Crisil Upgrades Data Patterns’ Long-Term Rating To A+ With Stable Outlook

Data Patterns (India) Ltd. on Wednesday said Crisil Ratings has upgraded the company’s long-term rating on bank facilities to A+ from A and revised the outlook to stable from positive. The short-term rating has been reaffirmed at A1, the company said in an exchange filing.

The upgrade reflects a stronger credit profile, driven by 36% revenue growth in FY25 (Apr–Mar) due to robust execution and a healthy order book. The company’s EBITDA margin stood at 38.8% and is expected to remain in the 35–40% range over the medium term. Net cash accruals rose to ₹1.92 billion in 2024-25 and are projected to exceed ₹2 billion going forward, Crisil said in a release.

Crisil said the ratings continue to factor in Data Patterns’ established presence in the defence equipment space and its strong financial risk profile. These are partially offset by the working capital-intensive nature of operations and exposure to changes in defence procurement policies.

The company is likely to benefit from its sustained operational performance and market position over the medium term, the release said.