reliable payment pipeline and consistent repeat business. The ratings are constrained by high vulnerability to cyclical, capital-intensive sectoral concentration and intense tender-based competition that limits pricing power and places significant pressure on operating margins.

The ‘Stable’ outlook indicates a low likelihood of rating change over the medium term. BWR believes Metal Crafts Constructors Pvt. Ltd.'s business risk profile will be maintained over the medium term. The outlook may be revised to Positive if a sustained increase in the scale of operations and higher than envisaged profitability result in an improved financial risk profile and better gearing and debt protection metrics. The outlook may be revised to Negative if lower-than-expected revenue or profitability, a stretch in the working capital cycle, unanticipated capex or weakening gearing impact the financial risk profile.

KEY RATING DRIVERS

Credit Strengths:

• Experienced Management and Promoters :

  The company benefits immensely from the extensive experience of its founder and promoter, Mr. Thulasidharan Bhaskaran, who has over three - four decades of ground level execution expertise in the industrial engineering domain. Supported by a qualified second tier management team, the leadership has successfully navigated multiple economic cycles, established strong project execution workflows, and scaled operations from a small local contractor into a preferred partner for complex engineering projects. This deep domain knowledge facilitates effective project bidding, minimizes execution delays, and helps maintain a massive skilled workforce, giving the company a significant competitive advantage over newer, less established players.

• Reputed and Established Clientele :

  The company has built enduring operational relationships with premier industrial conglomerates and global project management firms, including Reliance Industries, Tata Steel, Indian Oil Corporation, and Tecnimont. Its capabilities are further validated by a strategic joint venture with Tecnimont Private Limited, highlighting its strong execution credentials in mechanical and civil infrastructure. This high-profile client base minimizes counterparty credit risks, ensures a highly reliable payment pipeline, and provides regular repeat business through large scale brownfield revamps and greenfield expansions. Securing business from such stringent corporations underscores the company adherence to elite technical standards and strict safety compliance protocols.

Credit Risks:

• High Sectoral Concentration Risks :

  The company's operational revenues are heavily exposed to cyclical and capital intensive core sectors, primarily oil and gas refineries, petrochemicals, fertilizers, and steel manufacturing. This deep reliance makes the business highly vulnerable to macroeconomic downturns, shifts in industrial policies, and capital expenditure fluctuations within these specific industries. If major clients defer their expansion or maintenance cycles due to global commodity price volatility or regulatory transitions, the company order book execution could face severe delays. Lacking meaningful revenue diversification across consumer or non cyclical segments exposes the company to prolonged periods of reduced operational cash flows during industry specific downturns.

• Intense Tender Based Competition :

  Operating within the highly fragmented engineering, procurement, and construction sector exposes the company to aggressive tender based competition, which places considerable pressure on operating margins. The company must secure its order book by participating in competitive bidding processes where larger players and aggressive local contractors frequently underbid to capture market share. This operational framework limits the company pricing power and exposes it to significant cost escalation risks. If raw material prices or labor costs spike during fixed price contract execution, the company must absorb the losses internally, which can severely constrain operating cash flows and compress thin net margins.

ANALYTICAL APPROACH - Standalone

To arrive at its ratings, BWR has considered a standalone approach. Reference may be made to the Rating Criteria hyperlinked below.

RATING SENSITIVITIES

Moving ahead, the company's ability to expand its operational scale, boost profitability, and enhance liquidity and credit standing will be critical factors influencing its rating.

Positive Factors:-

• Any improvement in the company's scale of operations beyond Rs 185.00 Crores.

• Improvement in the working capital cycle 

Negative factors:-

• Any decline in the company's TOI falling below Rs 130.00 Crs.

• Deterioration in liquidity profile, with a decrease in unutilized bank limits or unencumbered bank balances

LIQUIDITY INDICATORS - Adequate

 Adequate liquidity characterized by sufficient cushion in accruals vis-a-vis repayment obligations. No capex is envisaged in the near future. Its bank limits are utilized to the extent of 68% and have sought enhancement in bank lines, supported by the above unity current ratio. The unutilized bank limit is expected to provide a safety net for the company in case of any unforeseen financial distress.

