Agrawal Infracab Private Limited

Brickwork Ratings assigns the long-term and short-term ratings for the Bank Loan Facilities of Rs. 123.80 Crs. of Agrawal Infracab Private Limited

Particulars

Facilities	Amount(Rs.Crs.)	Tenure	Rating	Regulator
Fund Based	86.88	Long Term	BWR BBB - /Stable Assignment	RBI
	(10.00)
	(10.00)
	11.51	Short Term	BWR A3 Assignment	RBI
Non Fund Based	25.41	Short Term	BWR A3 Assignment	RBI
	(2.00)
	(2.00)
	(3.70)
	(10.00)
Grand Total	123.80	(Rupees One Hundred Twenty Three Crores and Eighty lakhs Only)

Note:
1. Please refer to BWR website www.brickworkratings.com for the definition of the ratings
2. Refer to Annexures I, II, and III for details of rated bank loan facilities, debt instruments, and the List of Entities Consolidated RATING ACTION / OUTLOOK

Brickwork Ratings has assigned the long-term rating and short-term rating of BWR BBB- (Stable) and BWR A3 for the bank loan facilities of Rs. 123.80 Crore of Agrawal Infracab Private Limited(AIPL).

For assigning the ratings, BWR has relied on the audited financials of the company up to FY25, management-certified provisional financials for FY26, projected financials for FY27-FY28, clarification provided by the company, and publicly available information.

Brickwork Ratings (BWR) has assigned the ratings of Agrawal Infracab Private Limited (AIPL), considering factors such as extensive promoter experience and strong domain expertise, Strong Sales Growth and diversified revenues, and Favorable demand outlook driven by the Revamped Distribution Sector Scheme (RDSS) and DISCOM orders. The ratings are, however, constrained by the company’s leveraged capital structure and heavy working capital requirements inherent to the power transmission and distribution (T&D) sector.

The rating outlook is "Stable," reflecting BWR's expectation that Agrawal Infracab Private Limited(AIPL) will sustain its business risk profile over the medium term. This outlook suggests a minimal probability of rating revision within the foreseeable future. An upward revision to "Positive" may be considered should revenue and profitability demonstrate sustained growth, while a "Negative" revision could be triggered by a deterioration in the financial risk profile.

KEY RATING DRIVERS

Credit Strengths:

• Extensive promoter experience and strong domain expertise: :

  The promoters bring over five decades of promoter domain expertise in the power transmission and distribution (T&D) sector, tracing a long operational legacy through precursor entities such as Prakash Electricals and Agrawal Wires. Under the leadership of founder Mr. Gopal Das Agrawal alongside second-generation promoters Mr. Shivansh Agrawal and Mr. Puneet Kumar Mittal, the management team leverages deep industry knowledge to drive business growth. 

• Strong Sales Growth and diversified revenues: :

  Agrawal Infracab Private Limited demonstrated strong top-line expansion and profitability growth in Prov. FY26, driven by a significant operational scale-up. Total Operating Income surged by 61.80% YoY to Rs. 213.36 crore in Prov. FY26 from Rs. 131.87 crore in FY25. Although the company has an unexecuted order book of Rs. 344.50 Crs, as of June (Q1 FY27), AIPL reported cumulative sales of Rs.110 Crore. Operating profitability experienced healthy margin expansion, with EBITDA nearly doubling to Rs. 32.12 crore with a 15.05% EBITDA margin in Prov. FY26, compared to Rs. 16.34 crore with a 12.39% EBITDA margin in FY25. In line with operational growth, Net Profit reached Rs. 15.61 crore with a PAT margin of 7.32% in Prov. FY26, up from Rs. 7.16 crore with a 5.43% PAT margin in FY25. 

  The AIPL strategically focused regional expansion on domestic markets, establishing Uttar Pradesh as its primary revenue driver. Operational efficiency was simultaneously improved by narrowing its geographic footprint and phasing out smaller legacy markets, including Chhattisgarh, Delhi, and Rajasthan.

• Favorable demand outlook driven by Revamped Distribution Sector Scheme (RDSS) and DISCOM orders: :

  Agrawal Infracab Private Limited is significantly strengthened by strong order book visibility and sustained inflows driven by the Government of India’s Revamped Distribution Sector Scheme (RDSS). Featuring a total scheme outlay of Rs. 3,03,758 crore with Gross Budgetary Support (GBS) of Rs. 97,631 crore from the Central Government, state electricity distribution companies (DISCOMs) are aggressively deploying funds to modernise power distribution infrastructure, reduce Aggregate Technical & Commercial (AT&C) losses, and execute High Voltage Distribution System (HVDS) and Aerial Bunched (AB) cable projects. AIPL’s established manufacturing capabilities in cables and conductors position it as a direct beneficiary of these large-scale tenders, ensuring strong medium-term business stability and solid market positioning within the power sector.

