Crisil Ratings reaffirms ratings of Ramco Industries at 'A1+'

Ramco Industries (RIL) said that Crisil Ratings has reaffirmed its 'Crisil A1+' rating on the commercial paper programme of the company.

Crisil Ratings stated that the rating reaffirmation reflects established position of the company in the domestic asbestos cement (AC) sheet (ACS) roofing market, its strong presence in the Sri Lankan market and a healthy revenue diversity through presence in textiles, calcium silicate board and wind power.

The rating also considers the companys healthy operating efficiency and strong financial risk profile, driven by steady cash accrual, prudent working capital management and moderate expansion plans.

The rating also reflects the significant value of investments held by RIL in the listed Ramco group companies, including RCL, supporting RILs financial flexibility.

These strengths are partially offset by high dependence of the AC roofing business on rural spending, availability and pricing of key raw material (asbestos fibre), exposure to intense competition from peers as well as from substitute steel products.

The company is also exposed to regulatory risks on the manufacture and use of asbestos as well as change in policies of key asbestos-producing nations, given that India imports its entire asbestos requirement.

Ramco Industries manufactures AC roofing sheets in India and Sri Lanka. The company also manufactures calcium silicate board in the building products division and sells cotton yarn of 4-300s counts.

The company's consolidated net profit surged to Rs 40.93 crore in the quarter ended September 2025 as against Rs 16.88 crore during the previous quarter ended September 2024. Sales rose 3.49% to Rs 365.48 crore in Q2 FY26 as compared with Q2 FY25.

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