The company has adequate liquidity, as demonstrated by its net cash accruals of Rs 13.24 crores against a repayment obligation of Rs 7.67 crores in FY 26. It is projected to maintain this healthy liquidity position, with net cash accruals of Rs 15.92 crores against a repayment obligation of Rs 7.70 crores in FY 27, and net cash accruals of Rs 16.12 crores against a repayment obligation of Rs 6.01 crores in FY 28. The current ratio was 1.41x in FY 26 and is expected to remain above one for the next two financial years.

 

ABOUT THE ENTITY

Incorporated in Jamnagar, Gujarat, Metal Crafts Constructors Pvt Ltd provides specialized civil, electrical, mechanical, instrumentation, and insulation services for refineries, power plants, and petrochemical sectors. Founded by Managing Director Mr. Thulasidharan Bhaskaran, the company’s leadership team also includes Executive Director Mr. Adarsh Thulasidharan and Director Mr. Adish Thulasidharan.

ESG Profile

The company demonstrates an Adequate ESG profile based on its environmental, social, and governance practices.

Metal Crafts Constructors Pvt. Ltd. embeds responsible construction and engineering practices across its project sites to minimize its environmental footprint. The company emphasizes the efficient utilization of resources, proper waste management, pollution prevention, and full compliance with all applicable environmental regulations. Sustainable work practices are integrated directly into project execution to systematically reduce environmental impact while maintaining operational excellence across its industrial and engineering operations.

On the social front, the company places people at the center of its business, prioritizing employee health, safety, and overall well-being. These priorities are actively supported by continuous training programs and a strong organizational safety culture. The company provides equal employment opportunities, promotes continuous skill development, and maintains a safe and inclusive workplace. During the COVID-19 pandemic, the dedication of its workforce enabled the company to continue operations successfully and remain profitable, demonstrating resilience and commitment to its workforce and clients.

In terms of governance, the company operates under high standards of corporate governance, ethical business conduct, and strict regulatory compliance. The governance framework is built on transparency, accountability, and strong internal controls. The company holds internationally recognized certifications, including ISO 9001:2015 for Quality Management Systems and ISO 45001:2018 for Occupational Health and Safety Management Systems. Its consistent focus on quality management, safety, and customer satisfaction has earned repeated recognition from clients and Project Management Consultants, driving long-term relationships and repeat business.

KEY FINANCIAL INDICATORS (Standalone)

Key Parameters	Units	FY 23 - 24 (Audited)	FY 24 - 25 (Audited)	FY 25 - 26 (Provisional)
Operating Revenue	Rs.Crs.	120.46	134.69	162.52
EBITDA	Rs.Crs.	9.43	13.10	16.41
PAT	Rs.Crs.	2.91	4.80	5.51
Tangible Net Worth	Rs.Crs.	14.99	19.79	25.30
Total Debt / Tangible Net Worth	Times	1.51	1.75	1.26
Current Ratio	Times	1.34	1.34	1.41

KEY COVENANTS OF THE FACILITY RATED

The key covenants are the standard terms as stipulated in the sanction letters of the rated facilities.

STATUS OF NON-COOPERATION WITH PREVIOUS CRA

Creadit Rating Agency	Status and Reason for Non-Cooparation	Date of Press Release
CRISIL	Non-submission of the relevant information.	27Apr2026

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

Facilities	Current Rating  (2026)			2025		2024		2023
Type	Tenure	Amount (Rs.Crs.)	Rating	Date	Rating	Date	Rating	Date	Rating
Fund Based	LT	42.18	BWR BBB-/Stable (Assignment)	NA	NA	NA	NA	NA	NA
Non Fund Based	ST	21.00	BWR A3+ (Assignment)	NA	NA	NA	NA	NA	NA
NFB SubLimit	ST	(4.00)	BWR A3+ (Assignment)	NA	NA	NA	NA	NA	NA
Grand Total		63.18	(Rupees Sixty Three Crores and Eighteen lakhs Only)

Hyperlink/Reference to applicable Criteria

• General Criteria
• Approach to Financial Ratios
• Services Sector
• Short Term Debt
• Engineering Procurement and Construction

