Key Metrics of Modison Limited
About Modison Limited
Company details
- Registered office
- 33, Nariman Bhavan, 227, Nariman Point, Mumbai, In-mh, 400021
- Listed
- NSE: MODISONLTD · ₹389.70
Company summary
Entity details
Compliance
Industry classification
Financials, ratios and risk analysis
Revenue, EBITDA, net profit, net worth, debt and assets for every filing year, 15+ ratios, the financial health score, shareholding, charges and peer comparison are part of the premium plan.
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Due dates follow the Companies Act: AGM within six months of the year end, AOC-4 within 30 days and MGT-7 within 60 days of the AGM. A filing made but not yet uploaded here shows as pending.
Vendor checks & payment capacity
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Credit ratings
Rating history
Rating actions
| Date | Agency | Action | Long term | Short term | Outlook | Rated amount | Rationale |
|---|---|---|---|---|---|---|---|
| 30 Dec 2025 | CARE | Reaffirmed | A | A1 | Stable | ₹158 Cr | View |
| 30 Dec 2024 | CARE | Reaffirmed | A | A1 | Stable | ₹108 Cr | View |
| 05 Jan 2024 | CARE | Reaffirmed | A | — | Stable | ₹77.5 Cr | View |
| 24 Mar 2023 | CARE | Other | — | — | — | — | View |
| 17 Feb 2023 | CARE | Reaffirmed | A | — | Negative | ₹92.0 Cr | View |
| 07 Apr 2022 | CARE | Assigned | A | A1 | Stable | ₹184 Cr | View |
| 12 Oct 2021 | CARE | Withdrawn | A | — | Stable | — | View |
| 06 Apr 2021 | CARE | Reaffirmed | A | A1 | Positive | ₹125 Cr | View |
| 27 Mar 2020 | CARE | Reaffirmed (from A) | A | A1 | Stable | ₹125 Cr | View |
| 27 Mar 2019 | CARE | Reaffirmed | A | A1 | Stable | ₹125 Cr | View |
Credit strengths (CARE, Dec 2025)
+ Strong business profile
Modison is a leading manufacturer of silver/copper/tungsten based electrical contacts for high, medium and low voltage (HV, MV & LV) switchgears, serving domestic and international markets. Modison has an integrated presence, encompassing silver refining, production of electrical contact materials, and manufacturing of finished contacts. LV (including MV) and HV contribute ~80% and 20% respectively to the company’s net sales.
+ Established customer and supplier base
Modison has an established customer base, catering to some of the top switchgear manufacturers in India. Top five customers account for ~45% of total operating income (TOI). Further, Modison procures its key raw materials such as silver, copper and tungsten from reputed suppliers. Top five suppliers account for ~60-65% of purchases. 1Complete definition of ratings assigned are available at www.careratings.com and other CARE Ratings Limited’s publications.
+ Growing-yet-moderate scale of operations
In FY25, the company’s TOI grew by ~21% to ₹491.64 crore (PY: ₹404.79 crore), largely driven by improved sales realisations considering rising input prices, mainly silver. The company reported TOI of ₹282.83 crore in H1FY26, a growth of ~17% on y-o- y basis. Going forward, growth will be mainly driven by improved sales realisations in the LV segment and higher demand in the HV segment. Comfortable capital structure and debt coverage indicatorsdespite increase in debt levels
+ Comfortable capital structure and debt coverage indicatorsdespite increase in debt levels
Modison’s debt profile consist of working capital borrowings and minimal term debt. Capital structure moderated but continued to remain comfortable with overall gearing of 0.34x as on March 31, 2025 (PY: 0.16x), due to higher utilisation of working capital limits. This further moderated in H1FY26 to meet the incremental working capital required in light of significant increase in key input prices, mainly silver prices. Modison has availed additional working capitallimits for the same.