Credit Risks:

• Leveraged Capital Structure: :

  Despite financial strengthening in Provisional FY26, the company's leverage metrics remain elevated, with Total Debt to Tangible Net Worth at 2.77x in Provisional FY26 and Total Outside Liabilities to Tangible Net Worth at 3.12x  in Provisional FY26. TD/TNW reached a peak of 3.57x in FY25, and Total Outside Liabilities to Tangible Net Worth reached 3.68x in FY25 due to debt raised to finance plant expansion in Indore. Robust profit retention in Provisional FY26 expanded Tangible Net Worth (TNW) to Rs. 36.15 crore, aiding the reduction in leverage. Leverage risk is further mitigated by sustained unsecured loan support from promoters and related parties, providing a dependable liquidity cushion for debt servicing.

• Highly working-capital-intensive :

  Agrwal Infracab Private Limited operates a highly working-capital-intensive business, characterized by substantial funds tied up in raw material inventory (primarily copper and aluminum) and extended receivable cycles inherent in cable and conductor manufacturing. The Recievable cycle is 141 days in FY26 Provisional, due to business seasonality, as a major share of orders for Government DISCOMs and infrastructure clients are executed and billed in Q4. Payments are collected in subsequent months per standard billing cycles.  During the scale-up phase, however, the receivables outstanding for more than 6 months have subsequently increased due to the EPS contract timeline. 

  To support this prolonged operating cycle, the company relies heavily on short-term bank borrowings, resulting in high utilization of its fund-based working capital Cash Credit facilities. 

ANALYTICAL APPROACH - Standalone

BWR has considered the standalone Audited Financial results up to FY25, Auditor-certified provisional financials for FY26, and projections for FY27 and FY28 of Agrawal Infracab Private Limited, along with the information/clarification provided by the entity. BWR has applied its rating methodology as detailed in the Rating Criteria (hyperlinks provided at the end of this rationale). 

RATING SENSITIVITIES

Upward

• Significant improvement in the scale of operations with TOI of over Rs. 410 crores, leading to healthy cash accruals.
• The receivable cycle is sustaining below 110 days.

Downward

• EBITDA margin is dropping below 10% on a sustained basis.
• Significant decrease in debt protection metrics, with TOL/TNW increasing to 4x.

LIQUIDITY INDICATORS - Adequate

The company maintains an adequate liquidity profile. Supported by provisional FY26 gross cash accruals of Rs. 17.41 crore, the company maintains an adequate liquidity position. Cash balances stand at Rs. 0.28 crore on account of capex commitments in FY25. Debt coverage indicators reflected positive momentum in FY26 (provisional); ISCR rose from 2.26x in FY25 to 2.68x in FY26 (provisional), while DSCR moved up from 2.03x to 2.05x over the same period. Short-term solvency gained strength as well, with the current ratio expanding to 1.95x in FY26 (provisional) from 1.27x in FY25. The company continues to rely on bank facilities to cushion liquidity, evidenced by over 90% average cash credit utilization between August 2025 and July 2026, supplemented by an ad hoc limit availed for a specific duration. The overall non-fund-based utilisation is 75.94% till June 2026.

ABOUT THE ENTITY

Based in Indore, Madhya Pradesh, Agrawal Infracab Private Limited (AIPL) is a growing manufacturer and turnkey EPC contractor focused on power transmission and distribution infrastructure. The company manufactures LT XLPE/PVC, overhead, and aerial bunched cables across its Indore facilities, which feature annual production capacities of 60,000 km of conductors, 12,000 km of distribution cables, and 9,000 km of transmission cables. AIPL combines its product line with turnkey supply and erection services, concentrating its core business in Madhya Pradesh and Uttar Pradesh

ESG Profile

NA

KEY FINANCIAL INDICATORS (Standalone)

Key Parameters	Units	FY 23 - 24 (Audited)	FY 24 - 25 (Audited)	FY 25 - 26 (Provisional)
Operating Revenue	Rs.Crs.	118.12	131.87	213.36
EBITDA	Rs.Crs.	13.29	16.34	32.12
PAT	Rs.Crs.	7.68	7.16	15.61
Tangible Net Worth	Rs.Crs.	10.37	20.54	36.15
Total Debt / Tangible Net Worth	Times	1.43	3.57	2.77
Current Ratio	Times	1.38	1.27	1.92

KEY COVENANTS OF THE FACILITY RATED

As per the normal terms and conditions stipulated in the sanction letters.

