Rating Rationale
November 29, 2022 | Mumbai
PC Jeweller Limited
Issuer not cooperating, based on best-available information; Ratings continues to be ‘CRISIL D/CRISIL D Issuer not cooperating'
 
Rating Action
Total Bank Loan Facilities RatedRs.3937 Crore
Long Term RatingCRISIL D (ISSUER NOT COOPERATING*)
Short Term RatingCRISIL D (ISSUER NOT COOPERATING*)
Note: None of the Directors on CRISIL Ratings Limited’s Board are members of rating committee and thus do not participate in discussion or assignment of any ratings. The Board of Directors also does not discuss any ratings at its meetings.
1 crore = 10 million
Refer to Annexure for Details of Instruments & Bank Facilities
*Issuer did not cooperate; based on best-available information
 
Please note that the rating(s) are based on best available information with the credit rating agency: the entity whose debt is being published via this press release did not provide the requisite information needed to conduct the rating exercise and is therefore classified as 'non cooperative'.

Non cooperation by Issuer

CRISIL Ratings has been consistently following up with PC Jeweller Limited (PCJ; part of the PCJ group) for obtaining information through letters and emails dated August 24, 2022 and October 31, 2022 among others, apart from telephonic communication. However, the issuer has remained non cooperative.

 

‘The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.’

Detailed Rationale

Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of PCJ, which restricts CRISIL Ratings’ ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on PCJ is consistent with ‘Assessing Information Adequacy Risk’. Based on the last available information, the ratings on bank facilities of PCJ continues to be ‘CRISIL D/CRISIL D Issuer Not Cooperating’.

 

CRISIL Ratings has combined the business and financial risk profiles of PCJ and its four wholly owned subsidiaries'PC Universal Pvt Ltd, Transforming Retail Pvt Ltd, Luxury Products Trendsetter Pvt Ltd, and PC Global Jewellers DMCC'collectively referred to as the PCJ group, as the entities have business and operational synergies. Moreover, PCJ had extended inter-corporate advances to the subsidiaries as they do not have bank lines of their own.

About the Group

Established in 2005, Delhi-based PCJ manufactures, retails, and exports jewellery. The product range includes gold, diamond, and other jewellery and silver articles. The company is promoter by Mr. Balram Garg and family. PCJ is listed on Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).

 

The company has four subsidiaries: PC Universal Pvt Ltd, Transforming Retail Pvt Ltd, Luxury Products Trendsetter Pvt Ltd, and PC Jeweller DMCC (incorporated in Dubai).

Key Financial Indicators

 

Q2FY23

FY22

Revenue

898

1605

Profit After Tax (PAT)

86

-391

Operating Profit Margin (OPM)

16%

-6%

Net Profit Margin (NPM)

9.57%

-24.36%

Source: BSE

Any other information: Not applicable

Note on complexity levels of the rated instrument:
CRISIL Ratings` complexity levels are assigned to various types of financial instruments and are included (where applicable) in the ‘Annexure – Details of Instrument’ in this Rating Rationale.

CRISIL Ratings will disclose complexity level for all securities – including those that are yet to be placed - based on available information. The complexity level for instruments may be updated, where required, in the rating rationale published subsequent to the issuance of the instrument when details on such features are available.

For more details on the CRISIL Ratings` complexity levels please visit www.crisil.com/complexity-levels. Users may also call the Customer Service Helpdesk with queries on specific instruments.

Annexure - Details of Instrument(s)*

ISIN

Name of Instrument

Date of Allotment

Coupon
Rate (%)

Maturity Date

Issue
Size
(Rs. Cr)