+ Experienced promoters and long track record of operations
Modison was established by Girdharilal Modi in 1965 as a trading unit. A decade later in 1975, the first manufacturing facility was set up in Mumbai for refining of silver. In 1978, the promoter started manufacturing of electrical contacts. Girdharilal Modi has over four decades of experience in the electrical equipment industry and has been instrumental in establishing the company as one of the leading electrical contacts manufacturing companies in India. He is supported by Jay Kumar Modi (son)
Credit challenges
− Fluctuating profitability with raw material price volatility and forex rates
Over the years, PBILDT margin has remained fluctuating primarily due to volatile input prices and competitive pressure in the global market. In FY25, PBILDT margin improved to 9.51% (PY: 7.96%) and further improved to 10.80% in H1FY26, primarily driven by improvement in scale of operations leading to better absorption of fixed costs. Modison is exposed to the inherent risk of price fluctuations in its major raw materials, particularly silver, which accountsfor ~75
− Elongated working capital cycle
The company’s operations remain working capital intensive with gross current asset of 161 days and operating cycle of 139 days in FY25 (PY: 158 days and 128 days respectively). Most of the working capital is blocked in inventory, as Modison needs to maintain sufficient inventory for continuous manufacturing requirements. Modison generally gives a credit period of ~60 to 90 days to its customers. Considering the reputed customer profile, credit risk remains low.
Could lead to an upgrade
• Improvement in profit before interest, lease rentals, depreciation and tax (PBILDT) margin to over 15% on a sustained basis and return on capital employed (ROCE) of 18%. • Operating cycle below 90 days on a sustained basis.
Could lead to a downgrade
• Deterioration in PBILDT margin below 7% on a sustained basis. • Deterioration in overall gearing above 0.30x and total debt to PBILDT (TD/PBILDT) above 1.50x on a sustained basis.
Agency-reported financials (CARE, 30 Dec 2025)
| Metric | March 31, 2024 | March 31, 2025 | H1FY26 |
|---|---|---|---|
| Total operating income | ₹405 Cr | ₹492 Cr | ₹283 Cr |
| PBILDT* | ₹32.22 Cr | ₹46.74 Cr | ₹30.55 Cr |
| Profit after tax (PAT) | ₹21.34 Cr | ₹24.68 Cr | ₹16.45 Cr |
| Overall gearing (x) | 0.16× | 0.34× | 0.38× |
| Interest coverage (x) | 11.04× | 7.83× | 8.26× |
| Revenue growth (YoY) | — | 21.5% | — |
| PAT margin | 5.3% | 5.0% | 5.8% |
Borrowings & rated debt
Rated limits over time
Facility mix
Rated facilities
| Facility | Type | Previous | Current | Change | Rating | Action | Agency |
|---|---|---|---|---|---|---|---|
| Long-term bank facilities | Working capital & bank lines | — | ₹115 Cr | — | A (Stable) | Reaffirmed | CARE |
| Long-term Short-term bank facilities | Working capital & bank lines | — | ₹25.0 Cr | — | A / A1 (Stable) | Assigned | CARE |
| Short-term bank facilities | Working capital & bank lines | — | ₹17.5 Cr | — | A1 | Reaffirmed | CARE |
CARE ratings on record (checked 25 Oct 2026)
| Instrument | Amount | Rating |
|---|---|---|
| BG/LC | — | Withdrawn |
| BG/LC | ₹17.5 Cr | CARE A1 |
| Cash Credit | — | Withdrawn |
| Cash Credit | ₹115 Cr | CARE A; Stable |
| LT/ST | ₹25.0 Cr | CARE A; Stable / CARE A1 |
| Term Loan | — | Withdrawn |
Lenders
| Fund-based - LT | Cash Credit | HDFC Bank Ltd. |
| Fund-based/Non-fund-based | LT/ST | Citi Bank |
| Non-fund-based - ST | BG/LC | HDFC Bank Ltd. |
Credit assessment · Manufacturing
Rating Methodology – Manufacturing Companies (Mar 2025) · Standalone accounts · FY 2025-26
Ratios, pillar scores and the indicative rating are part of Premium.
Rating status
| Default | No default on record |
| Issuer cooperation | Cooperating |
| Credit enhancement | None – standalone rating |
| Information on file | 56% · missing: Capex / investment plans, Lender details, Auditor details, Recent rating review (last 15 months) |
Indicative assessment from public data using the published methodology factors; not a credit rating.
Borrowing & funding lifecycle
- Credit outlook model: 65% chance the next rating action is stable or better
- Current rating A (investment grade)
- Interest coverage 8.26×
- Working-capital limits 85% utilised on average
Rated limits by facility
Timeline
From the report
Modison has availed additional working capitallimits for the same.
From the report
Average maximum utilisation of fund-based limits and non-fund-based limits stood at ~85% and ~15% respectively for 12-months ended October 31, 2025, which has increased to support its increasing working capital requirements.
From the report
Average maximum utilisation of fund-based limits and non-fund-based limits stood at ~86% and ~9% respectively for 12-months ended October 31, 2024.
