Dhunseri Tea ratings cut as debt metrics remain under pressure
Dhunseri Tea & Industries received rating downgrades from CARE Ratings after operating losses in FY25 and FY26 pressured debt coverage. The stock closed at ₹148.69 on 4 Nov 2026, down 11% over five sessions despite a 11.9% 20-session gain.
after close1 source ↓machine-written, see hownot a recommendation
- DTIL close
- ₹148.69
- On the day
- +0.92%
- 52-week high
- ₹193.79
- 52-week low
- ₹102.00
Dhunseri Tea & Industries disclosed on 5 Nov 2026 that CARE Ratings downgraded its long-term and short-term bank facility ratings, citing weaker-than-expected financial performance in FY25 and FY26. The long-term rating was reduced from CARE A; Stable to CARE A-; Stable, while the short-term rating on ₹0.50 crore of bank facilities was cut from CARE A2+ to CARE A2. CARE retained a stable outlook on a consolidated basis.
The downgrade signals continued pressure on debt coverage and operating performance in the tea business 🍃. The company reported operating losses in both FY25 and FY26, although the losses narrowed year-on-year. Cost optimisation and the divestment of loss-making tea gardens supported the improvement, but the measures have not yet removed the pressure reflected in the lower ratings. The stable outlook is supported by financial flexibility at the wider Dhunseri group level and promoter support through need-based unsecured loan infusions.
Rating downgrade is the immediate credit-market development to track because it can affect borrowing costs, lender comfort and the company’s ability to refinance facilities. For equity traders, the market response will depend on whether operating losses continue to narrow and whether group support remains available. The rating action also keeps attention on the financial health of tea producers facing variable crop output, commodity prices and operating costs
OI Charts data showed the stock closed at ₹148.69 on 4 Nov 2026, up 0.9% on the day, with volume of 2,795. The short-term trend was weaker, with a 5-session decline of 11%, despite gains of 11.9% over 20 sessions. The stock remained below its 52-week high of ₹193.79 recorded on 27 Aug 2026 and above the 52-week low of ₹102.00 recorded on 30 Mar 2026.
Investors will watch the next financial update for further evidence of loss reduction, debt coverage improvement and cash-flow stability. Any change in promoter funding, bank facilities or CARE’s outlook would provide the next credit signal for the company and its lenders. ☕
Source: Kalkine India, 05 Nov 2026
. Not investment advice. For informational purposes only.