Acuite reaffirms long term, short term ratings of Skipper Ltd

Acuite has reaffirmed the long-term rating of 'ACUITE A-' (read as ACUITE A minus) and the short term rating of 'ACUITE A2+' (read as ACUITE A two plus) on the Rs.1950.00 crore bank facilities of Skipper Limited (SL). The outlook is 'Stable'.

The ratings continue to reflect the company's long operational track record, strong business risk profile with a reputed clientele apart from the healthy financial risk profile. In addition, the company has a healthy order book which provides medium term revenue visibility. Though the operations were impacted in Q1 FY21 due to the pandemic, the company has been able to get back to normalcy and ramp up its revenues from Q2FY21. SL has reported sales of Rs 403.59 crore with EBITDA margin of 12 percent in Q2FY21 as compared to revenue of Rs 313 crore and EBITDA margin of 10.91 percent in Q2FY20. This improvement is driven by healthy execution of orders in Q2FY21. Acuite believes the company will post flattish revenues and healthy profitability margins till the end of the current financial year.

Shares of Skipper Ltd was last trading in BSE at Rs.61.8 as compared to the previous close of Rs. 56.35. The total number of shares traded during the day was 56053 in over 980 trades.

The stock hit an intraday high of Rs. 65 and intraday low of 55.65. The net turnover during the day was Rs. 3424457.

Source : Equity Bulls

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