Zodiac Energy Limited — Credit Ratings, 07-08-2025: Credit Rating- Revision

Zodiac Energy's credit ratings for its bank facilities have been upgraded by CARE Ratings, maintaining a Stable outlook. This upgrade is driven by the company's improved operational scale, consistent profitability, and significant increase in cash generation. A key factor is the successful commissioning of 26.56 MW solar projects under the PM-KUSUM scheme, backed by a 25-year power purchase agreement with a strong entity, Uttar Gujarat Vij Company Limited. ZEL reported robust revenue growth to ₹407.78 Cr in FY25 and holds a healthy order book of ₹394 Cr. This positive rating action can lead to better access to capital, potentially lower borrowing costs, and enhanced investor confidence.