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CARE reaffirms rating of PBM Polytex’s bank facilities

30 Dec 2016 Evaluate

Credit rating agency, CARE has reaffirmed ‘A- (Stable)’ rating to PBM Polytex’s long-term bank facilities worth Rs 43.29 crore. The rating agency has also reaffirmed ‘A2+’ rating to the company’s short-term bank facilities worth Rs 10.94 crore. The ratings continue to derive strength from the long-standing track record of operations of PBM Polytex (PBM) and vast experience of its promoters in the cyclical cotton yarn industry along with its established marketing network and clientele.

The ratings also factor its comfortable leverage and debt coverage indicators along with continuing comfortable liquidity on the back of efficient working capital management during FY16. The ratings, however, continue to remain constrained by the susceptibility of PBM's profit margins to volatile cotton and cotton yarn prices, its moderate scale of operations, presence in the highly competitive cotton yarn segment and regulatory risk associated with the industry.

PBM Polytex Share Price

54.51 0.35 (0.65%)
15-Jun-2026 16:59 View Price Chart
Peers
Company Name CMP
Trident 24.62
Filatex India 53.18
Nitin Spinners 547.85
Nahar Spinning Mills 254.85
Sanathan Textiles 407.40
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