Dreamfolks Services Limited — Credit Ratings, 10-07-2025: Credit Rating

CRISIL has reaffirmed Dreamfolks Services Limited’s credit ratings at BBB+ (Long Term) and A2 (Short Term) on bank facilities totaling ₹145 crore but placed them on watch with negative implications. This follows the closure of certain client programs, which introduces near-term uncertainty. Despite this, the company’s strong financial risk profile and liquidity remain intact, supported by low debt, a sizeable net worth, and free cash/liquid funds of around ₹120 crore as of March 2025. The rating watch signals cautious monitoring, potentially affecting borrowing costs and investor sentiment until clarity improves. The company currently relies on cash reserves and is exploring new client engagement models to mitigate short-to-medium-term impacts.