RATING RATIONALE
10Feb2026
Tankeshwari Metal Powder Products Pvt Ltd
Brickwork Ratings reaffirms the long term rating and assign the short term rating for the ratings for the Bank Loan Facilities of Rs. 35.50 Crs. of Tankeshwari Metal Powder Products Pvt Ltd
Particulars| Facilities** | Amount (Rs.Crs.) | Tenure | Rating# | ||
|---|---|---|---|---|---|
| Previous | Present | Previous (13 Nov 2024) |
Present | ||
| Fund Based | 29.00 | 35.50 | Long Term |
BWR BB+ /Stable
Reaffirmation |
BWR BB +
/Stable Reaffirmation |
| Non Fund Based | (5.00) | (5.00) | Short Term |
|
BWR A4 +
Assignment |
| (5.00) | (5.00) | ||||
| Grand Total | 29.00 | 35.50 | (Rupees Thirty Five Crores and Fifty lakhs Only) | ||
**Details of Bank Loan facilities,consolidation or instruments are provided in Annexure
Note: The non fund based Facilities was earlier rated as long term facilities and assigned BB+/Stable ratings however as per the revised/Sanction latter the same qualify for short term facilities and so the revised ratings have been proposed.
RATING ACTION / OUTLOOK
Brickwork Rating has reaffirmed the long-term ratings at BWR BB+/Stable and short term rating at BWR A4+ Assignment for the bank loan facilities of Rs 35.50 Crs.
Brickwork Ratings (BWR) has reaffirmed/Assignment the ratings of Tankeshwari Metal Powder Products Pvt Ltd. (the company), considering factors such as Extensive experience of the promoters and established market position, Healthy financial risk profile, and Diversified customer base and long relationships with customers. However, the ratings are constrained by Modest scale of operations amidst intense competition, Susceptible to raw material price movement, and Supplier concentration Risk.
The rating outlook has been retained as "Stable" as BWR believes that Tankeshwari Metal Powder Products 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, operating margin, The rating outlook may be revised to 'Negative' if the financial risk profile goes down.
For assigning the rating, BWR has relied upon the last 3 years of audited financials till FY25 and projected financials for FY26 & FY27, and publicly available information and clarification provided by management.
KEY RATING DRIVERSCredit Strengths:
-
Extensive experience of the promoters and established market position :
The company is a family-owned business. The key promoters, Mr. Shivratan Dhandharia and Mr. Rameshwar Roy, have more than two decades of experience in the industry; their strong understanding of market dynamics and healthy relationships with suppliers and customers should continue to support the business risk profile over the medium term.
-
Healthy financial risk profile :
Net worth stood improved at Rs 35.20 Crs as on March 31, 2025 (from Rs 31.70 Crs as on March 31, 2024), backed by better accretion to reserves. This, with no sizeable debt funded capital expenditure, should ensure gearing remains low at 0.89 times as of March 31, 2025. Further, moderate debt and stable operating profitability shall keep debt protection indicators comfortable too, with interest coverage and net cash accrual to debt ratios likely to be around 3.65 times and 0.15 times, respectively, during financials year 2025.
-
Diversified customer base and long relationships with customers :
The company benefits from long-standing relationships with its customers and a well-diversified customer base, which provides a competitive advantage. Customer concentration risk remains limited, as the top five customers accounted for 44.21% of total operating income in FY25.
-
Gradually improving scale of operations amidst intense competition :
The company is improving the scale of operations, as reflected by an operating income of Rs. 108.34 crore in FY2025. Further, the company reported total operating income of approximately Rs. 108 crore in 9M FY26, and while an improvement in scale is expected over the near to medium term, the presence of intense competition from several large organized as well as unorganized players continues to constrain growth in scale and prevents the company from benefiting from the economies of scale available to larger players. The modest scale of operations also limits the company’s bargaining power with suppliers and customers.
-
Supplier concentration Risk :
The company has long-standing relationships of nearly fifteen years with its suppliers, and procurement of the key raw material, aluminium ingots, is largely on an advance payment basis. However, the company is exposed to supplier concentration risk as the top five suppliers cover 91% of purchases in FY25., Additionally, a significant portion of procurement is concentrated in specific regions, namely Maharashtra, Karnataka, Haryana, and Chhattisgarh, which further heightens concentration risk.
-
Susceptible to raw material price movement :
The company’s cost structure and profitability are highly dependent on raw material prices, particularly aluminium ingots. Further, aluminium demand is closely linked to overall economic activity, making the business susceptible to cyclicality in demand and volatility in realizations. TMPPL incurs 85% to 90% of its operating expenses on raw materials, Any downward movement in its raw materials price will have a negative impact on profits.
For arriving at its ratings, Brickwork Ratings has adopted a standalone approach and applied its rating methodology as detailed in the Rating criteria.
RATING SENSITIVITIES
Going forward, the company’s ability to scale up its operations, improve profitability and profit margin, manage working capital efficiently, and strengthen its overall credit profile will remain key rating sensitivities.
Positive: The company's Improvement in the scale of operations and profitability on a sustained basis, with the operating margin (OPM) rising above 10% and net margin (NPM) above 4.50%.
