CARE reaffirms rating of Cenlub Industries’ bank facilities

Credit rating agency, CARE has reaffirmed ‘BB’ rating to Cenlub Industries’ long term bank facilities worth Rs 14 crore and ‘A4’ rating to company’s Short term Bank Facilities worth Rs 3 crore. The ratings assigned to the bank facilities of Cenlub Industries (CIL) continue to remain constrained by its small scale and working capital-intensive nature of operations and its presence in the highly fragmented and competitive lubrication industry. The ratings also take into cognizance the decline in total operating income and profitability margins in FY14 (refers to the period April 1 to March 31). Cenlub Industries is engaged in the field of design, manufacture and supply of Centralised Lubrication System for various machines, plants and equipments. The company has 10 offices all over India to take care of sales and service i.e. Chandigarh, Chennai, Coimbatore, Hyderabad, Kolkata , Ludhiana, Mumbai, Panchkula, Pune, and Visakhapatnam.The company is having 3 manufacturing units as under, which are totally independent.