Tippers & Trailers India Pvt. Ltd.

Brickwork Ratings assigns the long-term and short-term ratings of "BWR BBB/Stable/BWR A3" for the Bank Loan Facilities of Rs. 100.00 Crs. of Tippers & Trailers India Pvt. Ltd.

Particulars

Facilities**	Amount(Rs.Crs.)	Tenure	Rating#
Fund Based	73.89	Long Term	BWR BBB /Stable Assignment
Non Fund Based	26.11	Short Term	BWR A3 Assignment
	(12.00)
Grand Total	100.00	(Rupees One Hundred Crores 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 and short-term ratings of “BWR BBB/Stable/BWR A3” for the bank loan facilities of Rs. 100.00 Cr.

The Rating has factored, inter alia, Extensive experience of promoters, Long-Standing Market Presence and Technical Expertise, Satisfactory Financial Risk Profile, Diversified product portfolio providing revenue visibility and strong order book position. The rating is constrained by Modest profit margins, albeit with anticipated further improvement, Susceptibility to inherent cyclicality in end-user industries, Intensive Competition and vulnerability of profit margins.

Going forward, the ability of the company to improve its scale of operations, liquidity profile, maintain efficient working capital management and satisfactory gearing levels will remain the key rating sensitivities. The rating outlook has been assigned as "Stable" as BWR believes that Tippers & Trailers India Pvt. Ltd., 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:

• Extensive experience of promoters :

  The company is managed by experience and qualified management team, who has decades of experience in steel product manufacturing business. Extensive experience, coupled with a professional management setup, enhances the competitive position of the company in the industry, which has also helped the company in building strong customer and supplier base, also achieving financial and operational success.

• Long-Standing Market Presence and Technical Expertise :

  The company benefits from an established track record in the industry, underpinned by deep technical expertise. With a substantial workforce of over 600 members and an in-house testing lab at its manufacturing unit, the company ensures high quality standards and adherence to customer specifications, which builds significant institutional trust.

• Diversified product portfolio providing revenue visibility and strong order book position :

  TNT operates with a highly diversified product mix that spans Infrastructure sector (PEB structures, metal sheets, color-coated sheets, decks, and beams) and Industrial Equipment (Manufacturing of EOT cranes), providing stable revenue visibility and effectively mitigates customer concentration risk. The company maintains a healthy order book position, currently exceeding 50% of the projected revenue for FY2027. Market demand for its PEB products is expected to grow further due to their environmentally friendly nature and significantly faster execution timelines compared to traditional civil construction.

• Satisfactory Financial Risk Profile :

  The company operating income has increased to Rs. 340.70 Cr. in FY2024 to Rs. 388.03 Cr. in FY2025, remained flat at Rs. 377.92 Cr. in FY2026 (Estimated). OPBDIT has also increased from Rs. 17.51 Cr. in FY2024 to Rs. 18.99 Cr. in FY2025 and further to Rs. 30.94 Cr. in FY2026 (Estimated). PAT of all the past 3 years has increased given the improvement in the top line. The company has marked comfortable level of debt protection metrics with an ISCR of 1.82x and DSCR of 1.75x in FY2025 which has further improved to an ISCR of 3.51x and DSCR of 2.58x in FY2026 (Estimated). Tangible netwroth has also increased from Rs. 36.96 Cr. in FY2025 to Rs. 50.14 Cr. in FY2026 (Estimated), leading to improvement in Total debt/TNW from 1.91x in FY2025 to 1.22x in FY2026 (Estimated). Considering all the above improvements and factors the financial risk profile of the company is defined to be satisfactory.

Credit Risks:

• Modest profit margins, albeit with anticipated further improvement :

  The company reported thin profit margins in FY2025, with an operating margin of 4.89% and a net margin of 1.47%. These figures improved to 8.19% and 3.49%, respectively, in FY2026 (Estimated). Furthermore, the company is expected to maintain an operating margin above 8.00%, which is viewed as a credit positive and remains a key monitorable factor over the medium term.

• Intensive Competition and vulnerability of profit margins :

  The PEB business operates in a highly competitive landscape with the presence of large-scale organized players and numerous unorganized local fabricators. This environment constrains the pricing power of mid-sized entities.

