Prism Johnson Limited — Credit Ratings, 28-05-2025: Credit Rating

India Ratings has affirmed Prism Johnson Limited’s long-term issuer rating at ‘IND A+’ with a Positive Outlook, anticipating improved operating profitability by FY26 following a weak FY25. Although EBITDA declined due to soft cement demand and competitive pressures, the company cut net debt to INR111 Cr through non-core asset sales, maintaining steady adjusted net leverage at 2.4x. Interest coverage dropped to 2.0x in FY25 but is expected to improve with EBITDA growth and cost savings. Adequate liquidity, supported by strong cash reserves and low fund use, underpins the rating. The positive outlook suggests potential for better credit metrics, which could reduce borrowing costs and boost investor confidence as key segments recover.