Themis Medicare Limited — Credit Ratings, 13-08-2025: Credit Rating- Revision

Themis Medicare's credit ratings for its bank facilities have been reaffirmed, with long-term facilities at CARE BBB- and short-term at CARE A3. However, the outlook for long-term facilities has shifted from 'Stable' to 'Negative'. This revision reflects expected continued pressure on profit margins in FY26, particularly after the company reported a net loss of ₹14.25 Cr in Q1FY26. The Q1 loss was driven by significant sales reduction in a high-margin product due to competition and an inventory loss on another API. While debt structure remains comfortable, sustained profitability is key. This negative outlook signals potential for future rating changes if financial health doesn't recover, potentially impacting borrowing costs or strategic flexibility.