Negative: Deterioration in the scale of operations and if profitability weakens, with operating margin (OPM) falling below 6.80% and net margin (NPM) dropping under 3.20%.
LIQUIDITY INDICATORS - Adequate
The company's liquidity position is adequate. The company is marked by adequate net cash accruals of Rs 4.62 Crs and 5.85 Crs to cover CPLTD of Rs 1.22 Crs and 1.02 Crs in FY25 and FY26 (Projected). The current ratio of the company was moderate at 1.74 times in FY25. The tangible net worth of the company stood at 35.20 Crores in FY25 as compared to Rs 31.70 Crores in FY24. The gearing ratio is moderately marked at 0.89 times in FY25 and is expected to remain moderate at 0.79 times in FY26 (projected). The cash and cash equivalents of the company stood at Rs. 0.13 Crs in FY25.
ABOUT THE ENTITY| Macro Economic Indicator | Sector | Industry | Basic Industry |
|---|---|---|---|
| Commodities | Metals & Mining | Non - Ferrous Metals | Aluminium |
Tankeshwari Metal Powder Products Pvt. Ltd.(TMPPL) was incorporated in the year 2007, with a registered office at Rabindra Sarani, Poddar Court, Kolkata, West Bengal. TMPPL has its manufacturing unit at Aheri, Durg, Chhattisgarh, over an area of around 7.5 acres registered in the name of the Company. TMPPL has started its commercial operations of manufacturing Aluminium Powder, Aluminium flakes and Aluminium Paste from 01 Nov 2008. The company runs under the directorship of Mr. Shivratan Dhandharia and Mr. Rameshwar Roy.
ESG ProfileNA
KEY FINANCIAL INDICATORS (Standalone)| Key Parameters | Units |
FY 23 - 24 (Audited) |
FY 24 - 25 (Audited) |
FY 25 - 26 (Unaudited - Others(9M FY26)) |
|---|---|---|---|---|
| Operating Revenue | Rs.Crs. | 94.23 | 108.38 | 108.00 |
| EBITDA | Rs.Crs. | 7.66 | 7.45 | Not Available |
| PAT | Rs.Crs. | 3.51 | 3.50 | Not Available |
| Tangible Net Worth | Rs.Crs. | 31.70 | 35.20 | Not Available |
| Total Debt / Tangible Net Worth | Times | 0.75 | 0.89 | Not Available |
| Current Ratio | Times | 2.22 | 1.74 | Not Available |
The terms of sanction include standard covenants normally stipulated for such facilities .
STATUS OF NON-COOPERATION WITH PREVIOUS CRA
| Creadit Rating Agency | Status and Reason for Non-Cooparation | Date of Press Release |
|---|---|---|
| CRISIL | Due to non-submission of the relevant information. | 08Jan2026 |
NA
RATING HISTORY FOR THE PREVIOUS 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 | 35.50 |
BWR BB+/Stable
(Reaffirmation) |
NA |
NA
|
13Nov2024 |
BWR BB+ Stable
(Reaffirmation) |
19May2023 |
BWR BB- Stable
(Continues to be in ISSUER NOT COOPERATING* category/Downgraded) |
| 0.00 |
NA
|
NA |
NA
|
NA |
NA
|
28Aug2023 |
BWR BB+ Stable
(Upgrade and Removed from the INC category) |
||
| Non Fund Based | LT | 0.00 |
NA
|
NA |
NA
|
13Nov2024 |
BWR BB+ Stable
(Reaffirmation) |
19May2023 |
BWR BB- Stable
(Continues to be in ISSUER NOT COOPERATING* category/Downgraded) |
| 0.00 |
NA
|
NA |
NA
|
NA |
NA
|
28Aug2023 |
BWR BB+ Stable
(Upgrade and Removed from the INC category) |
||
| NFB SubLimit | ST | (5.00) |
BWR A4+
(Assignment) |
NA |
NA
|
NA |
NA
|
NA |
NA
|
| (5.00) |
BWR A4+
(Assignment) |
NA |
NA
|
NA |
NA
|
NA |
NA
|
||
| Grand Total | 35.50 | (Rupees Thirty Five Crores and Fifty lakhs Only) | |||||||
| Analytical Contacts | |
|---|---|
|
Md Saif Ali Khan Rating Analyst saifali.k@brickworkratings.com |
Ravi Rashmi Dhar Director - Ratings ravi.d@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 | Axis Bank Ltd. | Cash CreditSanctioned | 35.50 | _ | 35.50 | Simple## |
| Sub-Limit (BG Inland ) Sanctioned | (5.00) | |||||
| Sub-Limit (LC/BG) Sanctioned | (5.00) | |||||
| Total | 35.50 | 0.00 | 35.50 | |||
| TOTAL (Rupees Thirty Five Crores and Fifty 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.
| Instrument | Issue Date | Amount (Rs.Crs) | Coupon Rate (%) | Maturity Date | ISIN Particulars | Complexity of the Instrument |
|---|---|---|---|---|---|---|
| Nil | Nil | Nil | Nil | Nil | Nil | Nil |
| Name of Entity | % Ownership | Extent of consolidation | Rationale for consolidation |
|---|---|---|---|
| Nil | Nil | Nil | Nil |
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