Gati slips after rating agency revises outlook on long term loans to negative

The rating agency also downgraded the rating on short term bank facilities (Rs5cr) to A3 from A3+ earlier.

Aug 21, 2019 09:08 IST India Infoline News Service

GATI
Shares of Gati slipped 4% after rating agency CARE revised its outlook on the company's long term loans to negative from stable.

Rating agency CARE retained its rating on the company's long term bank facilities of Rs173cr at BBB, but the revised outlook from stable to negative.

The agency also downgraded the rating on short term bank facilities (Rs5cr) to A3 from A3+ earlier.

Further, in case of company's medium-term fixed deposits (Rs50cr), CARE revised the outlook to negative from stable, but retained rating at BBB.

The company’s net profit declined by 85.8% to Rs0.7cr in the quarter ended June 2019 as against Rs5.08cr during the previous quarter ended June 2018.

Gati Ltd is currently trading at Rs39.75, down by Rs1.55 or 3.75% from its previous closing of Rs41.30 on the BSE.

The scrip opened at Rs41.05 and has touched a high and low of Rs41.20 and Rs39.35 respectively.

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