RATING RATIONALE
25Feb2021

Pattabi Enterprises

Brickwork Ratings reaffirms/revises the ratings for the Bank Loan Facilities of Rs.48.09 Crs. of Pattabi Enterprises

Particulars
Facilities** Amount (Rs.Crs.) Tenure Rating#
Previous Present Previous(15 Dec 2020) Present
Fund Based
Cash Credit Out-standing 10.00 10.00 Long Term BWR BB /Stable Downgrade BWR BB /Credit Watch with Developing Implications Reaffirmation
Standby Line of Credit Out-standing 00.00 01.50
Covid -19 Emergency Line Credit Sanctioned 00.00 01.00
Term Loan Out-standing 24.92 24.18
Loans against Property Out-standing 09.82 09.99
Funded Interest Term Loan Out-standing 00.00 01.22
Sub Total 44.74 47.89
Non-Fund Based
Bank Guarantee Sanctioned 00.20 00.20 Short Term BWR A4 Downgrade BWR A4
/Credit Watch with Developing Implications Reaffirmation
Sub Total 0.20 0.20
Grand Total 44.94 48.09 (Rupees Forty Eight Crores and Nine 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


KEY RATING DRIVERS

Credit Strengths:


Credit Risks:

RATING SENSITIVITIES

Going forward, the ability of the firm to increase its scale of operations, improve profitability, efficiently manage its working capital and strengthen its overall credit profile would be the key rating sensitivities.

Positive: The outlook may be revised to Positive if the company records significantly better-than-expected growth in revenues along with improvement in profitability levels and efficient working capital management, resulting in better debt coverage metrics and liquidity profile.

Negative: The outlook may be revised to Negative if the company reports significantly lower than expected performance, resulting in lower than estimated coverage indicators and a weaker liquidity position.

LIQUIDITY INDICATORS - Stretched

The firm is facing a stretched liquidity situation. The CC facilities has been over utilized in post-covid scenario. Moderate cash balance in hand, moderate cash accruals and high cash conversion cycle adds upto its stretched liquidity psoition. However, the company has been successful in maintaining the cuurent ratio at around 1.62x evels.

ABOUT THE ENTITY

KEY FINANCIAL INDICATORS (Standalone)
Key Parameters Units FY 19-20
(Audited)
FY 18-19
(Audited)
Operating Revenue Rs.Crs. 32.00 41.57
EBITDA Rs.Crs. 8.75 9.00
PAT Rs.Crs. 1.08 1.83
Tangible Net Worth Rs.Crs. 31.83 28.93
Total Debt/Tangible Net Worth Times 1.51 1.63
Current Ratio Times 1.07 1.12

RATING HISTORY FOR THE PREVIOUS THREE YEARS (including withdrawal and suspended)
Facilities Current Rating  (2021) Rating History (2020)
Type Tenure Amount Rating 15Dec2020
Fund Based
Cash Credit - Out-standing
Standby Line of Credit - Out-standing
Covid -19 Emergency Line Credit - Sanctioned
Term Loan - Out-standing
Loans against Property - Out-standing
Funded Interest Term Loan - Out-standing
Long Term 10.00
01.50
01.00
24.18
09.99
01.22
BWR BB/Credit Watch with Developing Implications BWR BB/Stable
Non-Fund Based
Bank Guarantee - Sanctioned Short Term 00.20 BWR A4 /Credit Watch with Developing Implications BWR A4
Grand Total 48.09 (Rupees Forty Eight Crores and Nine lakhs Only)

Facilities Current Rating  (2021) Rating History (2019)
Type Tenure Amount Rating 27Nov2019
Fund Based
Cash Credit - Out-standing
Standby Line of Credit - Out-standing
Covid -19 Emergency Line Credit - Sanctioned
Term Loan - Out-standing
Loans against Property - Out-standing
Funded Interest Term Loan - Out-standing
Long Term 10.00
01.50
01.00
24.18
09.99
01.22
BWR BB/Credit Watch with Developing Implications BWR BB +/Stable
Non-Fund Based
Bank Guarantee - Sanctioned Short Term 00.20 BWR A4 /Credit Watch with Developing Implications BWR A4 +
Grand Total 48.09 (Rupees Forty Eight Crores and Nine lakhs Only)

Facilities Current Rating  (2021) Rating History (2018)
Type Tenure Amount Rating 31Mar2018
Fund Based
Cash Credit - Out-standing
Standby Line of Credit - Out-standing
Covid -19 Emergency Line Credit - Sanctioned
Term Loan - Out-standing
Loans against Property - Out-standing
Funded Interest Term Loan - Out-standing
Long Term 10.00
01.50
01.00
24.18
09.99
01.22
BWR BB/Credit Watch with Developing Implications BWR BB +/Stable
Non-Fund Based
Bank Guarantee - Sanctioned Short Term 00.20 BWR A4 /Credit Watch with Developing Implications BWR A4 +
Grand Total 48.09 (Rupees Forty Eight Crores and Nine lakhs Only)
COMPLEXITY LEVELS OF THE INSTRUMENTS - NA

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.

Hyperlink/Reference to applicable Criteria
Analytical Contacts

Parth Modi

Rating Analyst parth.m@brickworkratings.com

Nagaraj K

Associate Director - Ratings Board : +91 80 4040 9940 nagaraj.ks@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com
Pattabi Enterprises
ANNEXURE-I
Details of Bank Facilities rated by BWR
SL.No. Type Of Facilities Long Term(Rs.Crs.) Short Term(Rs.Crs.) Total(Rs.Crs.)
1 Term LoanOut-standing 4.44 _ 4.44
2 Loans against PropertyOut-standing 9.99 _ 9.99
3 Term LoanOut-standing 17.30 _ 17.30
4 Funded Interest Term LoanOut-standing 0.70 _ 0.70
5 Cash CreditOut-standing 10.00 _ 10.00
6 Standby Line of CreditOut-standing 1.50 _ 1.50
7 Covid -19 Emergency Line CreditSanctioned 1.00 _ 1.00
8 Bank GuaranteeSanctioned _ 0.20 0.20
9 Term LoanOut-standing 1.45 _ 1.45
10 Funded Interest Term LoanOut-standing 0.52 _ 0.52
11 Term LoanOut-standing 0.99 _ 0.99
Total 47.89 0.20 48.09
TOTAL (Rupees Forty Eight Crores and Nine lakhs Only)
ANNEXURE-II
INSTRUMENT DETAILS

InstrumentIssue DateAmount (Rs.Crs)Coupon Rate (%)Maturity DateISIN Particulars
NANANANANANA

ANNEXURE-III
List of entities consolidated

Name of Entity% OwnershipExtent of consolidationRationale for consolidation
NANANANA

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