Machino Plastics Limited has faced significant credit rating downgrades from two major rating agencies within a day, with both CRISIL Ratings Limited and ICRA Limited revising the company's ratings due to non-cooperation. The company informed BSE about these developments on March 11, 2026, and March 12, 2026, pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

CRISIL Rating Downgrade

CRISIL revised Machino Plastics' long-term fund-based facilities rating to 'Crisil B/Stable (Issuer Not Cooperating)' from the previous 'Crisil BB+/Stable' rating on March 10, 2026. The rating action affects the company's total bank loan facilities worth Rs 172.30 crore.

ICRA Rating Downgrade

ICRA Limited also downgraded the company's ratings on March 11, 2026, moving them to the 'Issuer Not Cooperating' category. The ratings were revised to '[ICRA]BB+ (Stable) ISSUER NOT COOPERATING' from the previous '[ICRA]BB- (Stable)' rating.

Reasons for Non-Cooperation Classification

Both rating agencies classified Machino Plastics as a non-cooperative issuer due to the company's failure to provide essential financial information. CRISIL's decision was based on the company's failure to provide No Default Statements (NDS) for three consecutive months, despite multiple follow-ups through letters dated December 31, 2025, January 30, 2026, and February 27, 2026.

ICRA similarly cited insufficient information regarding the company's performance and uncertainty around its credit risk. Despite repeated requests, the entity's management remained non-cooperative with both rating agencies.

Latest Financial Performance

Based on the most recent available financial information from ICRA's assessment, Machino Plastics showed mixed performance indicators.

Company Background and Operations

Machino Plastics Limited was incorporated in 1986 and is engaged in manufacturing plastic-based injection moulding automotive parts, primarily bumpers and dashboards for leading OEMs and tier-1 suppliers in India. The company was established as a joint venture with MSIL and Suzuki Motor Corporation, Japan, with each holding 15.35% shareholding.

The company operates manufacturing units in Gurugram and Manesar in Haryana, and is setting up a third manufacturing unit at IMT Kharkhoda, Haryana, expected to become operational in FY2026. Machino Plastics has been listed on the Bombay Stock Exchange since 1995.

Rating Implications and Market Impact

Both CRISIL and ICRA have cautioned that investors, lenders, and market participants should exercise due diligence regarding ratings with the 'ISSUER NOT COOPERATING' suffix. These ratings are based on limited or dated information without management interaction, and the non-cooperation may indicate deterioration in the credit risk profile.

The dual downgrades affect a combined facility amount of Rs 365.30 crore across various banking facilities from multiple lenders including YES Bank Limited, Axis Bank Limited, Kotak Mahindra Bank Limited, HDFC Bank Limited, and Tata Capital Financial Services Limited.

Machino plastics Limited has announced its unaudited financial results for the quarter ended December 31, 2025, revealing a challenging quarter despite strong revenue performance. The company reported a net loss of ₹147.41 lakhs in Q3FY26, marking a significant reversal from the profit of ₹153.92 lakhs recorded in the corresponding quarter of the previous fiscal year.

Financial Performance Overview

The company's financial performance for Q3FY26 presented a mixed picture, with robust revenue growth offset by operational challenges:

Revenue Composition and Growth

The company's revenue growth was driven primarily by its core business segments. Sale of products increased substantially to ₹12,545.59 lakhs from ₹9,341.86 lakhs in Q3FY25, representing a growth of 34.29%. Other operating revenues contributed ₹35.48 lakhs compared to ₹26.66 lakhs in the previous year.

Expense Analysis

Despite the revenue growth, the company faced significant cost pressures across multiple expense categories. Cost of material consumed rose sharply to ₹7,480.13 lakhs from ₹5,115.89 lakhs, representing a 46.24% increase. Employee benefit expenses increased to ₹2,079.95 lakhs from ₹1,262.76 lakhs, while finance costs rose to ₹515.97 lakhs from ₹313.57 lakhs in Q3FY25.

Nine-Month Performance

For the nine months ended December 31, 2025, Machino Plastics maintained overall profitability despite the challenging third quarter:

Segment Performance

The company operates through two primary business segments. Plastic Injection Moulding Parts generated revenue of ₹9,670.35 lakhs in Q3FY26 compared to ₹8,646.57 lakhs in Q3FY25. The Moulds & Dies segment showed exceptional growth, with revenue increasing to ₹2,910.72 lakhs from ₹721.95 lakhs in the corresponding previous quarter.

Earnings Per Share Impact

The quarterly loss translated to a basic earnings per share of ₹(2.40) for Q3FY26, compared to positive earnings of ₹2.51 per share in Q3FY25. For the nine-month period, basic EPS stood at ₹1.75 versus ₹8.23 in the previous year, reflecting the significant decline in profitability despite revenue growth.