“When you love blindly, even flaws seem like virtues.” → When you deeply like or love someone, you may ignore their weaknesses. Their mistakes or shortcomings may even appear charming, acceptable, or even “good” to you. For example, if someone is stubborn, you might call it “determined” because you love them.
“When your dislike is intense, even virtues seem like flaws.” → On the other hand, if you dislike someone, even their positive qualities can appear negative. For instance, if someone is confident, you might see them as arrogant—simply because your attitude toward them is negative.
“Mend Your Attitude” → The key message is that it’s not always the person who is truly good or bad—it’s often our own perspective that is biased. By adjusting your attitude (removing the “blinding” effects of love or dislike), you can see people more clearly and fairly.
Posted: 23 Jan 2025
Standard Glass Lining Technology Limited Crisil Ratings has upgraded its ratings on the bank facilities of Standard Glass Lining Technology Ltd (SGLTL; part of the Standard Glass group) to Crisil A/Stable/Crisil A1 from Crisil A-/Positive/Crisil A2+. The upgrade reflects substantial improvement in the groups financial and liquidity risk profiles along with steady growth in business performance. The financial risk profile and liquidity will be further strengthened in fiscal 2025, due to equity infusion of over Rs 250 crore through private placement of Rs 40 crore in December 2024 and initial public offer of Rs 210 crore in January 2025. The upgrade in ratings factors the substantial improvement in the groups financial and liquidity risk profiles along with steady growth in business performance. The financial risk profile and liquidity will be further strengthened in fiscal 2025, due to equity infusion of over Rs 250 crore through private placement of Rs 40 crore in December 2024 and initial public offer of Rs 210 crore in January 2025. Business risk also expected to improve supported by orders on hand providing revenue visibility for fiscal 2025; geographical expansion into new territories with tie-ups and strategic collaborations, addition of new customers and launch of new products should continue to support revenue growth going forward. The working capital requirement is also likely to be efficiently managed with minimal reliance on external debt. Gearing and total outside liabilities to tangible networth (TOLTNW) ratio were comfortable at 0.28 time and 0.63 time, respectively, as on March 31, 2024 (improved from 0.39 time and 1.23 times, respectively, a year ago). These metrics are expected to be nil and 0.19 time, respectively, as on March 31, 2025. The ratings also reflect the group's established market position, supported by the extensive experience of its promoters in the glass-lined reactor business, improving financial risk profile and reputed clientele. These strengths are partially offset by large working capital requirement, exposure to intense competition and cyclicality in demand from key end-user industries. Analytical Approach Crisil Ratings has combined the business and financial risk profiles of SGLTL, S2 Engineering Industry Pvt Ltd (SEIPL), Standard Flora Pvt Ltd (SFPL) and CPK Engineers Equipment Pvt Ltd (CEEPL) because all these entities, collectively referred to as the Standard Glass group, operate in the same line of business, with a common management team and significant operational and financial linkages. Please refer Annexure - List of Entities Consolidated, which captures the list of entities considered and their analytical treatment of consolidation. Key Rating Drivers & Detailed Description Strengths: Established market position supported by the extensive experience of the promoters: In the past few years, the Standard Glass group has evolved as a leading supplier of glass-lined reactors and other equipment used by leading pharmaceutical and chemical companies. The promoters experience of more than a decade, their strong understanding of market dynamics and healthy relationships with customers and suppliers should continue to support the business. Comfortable and improving financial risk profile: Financial risk profile is marked by healthy networth of Rs 408 crore while gearing and TOL/TNW ratio were comfortable at 0.28 time and 0.63 time, respectively, as on March 31, 2024. Interest coverage ratio is projected at a strong over 15 times over the medium term. These metrics are further expected to improve over the medium term, with sustenance of healthy operating performance and prudent working capital management.
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Be prepared to invest in a down market and to "get out" in a soaring market, as per the philosophy of Warren Buffett.