LT Foods’ bank loan rating upgraded to 'IND AA/Stable'

LT Foods Limited announced on November 27, 2025, that India Ratings and Research (Ind-Ra) upgraded its long-term rating for bank loan facilities to "IND AA/Stable," with the short-term rating affirmed at "IND A1+." This upgrade reflects the company's strengthening business profile, marked by consistent growth in its scale of operations and a robust financial position. The company's consolidated EBITDA is projected to exceed INR10 bn in FY25, following a two-year CAGR of approximately 20%, driven by business expansion and an improvement in EBITDA margins to 12%.

The improved rating is supported by LT Foods' low net leverage, which is expected to remain below 1.0x (FY25: 0.6x; FY24: 0.5x), and its strong market presence in the basmati rice sector. The company's total rated bank loan facilities amount to INR9,100 m. Despite potential impacts from US tariffs, Ind-Ra anticipates LT Foods’ EBITDA to remain healthy, underpinned by growth in various geographies and limited competition.

As of September 2025, LT Foods' consolidated cash and equivalents increased to INR6,112 m, from INR1,433 m at FYE25. The company's robust credit metrics, including an interest coverage of 11.9x in FY25, underscore its ability to manage debt and maintain profitability.