The ratings upgrade factors in significant improvement in business and financial profile. According to the report, GIL's business risk profile improvement is supported by consistent growth in scale of operations, a strong order book of Rs. 1,200 crore and sustained operating margins. Healthy demand from end-user industries such as the auto, construction, power, and oil and gas sectors further support the business risk profile. In contrast, an improvement in liquidity profile and debt service coverage metrics supports the financial profile, which is expected to improve further, considering no significant debt-funded capex is on the horizon coupled with GIL's ability to raise funds continuously.