Transworld Shipping Lines Limited has submitted its quarterly compliance certificate to stock exchanges and depositories, fulfilling regulatory requirements under SEBI (Depositories and Participants) Regulations, 2018.

Regulatory Compliance Filing

The company filed the mandatory certificate under Regulation 74(5) for the quarter ended March 31, 2026, addressed to multiple regulatory bodies and exchanges:

Certificate Details and Confirmation

The compliance certificate was issued by MUFG Intime India Private Limited, formerly known as Link Intime India Private Limited, serving as the company's Registrar and Share Transfer Agent. The certificate confirms several critical compliance aspects:

• Securities received from depository participants for dematerialization were properly confirmed to depositories
• All securities comprised in certificates have been listed on stock exchanges where earlier issued securities are listed
• Security certificates received for dematerialization were confirmed or rejected within prescribed timelines
• Physical certificates were mutilated and cancelled after due verification by depository participants
• Names of depositories were substituted in the register of members as registered owners

Corporate Structure and Authorization

The filing was authorized by Namrata Malushte, Company Secretary and Compliance Officer of Transworld Shipping Lines Limited, formerly known as Shreyas Shipping and Logistics Limited. The document was digitally signed on April 7, 2026.

Registrar Confirmation

MUFG Intime India Private Limited, with CIN U67190MH1999PTC118368, provided comprehensive confirmation of compliance with depository regulations. The certificate was signed by Ashok Shetty, Sr. Vice President-Corporate Registry, confirming adherence to all prescribed procedures for handling dematerialized securities during the quarter.

This quarterly filing represents standard regulatory compliance for listed companies, ensuring transparency and proper handling of investor securities through the depository system.

Transworld Shipping Lines Limited has informed stock exchanges that CRISIL Ratings Limited has revised the credit rating on its bank facilities, placing them on 'Rating Watch with Developing Implications' as per the rating rationale dated March 31, 2026.

Credit Rating Details

The rating action affects the company's total bank loan facilities worth Rs 476.00 crore across multiple lenders:

Key Factors Behind Rating Action

Vessel Sale Transaction

On March 20, 2026, Transworld Shipping Lines announced entering into a memorandum of agreement for the sale of container vessel SSL Krishna to Avana Logistek Ltd for $11.9 million (~Rs 110 crore). The company operates a fleet of 12 vessels, including 10 container feeder vessels and 2 dry handy-size bulk vessels. The sale is expected to be completed by the first quarter of fiscal 2027.

CRISIL Ratings will engage with the company's management to understand plans for utilization of sale proceeds, business strategy regarding other vessels, and the impact on business and financial risk profiles.

Middle East Conflict Impact

The rating action also factors in the impact of ongoing conflict in the Middle East. Transworld Shipping has deployed three vessels in the region:

• SSL Kaveri: Stuck at Jebel Ali Port in Dubai, UAE, with operations halted
• SSL Krishna: Being sold to Avana Logistek Ltd
• SSL Godavari: Also deployed in the affected region

CRISIL Ratings will continue monitoring the war's impact on the company's operating performance, including the status of SSL Kaveri.

Financial Performance

In the first nine months of fiscal 2026, the company reported consolidated revenue of Rs 413 crore (including two new subsidiaries) with EBITDA margin of 9.8%, significantly down from 24.1% in the corresponding period of fiscal 2025.

The revenue decline in the shipping segment was attributed to operational issues in four old vessels owned by the company, while operating margins were impacted by lower absorption of fixed costs and higher repair costs for vessel maintenance.

Recent Acquisitions

In the third quarter of fiscal 2026, Transworld Shipping acquired two promoter-owned companies:

• Transworld Logistics Pvt Ltd (TLPL)
• Transworld Integrated Logistek Pvt Ltd (TILPL)

The total consideration was Rs 27 crore for these shipping and freight forwarding businesses. These companies generated revenue of Rs 204.79 crore in fiscal 2025 and had negligible working capital debt of Rs 5-10 crore. The acquisition was funded through existing liquidity.

Rating Strengths and Weaknesses

Key Strengths

• Established market position with over three decades of experience in shipping
• Fleet of 12 vessels with total capacity of 22,066 TEU for container vessels
• Steady cash flow from long-term free carrier agreement with Avana
• Operational and financial synergies with the Transworld group

Key Concerns

• Modest financial risk profile with debt protection metrics remaining moderate
• Exposure to volatility in spot charter rates and intense competition
• Four ships nearing useful life requiring constant repairs
• Net cash accrual to adjusted debt ratio of 0.2 time in first nine months of fiscal 2026

The company maintains adequate liquidity with unencumbered cash and bank balance of around Rs 43 crore as of December 31, 2025, excluding DSRA and other lien marked fixed deposits totaling Rs 35 crore.