Analytical Contacts
Varsha Jasmin Rating Analyst varsha.j@brickworkratings.com	Nagaraj K Director - Ratings Board : +91 80 4040 9940 nagaraj.ks@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	Bank of Baroda	Term Loan - Out-standing	0.28	_	0.28	Simple##
2	Bank of Baroda	Term Loan - Out-standing	0.28	_	0.28	Simple##
3	Bank of Baroda	Term Loan - Out-standing	0.28	_	0.28	Simple##
4	Bank of Baroda	Term Loan - Out-standing	0.23	_	0.23	Simple##
5	Bank of Baroda	Term Loan - Out-standing	0.23	_	0.23	Simple##
6	Bank of Baroda	Term Loan - Out-standing	0.37	_	0.37	Simple##
7	Bank of Baroda	Term Loan - Out-standing	0.99	_	0.99	Simple##
8	Bank of Baroda	Term Loan - Out-standing	0.99	_	0.99	Simple##
9	Bank of Baroda	Term Loan - Out-standing	0.06	_	0.06	Simple##
10	Bank of Baroda	Term Loan - Out-standing	0.06	_	0.06	Simple##
11	Bank of Baroda	Term Loan - Out-standing	0.10	_	0.10	Simple##
12	Bank of Baroda	Term Loan - Out-standing	2.51	_	2.51	Simple##
13	Bank of Baroda	Term Loan - Out-standing	1.34	_	1.34	Simple##
14	Bank of Baroda	Term Loan - Out-standing	4.23	_	4.23	Simple##
15	Bank of Baroda	Term Loan - Proposed	14.60	_	14.60	Simple##
16	Bank of Baroda	Over Draft - Sanctioned	10.00	_	10.00	Simple##
	Sub-Limit (Performance BG) - Sanctioned		(4.00)
17	Bank of Baroda	Bank Guarantee - Sanctioned	_	21.00	21.00	Simple##
18	Sundaram Finance Limited	Term Loan - Out-standing	0.02	_	0.02	Simple##
19	Sundaram Finance Limited	Term Loan - Out-standing	0.02	_	0.02	Simple##
20	Sundaram Finance Limited	Term Loan - Out-standing	0.11	_	0.11	Simple##
21	Sundaram Finance Limited	Term Loan - Out-standing	0.06	_	0.06	Simple##
22	Sundaram Finance Limited	Term Loan - Out-standing	0.25	_	0.25	Simple##
23	Sundaram Finance Limited	Term Loan - Out-standing	0.25	_	0.25	Simple##
24	Sundaram Finance Limited	Term Loan - Out-standing	0.25	_	0.25	Simple##
25	Sundaram Finance Limited	Term Loan - Out-standing	0.25	_	0.25	Simple##
26	Sundaram Finance Limited	Term Loan - Out-standing	0.23	_	0.23	Simple##
27	Sundaram Finance Limited	Term Loan - Out-standing	0.23	_	0.23	Simple##
28	Sundaram Finance Limited	Term Loan - Out-standing	0.05	_	0.05	Simple##
29	Sundaram Finance Limited	Term Loan - Out-standing	0.05	_	0.05	Simple##
30	Sundaram Finance Limited	Term Loan - Out-standing	0.05	_	0.05	Simple##
31	Sundaram Finance Limited	Term Loan - Out-standing	0.06	_	0.06	Simple##
32	Sundaram Finance Limited	Term Loan - Out-standing	0.07	_	0.07	Simple##
33	Sundaram Finance Limited	Term Loan - Out-standing	0.33	_	0.33	Simple##
34	Sundaram Finance Limited	Term Loan - Out-standing	0.33	_	0.33	Simple##
35	Sundaram Finance Limited	Term Loan - Out-standing	0.45	_	0.45	Simple##
36	Sundaram Finance Limited	Term Loan - Out-standing	0.45	_	0.45	Simple##
37	Sundaram Finance Limited	Term Loan - Out-standing	0.88	_	0.88	Simple##
38	Sundaram Finance Limited	Term Loan - Out-standing	0.85	_	0.85	Simple##
39	Sundaram Finance Limited	Term Loan - Out-standing	0.04	_	0.04	Simple##
40	Sundaram Finance Limited	Term Loan - Out-standing	0.10	_	0.10	Simple##
41	Sundaram Finance Limited	Term Loan - Out-standing	0.25	_	0.25	Simple##
Total			42.18	21.00	63.18
TOTAL (Rupees Sixty Three Crores and Eighteen 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.