STATUS OF NON-COOPERATION WITH PREVIOUS CRA

Not Applicable

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	86.88	BWR BBB-/Stable (Assignment)	NA	NA	NA	NA	NA	NA
FB SubLimit	LT	(10.00)	BWR BBB-/Stable (Assignment)	NA	NA	NA	NA	NA	NA
		(10.00)	BWR BBB-/Stable (Assignment)	NA	NA	NA	NA	NA	NA
Fund Based	ST	11.51	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
Non Fund Based	ST	25.41	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
NFB SubLimit	ST	(2.00)	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
		(2.00)	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
		(3.70)	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
		(10.00)	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
Grand Total		123.80	(Rupees One Hundred Twenty Three Crores and Eighty lakhs Only)

Hyperlink/Reference to applicable Criteria

• General Criteria
• Manufacturing Companies
• Approach to Financial Ratios
• Short Term Debt
• Power-Power Distribution
• Power-Transmission Power Projects

Analytical Contacts
Padia Shivani Ratings Analyst shivani.p@brickworkratings.com	Mukesh Kumar Verma Associate Director mukesh.verma@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	AU Small Finance Bank	Bank Guarantee - Sanctioned	_	6.61	6.61	Simple##
2	AU Small Finance Bank	Overdraft - Sanctioned	_	0.01	0.01	Simple##
3	Axis Bank Ltd.	Cash Credit - Sanctioned	16.30	_	16.30	Simple##
	Sub-Limit (Bank Gurantee ) - Sanctioned		(10.00)
4	Axis Bank Ltd.	Term Loan - Sanctioned	3.08	_	3.08	Simple##
5	Axis Bank Ltd.	Working Capital Term Loan - Sanctioned	2.31	_	2.31	Simple##
6	Bank of India	Working Capital Term Loan - Sanctioned	4.10	_	4.10	Simple##
7	Bank of India	Cash Credit - Sanctioned	22.50	_	22.50	Simple##
	Sub-Limit (Bank Guarantee) - Sanctioned		(2.00)
	Sub-Limit (Cash Credit limit against books debts) - Sanctioned	(10.00)
8	Bank of India	Term Loan - Sanctioned	1.45	_	1.45	Simple##
9	Canara Bank	Cash Credit - Sanctioned	11.20	_	11.20	Simple##
	Sub-Limit (Bank Guarantee)		(3.70)
	Sub-Limit (Overdraft Against Book Debts) - Sanctioned	(10.00)
10	Canara Bank	Working Capital Term Loan - Sanctioned	2.20	_	2.20	Simple##
11	Canara Bank	Bank Guarantee - Sanctioned	_	3.80	3.80	Simple##
12	Mizuho Capsave Finance Private Limited	Factoring Facility - Sanctioned	_	1.50	1.50	Simple##
13	National Small Industries Corporation	Working Capital Term Loan - Sanctioned	_	2.00	2.00	Simple##
	Sub-Limit (Bank Guarantee )		(2.00)
14	Oxyzo Financial Services Limited	Loans against Property - Sanctioned	0.09	_	0.09	Simple##
15	Oxyzo Financial Services Limited	Loans against Property - Sanctioned	10.42	_	10.42	Simple##
16	Oxyzo Financial Services Limited	Loans against Property - Sanctioned	5.07	_	5.07	Simple##
17	Oxyzo Financial Services Limited	Loans against Property - Sanctioned	6.16	_	6.16	Simple##
18	Oxyzo Financial Services Limited	Purchase Invoice Financing - Sanctioned	_	3.00	3.00	Simple##
19	Tata Capital Limited	Inventory Funding Facility - Sanctioned	_	5.00	5.00	Simple##
20	Union Bank of India	Bank Guarantee - Sanctioned	_	15.00	15.00	Simple##
21	Union Bank of India	Cash Credit - Sanctioned	2.00	_	2.00	Simple##
Total			86.88	36.92	123.80
TOTAL (Rupees One Hundred Twenty Three Crores and Eighty lakhs Only)

## BWR complexity levels are meant for educating investors. The BWR complexity levels are available at www.brickworkratings.com / download / ComplexityLevels.pdf.

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