  Steel prices remain highly sensitive to global geopolitical tensions, fluctuations significantly impact profit margins. However, the company leverages its competitive market position, established trust, and long-term customer relationships to secure orders and maintain bargaining power. This is further supported by timely project execution and adequate inventory management. To protect healthy margins, the company maintains a practice of securing customer advances and procuring the majority of required raw materials immediately.

• Susceptibility to inherent cyclicality in end-user industries :

  The company’s performance is linked to the investment cycles of the construction and industrial sectors. As PEB and EOT Cranes are capital-intensive investments for clients, demand is highly sensitive to broader economic shifts and interest rate environments. Furthermore, operations and project execution timelines remain vulnerable to climatic risks, such as extended monsoons, which can disrupt on-site installation and impact the pace of revenue recognition.

ANALYTICAL APPROACH - Standalone

For arriving at these ratings, BWR has considered the standalone performance of Tippers & Trailers India Pvt. Ltd. BWR has applied its rating methodology as detailed in the Rating Criteria (hyperlinks provided at the end of this rationale).

RATING SENSITIVITIES

The company’s ability to improve its scale of operations, maintaining stable profit margins, improving liquidity profile, and maintain satisfactory gearing levels will remain the key rating sensitivities.

Upward:

• Revenue from operations increasing by 8% to 10% from FY2026 (Estimated), while maintaining operating profit margin of 8.00% and above with adequate liquidity profile.
• Tangible Networth (TNW) in excess of Rs. 70.00 Cr. and TOL/TNW below 3.00x.

Downward:

• Revenue from operations and profitability going below 10% as reported in the actuals of previous years financials.
• Deterioration in the liquidity profile, with current ratio going below 1.20x, ISCR below 1.80x and DSCR below 1.40x.

LIQUIDITY INDICATORS - Adequate

The company has adequately covered its interest and CPLTD obligations through sufficient EBITDA and Net Cash Accruals in recent years. It has maintained comfortable debt protection metrics, with an ISCR of 1.82x and a DSCR of 1.75x in FY2025, reflecting improvement from an ISCR of 1.70x and a DSCR of 1.13x in FY2024. The current ratio was moderate at 1.03x in FY2025 due to a high outstanding balance of trade payables. However, this was reduced by 50% by the end of FY2026, leading to improved liquidity. The company reported an EBITDA of Rs. 30.94 Cr. and Net cash accruals of Rs. 17.13 Cr. in FY2026 (Management Certified estimated financials) which was sufficient enough to cover the interest expenses of Rs. 8.81 Cr. and CPLTD obligation of Rs. 5.98 Cr. Going further in FY2027, the company projects an EBITDA of Rs. 24.86 Cr. and Net cash accruals of Rs. 14.50 Cr., which are expected to comfortably cover interest costs of Rs. 6.93 Cr. and CPLTD obligations of Rs. 6.50 Cr. Working capital limit utilization remained above 90% over the past few months. As TTIPL does not have any capital market exposure and relies on banks/financial institutions to meet its funding requirements, BWR draws comfort from the financial support provided by the promoters. The recovery of inter-corporate loans from subsidiaries, coupled with the absence of any major CAPEX plans ensures adequate internal accruals for working capital. Considering all these factors, the company's liquidity position is assessed as "Adequate".

ABOUT THE ENTITY

Tippers & Trailers India Pvt. Ltd. (TTIPL) was incorporated on 16-Oct-2003, headquartered in Bengaluru. The company is engaged in manufacturing components for pre-engineered building (PEB) projects such as metal sheets, colour-coated sheets, Decks, beams, PEB structures, and other accessories. Primarily catering to the builders and other players in the construction industry. It also manufactures Electric Overhead Travelling (EOT) cranes and trades color-coated sheets. TTIPL is part of TNT India group and is managed by Mr. Ravi Hissaria and Mrs. Indu Hissaria. The company operates a manufacturing unit in Bengaluru and Kolkata that includes a testing lab to ensure quality standards and specifications meet customer requirements.

