CRISIL upgraded the company's long-term rating to ‘A-/Stable' from ‘BBB/Positive', and the short-term rating to ‘A2+' from ‘A3+'.

CRISIL Ratings said that the rating action reflects significant improvement in the business and financial profile of GIL. The improvement in business profile is supported by significant increase in scale of operations, healthy order book and sustained operating margin.

The company has no major capex plans and thus financial risk profile is expected to remain stable.

The ratings continue to reflect GIL's established presence in the steel processing industry, its diversified product profile, and healthy scale of operations.

These strengths are partially offset by large working capital requirement, susceptibility to volatility in raw material prices due to intense competition in the fragmented industry, and average financial risk profile.

The company's consolidated net profit rose 82.28% to Rs 20.16 crore on a 67.55% rise in sales to Rs 696.43 crore in Q3 FY22 over Q3 FY21.