Cheerans Structurals

Brickwork Ratings reaffirms the long-term and short-term ratings with migration of ratings under the ISSUER NOT COOPERATING* category and simultaneously withdraws the ratings for the Bank Loan Facilities of Rs. 25.60 Crs. of Cheerans Structurals

Particulars

Facilities/Instruments**	Amount (Rs.Crs.)		Tenure	Rating#
	Previous	Present		Previous (17 Jan 2025)	Present
Fund Based	15.60	15.60	Long Term	BWR B+ /Stable Assignment	BWR B + /Stable ISSUER NOT COOPERATING*/Reaffirmed and withdrawn
	5.00	5.00	Short Term	BWR A4 Assignment	BWR A4 ISSUER NOT COOPERATING*/Reaffirmed and withdrawn
Non Fund Based	5.00	5.00	Short Term	BWR A4 Assignment	BWR A4 ISSUER NOT COOPERATING*/Reaffirmed and withdrawn
Grand Total	25.60	25.60	(Rupees Twenty Five Crores and Sixty lakhs Only)

#Please refer to BWR website www.brickworkratings.com for definition of the ratings and for Withdrawal Policy
*Issuer did not cooperate; based on best available information.
**Details of Bank Loan facilities,consolidation or instruments are provided in Annexure


RATING ACTION / WITHDRAWAL / NATURE OF NON-COOPERATION

Brickwork Ratings (BWR) reaffirms and simultaneously withdraws the ratings of "Cheerans Structurals" with migration of ratings under issuer not cooperating category based on their request for rating withdrawal and non-submission of any financial and operational information. The firm was last rated by the BWR on 17Jan2025 wherein BWR had assigned the long-term and short term ratings of "BWR B+/Stable and BWR A4".

The firm has now submitted the request letter for rating withdrawal along with No Objection Certificates (NOC) from the banker which is held on record. The banker confirms that they have No Objection in the withdrawal of Credit Rating for the Bank Loan Facilities. In accordance with extant regulatory guidelines and as per BWR Rating Withdrawal Policy, the rating of the said instrument is now as follows: Reaffirmation of long-term and short-term ratings at “BWR B+/Stable”  and "BWR A4" with migration of ratings under the ISSUER NOT COOPERATING* category and simultaneously withdraws the ratings.

LIMITATIONS OF THE RATING

Information availability risk is a key factor in the assessment of credit risk as generally, non-cooperation by the rated entities to provide required information for a review of the assigned rating may also be accompanied by financial stress. Users of the credit rating should therefore take into account possible deterioration in the credit quality of the rated entity arising from its non-transparency withholding of information required for a review of the rating.

KEY FINANCIAL INDICATORS (Standalone)

Key Parameters	Units	FY 21 - 22 (Audited)	FY 22 - 23 (Audited)	FY 23 - 24 (Provisional)
Operating Revenue		19.45	22.89	16.14
EBITDA		6.45	4.73	5.18
PAT		1.41	0.70	1.03
Tangible Net Worth		15.39	16.56	12.43
Total Debt / Tangible Net Worth		2.33	1.82	2.28
Current Ratio		1.34	1.31	1.07

COMPANY PROFILE

Cheerans Structurals (CS) was established as partnership firm in 1987 and was promoted by Mr. Shirilson C Mathew, Ms. Chithra Shirilson and Ms. Mithra Paul. The firm has its expertise in executing civil construction activities viz. building construction, dams, roads, bridges, piling works for State Government of Kerala, State Government of Tamil Nadu, Central Government, Public Work Departments (PWD) and for some private bodies. The work profile includes construction of hospitals, colleges, hostels, planetarium, shopping complex, hotels, architectural blocks and residential buildings. The entity is an ‘A’ category contractor of Kerala State PWD and Karnataka State PWD.

The firm primarily caters to the Kerala government, whereas the orders are acquired by the firm by participating in the bids opened by the Kerala government from time-to-time. The customers of the firm belonging to the Kerala government comprise various government bodies viz. Irrigation
Department, NH – PWD, PWD – Buildings, PWD – Roads, PWD – Irrigation, Kollam Development Authority, etc. 

(As per information received during CY2025 review.)

NON-COOPERATION WITH PREVIOUS CREDIT RATING AGENCY IF ANY

Not Applicable

ANY OTHER INFORMATION

Not Applicable.

RATING HISTORY FOR THE PREVIOUS THREE YEARS (including withdrawal and suspended)

Facilities / Instruments**	Current Rating  (2026)			2025		2024		2023
Type	Tenure	Amount (Rs.Crs.)	Rating	Date	Rating	Date	Rating	Date	Rating
Fund Based	LT	15.60	BWR B+/Stable (ISSUER NOT COOPERATING*/Reaffirmed and withdrawn)	17Jan2025	BWR B+ Stable (Assignment)	NA	NA	NA	NA
Fund Based	ST	5.00	BWR A4 (ISSUER NOT COOPERATING*/Reaffirmed and withdrawn)	17Jan2025	BWR A4 (Assignment)	NA	NA	NA	NA
Non Fund Based	ST	5.00	BWR A4 (ISSUER NOT COOPERATING*/Reaffirmed and withdrawn)	17Jan2025	BWR A4 (Assignment)	NA	NA	NA	NA
Grand Total		25.60	(Rupees Twenty Five Crores and Sixty lakhs Only)

Hyperlink/Reference to applicable Criteria

• General Criteria
• Short Term Debt
• Approach to Financial Ratios
• Policy On Issuer Non -Cooperation
• BWR Withdrawal Policy
• Engineering Procurement and Construction

Analytical Contacts
Harish R Ratings Analyst harish.r@brickworkratings.com	Nagaraj K Director - Ratings Board : +91 80 4040 9940 nagaraj.ks@brickworkratings.com
1-860-425-2742 | media@brickworkratings.com	Customer Support | CustSupport@brickwrokratings.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	Canara Bank	Bill Discounted (BD) - Sanctioned	_	5.00	5.00	Simple##
2	Canara Bank	Bank Guarantee - Sanctioned	_	5.00	5.00	Simple##
3	Canara Bank	OCC/ODBD - Sanctioned	15.60	_	15.60	Simple##
Total			15.60	10.00	25.60
TOTAL (Rupees Twenty Five Crores and Sixty 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.