ESG Profile

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

Environmental: TNT India contributes to environmental sustainability by prioritizing Pre-Engineered Buildings (PEB) and structural steel solutions that generate significantly less on-site waste compared to traditional reinforced concrete construction. The company’s manufacturing processes focus on high-precision fabrication and the use of recyclable steel, which supports the global shift toward a circular economy and reduces the carbon footprint of industrial infrastructure. Its specialized roofing and color-coated sheets are designed to provide superior thermal insulation, effectively lowering the energy requirements for temperature control within warehouses and factory setups. By maintaining a sophisticated testing lab, the company ensures that all materials meet rigorous durability standards, thereby extending the lifecycle of products and reducing the environmental impact of frequent replacements.

Social: The company maintains a strong social commitment by providing stable employment to a workforce of over 600 members and investing in the technical skill development of its engineering staff. The focus on high-quality material handling equipment and EOT cranes ensures that industrial work environments are safer for operators, minimizing the risk of accidents during heavy-duty logistics operations. The management fosters long-term relationships with a diverse client base, reflecting a commitment to ethical service delivery and the socio-economic health of its broader supply chain partners.

Governance: It is supported by readily available disclosures on the board structure, audit mechanisms, and risk-management practices, overseen by a management team with decades of industry experience. While the company’s recent audit report includes a qualified opinion from the auditor, it notably contains no adverse remarks, affirming a foundation of transparent and reliable financial reporting. By prioritizing financial discipline and regular monitoring of internal controls, the company demonstrates a stable governance profile dedicated to achieving long-term operational and ethical success.

KEY FINANCIAL INDICATORS (Standalone)

Key Parameters	Units	FY 23 - 24 (Audited)	FY 24 - 25 (Audited)	FY 25 - 26 (Provisional - Others(9 Months))
Operating Revenue	Rs.Crs.	340.70	388.03	285.55
EBITDA	Rs.Crs.	17.51	18.99	24.81
PAT	Rs.Crs.	4.87	5.70	15.28
Tangible Net Worth	Rs.Crs.	30.99	36.96	53.02
Total Debt / Tangible Net Worth	Times	2.84	1.91	1.30
Current Ratio	Times	1.07	1.03	1.68

KEY COVENANTS OF THE FACILITY RATED

The terms of sanction of the rated facilities include standard covenants normally stipulated for such facilities. Some of these are listed below:

• Permitted deviation in TOL/TNW norms which is 5.71:1 as against acceptable benchmark norms of 4:1.
• Permitted Bank Guarantee for other purpose (EMD/APG/DPG/Performance/Financial/Bid Bond) as against permitted purpose of advance payment guarantee only.

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)			2025		2024		2023
Type	Tenure	Amount (Rs.Crs.)	Rating	Date	Rating	Date	Rating	Date	Rating
Fund Based	LT	73.89	BWR BBB/Stable (Assignment)	NA	NA	NA	NA	NA	NA
Non Fund Based	ST	26.11	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
NFB SubLimit	ST	(12.00)	BWR A3 (Assignment)	NA	NA	NA	NA	NA	NA
Grand Total		100.00	(Rupees One Hundred Crores Only)

Hyperlink/Reference to applicable Criteria

• General Criteria
• Approach to Financial Ratios
• Engineering Procurement and Construction (EPC) Companies
• Short Term Debt
• Manufacturing Company

Analytical Contacts
Mohammed Farzan Rating Analyst mohammed.f@brickworkratings.com	Suryanarayan N Associate Director - Ratings 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	Canara Bank	Term Loan - Out-standing	4.72	_	4.72	Simple##
2	Canara Bank	Bank Guarantee - Sanctioned	_	12.00	12.00	Simple##
	Sub-Limit (ILC/FLC) - Sanctioned		(12.00)
3	Canara Bank	GECL - Out-standing	8.75	_	8.75	Simple##
4	Canara Bank	Working Capital (CC) - Proposed	9.42	_	9.42	Simple##
5	Canara Bank	BG/LC/ILC - Proposed	_	14.11	14.11	Simple##
6	Canara Bank	OCC/ODBD - Sanctioned	51.00	_	51.00	Simple##
Total			73.89	26.11	100.00
TOTAL (Rupees One Hundred Crores 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.