From the report
Press Release Liquidity: Adequate The liquidity position remained adequate marked by moderate cash accruals (₹16.39 crore in FY23) as compared to no term debt repayment obligations and free cash and bank balance of ₹1.87 crore as on September 30, 2023.
From the report
The average maximum and average utilization of working capital limits (fund based) stood low at 50% and 34% respectively and the average maximum utilization of NFB limits stood low at 1.87% for the last 12 months ended November 2023.
From the report
Cash flow from operations stood at Rs. 23.99 crore in FY23 (vis- à-vis Rs. 19.96 crore in FY22).
From the report
Press Release Liquidity: Adequate The liquidity position remained adequate marked by sufficient cushion in accruals (₹20.92 crore in FY22) vis-à-vis nil repayment obligations and free cash and bank balance of ₹0.09 crore as on December 31, 2022.
From the report
The average maximum and average utilization of working capital limits (fund based) stood at 44.14% and 27.62% respectively for the last 12 months ended December 2022.
From the report
Cash flow from operations stood at ₹19.96 crore in FY22 (vis-à-vis ₹32.93 crore in FY21).
From the report
Liquidity: Adequate ML’s liquidity is adequate on account of nil repayment obligations in FY23 and cash and liquid investments of ₹0.08 crores as on December 31, 2022.
From the report
Its cash flow from operations stood positive at ₹19.96 crore in FY22. 2 CARE Ratings Ltd.
From the report
Liquidity: Strong The company’s liquidity is adequate characterized by sufficient cushion in accruals vis-à-vis nil repayment obligations and free cash and bank balance of Rs.0.19 crore as on March 31, 2021 and Rs.1.00 crore as on December 31, 2021.
From the report
Further, the average utilization of its fund-based working capital limit stood moderate at around 29.16% during trailing 12-month period ended February, 2022 and the average of maximum utilization of its non-fund based limits stood around 0.42% during last 12 months ended February, 2022.
From the report
Its cash flow from operations stood at positive Rs.32.93 crore in FY21 (vis-à-vis positive of Rs.14.02 crore in FY20).
From the report
Company has cash and bank balances to the tune of Rs.0.18 crore as on March 31, 2021 vis-à-vis Rs.1.16 crore as on March 31, 2020.
From the report
The cash flow from operations was positive at Rs.32.93 crore in FY21 (vis -à-vis positive at Rs.14.02 crore in FY20).
From the report
Average utilisation for fund-based limits for the past 12 months ended December 2020, was low at 29%.
From the report
Liquidity: Strong - Liquidity is marked by strong accruals against negligible repayment obligations of Rs.0.40 crore in FY21.
From the report
The average fund-based utilization for the past 12 months ended December 2020 was low at 29%.
From the report
Its unutilized bank lines of around 61% of its sanctioned limits further provide liquidity cushion.
From the report
Also, the company has sanctioned Non-fund based limits which is hardly utilised.
From the report
Average utilisation for fund -based limits for the past 12 months ended December 2019, was low a t 33%.
From the report
Liquidity: Strong - Liquidity is marked by strong accruals against negligible repayment obligations of Rs.0.40 crore in FY20 and FY21 as well.
From the report
The average fund-based utilization for the past 12 months ended December 2019 was low at 33%.
From the report
Its unutilized bank lines of around 66% of its sanctioned limits further provide liquidity comfort.
From the report
Also, the company has sanctioned Non- fund based limits which it does not utilize.
From the report
Liquidity position MML has cash and bank balance of around Rs. 2.40 crore as on September 30, 2018.
From the report
With gross cash accruals for Q3FY19 of Rs.4.56 crore with no term debt and only working capital facilities, the liquidity position of MML is comfortable.
From the report
The company has average unutilized fund based limits of around 61% of its sanctioned limits which provides further liquidity comfort.
Lender names, bank charges and audited borrowings are part of Premium.
Built from MCA charges, ICRA/CARE rating reports and audited accounts. The borrowing view is an estimate, not a lender's credit decision.
Registered office and contact
Directors and key people
Directors are read from the MGT-7 annual return and AOC-4 signatories.
Charges (secured borrowings)
0 registered charges. Lenders, amounts and dates are part of the premium plan.
Statutory auditors
Auditors are read from the AOC-4 auditor's report section.
Business activities and related parties
Principal business activities and related-party transactions are read from MGT-7 and AOC-4 filings.
Filings
No filings on record yet.