India Ratings assigns Kennametal India 'IND AA-', Outlook Stable

India Ratings & Research (the "Credit Rating Agency"), vide their report dated July 18, 2022, have assigned Kennametal India Limited (the "Company"), a Long-Term Issuer Rating of 'IND AA-' and the Outlook is Stable.

Ind-Ra has taken a consolidated view of KIL and its wholly owned subsidiary Widia India Tooling Pvt. Ltd. (WITPL), and has notched up the rating on account of the strong operational and strategic ties between KIL and its 75% parent, Kennametal Inc. (KMI; Fitch Ratings Issuer Default Rating 'BBB'/Stable).

The rating reflects KIL's strong credit profile and profitability and its robust linkages with the parent. However, the rating is constrained by the cyclical nature of end-user segments and the moderate size of KIL's operations on the back of its presence in the fragmented cutting tools market.

Shares of Kennametal India Limited was last trading in BSE at Rs. 2071.35 as compared to the previous close of Rs. 1996.35. The total number of shares traded during the day was 957 in over 324 trades.

The stock hit an intraday high of Rs. 2076.05 and intraday low of 1981.30. The net turnover during the day was Rs. 1952424.00.

Source : Equity Bulls

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KennametalIndia INE717A01029 RatingUpdate