Crisil Upgrades Evonith Steel to ‘AA- Stable’ on Strong Performance and Expansion Plans

Evonith Steel has received a credit rating upgrade to ‘AA-; Stable’ from Crisil Ratings, reflecting the company’s improved operational and financial performance. The upgrade highlights the successful turnaround efforts by Nithia and the management, increased production output, and strong financial risk profile. Crisil also noted the company’s strategic location in central India, offering proximity to key raw materials and efficient operations.

Evonith Steel reported revenue of Rs 1,635 crore and EBITDA of Rs 301 crore in Q1 FY26, supported by higher volumes and better realisation. The company plans to increase its blast furnace capacity from 0.8 MTPA to 1.4 MTPA by November 2025 and is also setting up a 0.3 MTPA ductile iron pipe plant, expected to be commissioned by Q4 FY26.

Jai Saraf, Chairman of Evonith Steel, Founder and CEO of Nithia said, “This rating is testament to the work put in by the team ensuring financial discipline at Evonith Steel by maintaining a focus on liquidity, working capital and debt management. We are excited about the future and look forward to strengthening our asset base across the value chain to increase operating capacity while maintaining strict financial discipline.”

Rajib Ranjan Guha, Director at Evonith Steel and Partner at Nithia said, “This rating is credit to the prudent nature of capital allocation, ensuring low payback times with focus on ensuring a high level of return on capital employed.”