Complexity Levels

Rating Assigned with Outlook

NA

Foreign Exchange Forward

NA

NA

NA

0.68

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

3.75

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

1.1

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

2.03

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

25.7

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

1.27

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

0.76

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

0.65

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

1

NA

CRISIL D/Issuer Not Cooperating

NA

Foreign Exchange Forward

NA

NA

NA

1

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

40

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

1.24

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

100

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

19.33

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

32.13

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

197.28

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

160

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

529.87

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

19.77

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

80

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

131

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

160

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

140

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

25

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

347

NA

CRISIL D/Issuer Not Cooperating

NA

Fund-Based Facilities

NA

NA

NA

30

NA

CRISIL D/Issuer Not Cooperating

NA

Long Term Loan

NA

NA

Not Available

12.3

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

485.76

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

26.85

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

40

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

30

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

10

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

36.5

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

23.76

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

112

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

20

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

59

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

15.3

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

20

NA

CRISIL D/Issuer Not Cooperating

NA

Non-Fund Based Limit

NA

NA

NA

91

NA

CRISIL D/Issuer Not Cooperating

NA

Proposed Working Capital Facility

NA

NA

NA

878.97

NA

CRISIL D/Issuer Not Cooperating

NA

Standby Line of Credit

NA

NA

NA

5

NA

CRISIL D/Issuer Not Cooperating

NA

Standby Line of Credit

NA

NA

NA

20

NA

CRISIL D/Issuer Not Cooperating

*Issuer did not cooperate; based on best-available information

Annexure - Rating History for last 3 Years
  Current 2022 (History) 2021  2020  2019  Start of 2019
Instrument Type Outstanding Amount Rating Date Rating Date Rating Date Rating Date Rating Rating
Fund Based Facilities LT/ST 2966.83 CRISIL D (Issuer Not Cooperating)*   -- 30-09-21 CRISIL D (Issuer Not Cooperating)* 03-04-20 CRISIL D 06-12-19 CRISIL D CRISIL BBB+/Negative / CRISIL A2
      --   -- 29-07-21 CRISIL D (Issuer Not Cooperating)*   -- 22-08-19 CRISIL A4+ / CRISIL BB+/Negative --
      --   --   --   -- 07-06-19 CRISIL A4+ / CRISIL BB+/Negative --
      --   --   --   -- 21-05-19 CRISIL BBB+/Negative / CRISIL A2 --
Non-Fund Based Facilities ST 970.17 CRISIL D (Issuer Not Cooperating)*   -- 30-09-21 CRISIL D (Issuer Not Cooperating)* 03-04-20 CRISIL D 06-12-19 CRISIL D CRISIL A2
      --   -- 29-07-21 CRISIL D (Issuer Not Cooperating)*   -- 22-08-19 CRISIL A4+ / CRISIL BB+/Negative --
      --   --   --   -- 07-06-19 CRISIL A4+ / CRISIL BB+/Negative --
      --   --   --   -- 21-05-19 CRISIL BBB+/Negative / CRISIL A2 --
All amounts are in Rs.Cr.
* - Issuer did not cooperate; based on best-available information
 
Annexure - Details of Bank Lenders & Facilities
Facility Amount (Rs.Crore) Rating
Foreign Exchange Forward 0.68 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 3.75 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 1.1 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 2.03 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 25.7 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 1.27 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 0.76 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 0.65 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 1 CRISIL D (Issuer Not Cooperating)*
Foreign Exchange Forward 1 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 40 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 1.24 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 100 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 19.33 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 32.13 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 197.28 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 160 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 529.87 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 19.77 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 80 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 131 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 160 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 140 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 25 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 347 CRISIL D (Issuer Not Cooperating)*
Fund-Based Facilities 30 CRISIL D (Issuer Not Cooperating)*
Long Term Loan 12.3 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 485.76 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 26.85 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 40 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 30 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 10 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 36.5 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 23.76 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 112 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 20 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 59 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 15.3 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 20 CRISIL D (Issuer Not Cooperating)*
Non-Fund Based Limit 91 CRISIL D (Issuer Not Cooperating)*
Proposed Working Capital Facility 878.97 CRISIL D (Issuer Not Cooperating)*
Standby Line of Credit 5 CRISIL D (Issuer Not Cooperating)*
Standby Line of Credit 20 CRISIL D (Issuer Not Cooperating)*
* - Issuer did not cooperate; based on best-available information
Criteria Details
Links to related criteria
CRISILs Approach to Financial Ratios
Rating criteria for manufaturing and service sector companies
CRISILs Bank Loan Ratings - process, scale and default recognition
Assessing Information Adequacy Risk
Rating Criteria for Fast Moving Consumer Goods Industry
CRISILs Approach to Recognising Default
CRISILs Criteria for Consolidation

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