Jay Ushin Limited has received reaffirmation of its credit ratings from CRISIL Ratings, maintaining its position in the automotive components sector despite facing profitability challenges. The company informed BSE through a regulatory filing dated January 21, 2026, about the rating reaffirmation by CRISIL Ratings.

Credit Rating Details

CRISIL Ratings reaffirmed Jay Ushin Limited's credit ratings for bank loan facilities worth ₹125.00 crores. The rating action maintains the company's financial standing in the market.

Financial Performance and Business Strengths

The automotive components manufacturer demonstrated strong revenue growth, with operating income increasing to ₹855.20 crores in FY25 from ₹726.25 crores in FY24. The company has established a strong market position through over three decades of promoter experience and healthy customer relationships.

Jay Ushin serves as a Tier-1 supplier to major 4-wheeler and 2-wheeler original equipment manufacturers, with 70-75% sales from 4-wheeler segment and 20-25% from 2-wheeler segment. The company maintains 99% domestic sales and 1% exports to Suzuki Japan.

Key Rating Drivers and Challenges

CRISIL Ratings highlighted the company's established market position and reputed clientele as key strengths. Nearly half the revenue comes from the top 3 customers, who are leading OEMs in India. The company's association with JPM Group and dominance in the Indian market provides revenue visibility.

However, the ratings also reflect certain weaknesses:

• Low Profitability: Operating margins remained at 3-4% through fiscal 2024 • Moderate Financial Risk: Overall gearing at 1.13 times and TOLANW ratio at 2.39 times as of March 31, 2025 • Interest Coverage: Interest coverage ratio at 2.25 times for fiscal 2025

Liquidity and Financial Metrics

The company maintains adequate liquidity with moderate bank limit utilization at around 67% for the twelve months ended November 2025. Cash accruals are expected to be ₹30-35 crores, sufficient against term debt obligations of ₹9-18 crores over the medium term.

Company Background and Operations

Incorporated in 1986, Jay Ushin Limited operates as a joint venture between the JPM group and U-Shin Ltd, Japan. The company manufactures automotive components including lock and key sets, combination switches, heater control panels, and door latches. It operates manufacturing units across Gujarat, Chennai, Bengaluru, Manesar, Jharsa in Haryana, and Bhiwadi in Rajasthan, with headquarters in Gurugram.

India's Free Trade Agreement with New Zealand has received strong endorsement from New Zealand Prime Minister Christopher Luxon, who emphasized the deal's potential to boost exports and create opportunities for farmers and businesses. The agreement, which also provides formal recognition to India's traditional medicine system AYUSH, represents a significant milestone in bilateral trade relations.

Prime Minister's Endorsement

New Zealand Prime Minister Christopher Luxon highlighted the transformative potential of the recently finalized FTA with India. Speaking about the agreement, Luxon stated that it "will open doors for New Zealand farmers, growers, and businesses – boosting exports, creating jobs, and lifting incomes to help all Kiwis get ahead."

Describing the FTA as a "landmark deal" with the world's fastest-growing big economy, Luxon emphasized that his government has worked extremely hard to prioritize the relationship with India since day one.

AYUSH Recognition and Export Growth

The India-New Zealand FTA features dedicated provisions for traditional medicine systems, providing formal recognition to India's AYUSH sector. This recognition comes alongside robust export performance in the traditional medicine sector.

The agreement includes dedicated annexures on health-related services and traditional medicine, creating structured pathways for enhanced market access and streamlined regulatory frameworks.

Strategic Trade Context

This FTA represents India's third major trade agreement in recent months, following similar pacts with the UK and Oman. The timing is particularly significant as it provides Indian exporters with opportunities to diversify shipments in the Oceania region, especially relevant given recent global trade challenges.

Luxon described India as a "trusted partner," noting that the trade deal will deliver deep and lasting benefits for New Zealand. The agreement aims to enhance market access and promote investment flows between the two nations, positioning both countries for sustained economic growth through strengthened bilateral cooperation.