Skipper Limited has received a CARE A1 credit rating from CARE Ratings Limited for its short term bank facilities worth ₹100.00 crores. The company made this disclosure on January 12, 2026, pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Credit Rating Details

The rating assignment covers the company's short term bank facilities with the following specifications:

The CARE A1 rating represents a strong degree of safety regarding timely payment of financial obligations and carries very low credit risk. This rating reflects the credit rating agency's assessment of Skipper Limited's financial strength and ability to meet its short-term debt obligations.

Regulatory Compliance

The credit rating disclosure was communicated to both the National Stock Exchange of India Limited (NSE) and BSE Limited as part of the company's regulatory obligations. Skipper Limited trades on NSE under the symbol SKIPPER and on BSE with scrip code 538562.

Company Secretary & Compliance Officer Anu Singh signed the disclosure document digitally, ensuring proper documentation and compliance with regulatory requirements. The rating assignment provides stakeholders with an independent assessment of the company's creditworthiness for its short term banking arrangements.

Market Implications

The CARE A1 rating assignment indicates that CARE Ratings Limited views Skipper Limited as having adequate capacity to meet its short term financial commitments. This credit rating serves as an important reference point for lenders, investors, and other stakeholders in evaluating the company's financial profile and credit risk associated with its short term bank facilities.

Skipper Ltd , India's largest transmission line tower manufacturer, has received a Buy rating with a target price of ₹490, representing significant upside potential from the current market price of ₹410.50. The recommendation is based on the company's strong market position and ambitious expansion plans in the transmission and distribution sector.

Market Position and Current Performance

The company operates with an installed capacity of 3,75,000 mtpa as of Q2-FY26 end, establishing its leadership position in the transmission line tower manufacturing segment. Over the past two years, Skipper has benefited from a sharp pickup in domestic TBCB (Tender Based Competitive Bidding) tenders, which has significantly driven the company's performance while maintaining resilient export operations.

Expansion Strategy and Growth Plans

Skipper has outlined an aggressive expansion strategy to capitalize on the growing transmission and distribution infrastructure demand. The company plans to nearly double its tower manufacturing capacity to 0.6mn TPA by FY29, representing a substantial increase from current levels.

The export strategy forms a crucial component of the growth plan, with Skipper targeting to increase its export revenue share to approximately 50% from the current 21% recorded in H1-FY26. This expansion is expected to be achieved over the next 3-4 years, diversifying the company's revenue streams and reducing dependence on domestic markets.

Market Opportunity and Financial Projections

Skipper is well-positioned to benefit from the multi-year domestic transmission and distribution capex cycle, supported by substantial planned investments of ₹9.15 lakh crore over FY23-32 according to the National Electricity Policy (NEP). This represents a significant market opportunity for the company's core business operations.

With the current order book of ₹8,800 crores as of Q2-FY26 end and order inflow likely expanding at 22% CAGR, analysts estimate robust growth across key financial metrics. The revenue, EBITDA, and PAT are projected to grow at 20%, 24%, and 34% CAGR respectively over FY25-28E.

Investment Recommendation and Risk Factors

The Buy rating with a target price of ₹490 is based on 16x FY28E EPS, reflecting confidence in the company's execution capabilities and market positioning. However, several risk factors need consideration:

• Competitive Intensity: Tender-based business environment poses competitive challenges
• Raw Material Volatility: Significant exposure with 50% of order book comprising fixed-price contracts
• Working Capital Requirements: Capital-intensive nature of operations
• Geopolitical Uncertainty: Potential impact on export operations and supply chains

The combination of strong domestic market opportunities, strategic capacity expansion, and export diversification positions Skipper Ltd favorably for sustained growth, despite the inherent risks in the transmission line tower manufacturing sector.