Credit Rating- Revision

August 19, 2026 BSE Limited National Stock Exchange of India Limited Phiroze Jeejeebhoy Towers “Exchange Plaza” C-1, Block G, Dalal Street, Mumbai - 400 001 Bandra-Kurla Complex, Bandra (East) Mumbai - Scrip Code (BSE): 544203 400051 Symbol: ABDL Our Reference No. 57/2026-27 Sub: Intimation under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 – Credit Rating Dear Sir/Madam, India Ratings and Research (‘Ind-Ra’) has upgraded Allied Blenders and Distillers Limited’s (‘the Company’/ ‘ABDL’) long-term Bank facilities to ‘IND AA-’ from ‘IND A’ with a Stable Outlook and short-term Bank facilities to ‘IND A1+’ from ‘IND A1’, and rated new facilities as follows: Instrument Regulator of Size of Issue Rating assigned along with Rating Description Instrument (In Million) Outlook/Watch Action Bank Facilities RBI INR 12,750 IND AA-/Stable/IND A1+ Upgraded Bank Facilities INR 3,250 IND AA-/Stable/IND A1+ Assigned The Press Release issued by Ind-Ra in this regard, which was received by the Company on August 19, 2026 at 12:22 P.M. (IST) is annexed herewith. This intimation is also being uploaded on Company’s website and can be accessed at https://www.abdindia.com/ Request you to please take the above information on records. Thanking you. Yours sincerely, For Allied Blenders and Distillers Limited Sumeet Maheshwari Company Secretary & Compliance Officer Membership No. ACS - 15145 Encl: a/a Allied Blenders and Distillers Limited Corporate Office: Ashford Centre, 3rd Floor, 4th Floor & 7th Floor, Shankarrao Naram Marg, Lower Parel (W), Mumbai – 400013. Tel: +91 22 4300 1111 Registered Office: 394-C, Ground Floor, Lamington Chambers, Lamington Road, Mumbai – 400004, India. T.: +91-22 6777 9777 CIN No: L15511MH2008PLC187368 | E.: info@abdindia.com| www.abdindia.com India Ratings Upgrades Allied Blenders and Distillers’ Bank Facilities to ‘IND AA-’/Stable/‘IND A1+’; Rates Additional Limits Aug 19, 2026 | ALLIED BLENDERS AND DISTILLERS LIMITED (Formerly Allied Blenders and Distillers Pvt. Ltd) | Breweries & Distilleries India Ratings and Research (Ind-Ra) has upgraded Allied Blenders and Distillers Limited’s (ABDL) long-term bank facilities to ‘IND AA-’ from ‘IND A’ with a Stable Outlook and short-term bank facilities to ‘IND A1+’ from ‘IND A1’, and rated new facilities as follows: Details of Instruments Size of Rating Regulator of Date of Coupon Maturity Rating Instrument Type Issue (INR Assigned with Instrument Issuance Rate Date Action million) Outlook/Watch Bank loan RBI - - - 12,750 AA-/Stable/IND Upgraded facilities Bank loan RBI - - - 3,250 AA-/Stable/IND Assigned facilities Analytical Approach Ind-Ra continues to consolidate ABDL’s subsidiaries while arriving at the ratings, given the strong operational and strategic linkages among the entities. Detailed Rationale of the Rating Action The rating upgrade reflects ABDL's continued growth in consolidated scale of operations in FY26, which Ind-Ra expects to sustain with scale and grow further over the medium term, led by strong sales momentum in key brands and markets. Moreover, the improved profitability is likely to sustain, led by a better sales-mix through premiumisation, leading to enhanced gross margins. Progress in ongoing backward integration projects is set to support EBITDA margins in the medium term, mitigating risks from extra neutral alcohol (ENA) price volatility and further improving margins. Furthermore, the agency expects ABDL's consolidated net leverage to remain comfortable over the medium term, despite the significant ongoing capex. The company's strong market position in the Indian made foreign liquor (IMFL) industry, pan-India diversification, and the industry’s growing market size also provide adequate comfort on the sustainability of scale and steady improvement over the medium to longer term. The ratings are, however, constrained by ABDL's elongated net working capital cycle, due to higher concentration and lagging receivables in the Telangana market, potentially resulting in lower-than-expected cash flow generation and increase leverage over the medium term. The luxury segment, launched in FY25, is likely to continue to dilute the consolidated profitability over the medium term, presenting key segmental ramp-up risk. Additionally, heightened near-term risk from inflation in packaging costs due to the ongoing West Asia conflict might pressure the margins in FY27. List of Key Rating Drivers Strengths Sustained growth in scale, led by strong sales volumes Improved EBITDA margins likely to sustain with continued premiumisation Leverage likely to remain comfortable in medium term, despite high capex Backward integration boosts margins; 100% ENA integration expected by FY29 Established pan-India market position and growing industry size Significant barriers for new entrants Weaknesses Volatility in ENA and packaging material costs; geopolitical headwinds Extended working capital cycle, due to higher Telangana concentration Regulatory risks inherent to alco-beverages industry Losses in key subsidiary due to nascent Luxury portfolio operations Detailed Description of Key Rating Drivers Sustained Growth in Scale Led by Strong Sales Volumes: ABDL's scale of operations grew sustainably, with the consolidated revenue growing at a CAGR of 10.81% over FY21-FY26. The net revenue (gross revenue less excise duty) also increased to INR39,228 million in FY26 (FY25: INR35,199 million; FY24: INR33,279 million), led by higher IMFL sales volume of 35.88 million cases (33.07 million; 31.66 million). Sales volumes grew at a CAGR of 7% in FY21-FY26, due to increased geographical diversification alongside overall industry growth. ABDL's consolidated EBITDA also improved significantly, reaching INR5,418 million in FY26 (FY25: INR4,305 million; FY24: INR2,421 million). The agency expects continued growth in scale over the medium term, led by the strong growth momentum of its key brand - Iconiq White whisky, launched in FY23, and its growing market share in Uttar Pradesh. The agency thus expects the entity to maintain a comfortable credit profile over the medium term, despite its significant capex plans. Improved EBITDA Margins Likely to Sustain with Continued Premiumisation: ABDL's consolidated EBITDAR margin improved yoy during FY24-FY26, significantly enhancing its credit profile. The EBITDAR margin rose to 13.81% in FY26 (FY25: 12.23%; FY24: 7.28%), driven by the continued premiumisation in ABDL's sales mix, with the higher-margin Prestige and Above (P&A) segment’s contribution to overall IMFL sales rising to 57.3% in FY26 (FY25: 49.9%; FY24: 47.4%). The management expects the P&A segment’s revenue contribution to continue growing over the medium term, supported by strong momentum in Iconiq White, marketing initiatives for the other Prestige brands, and growth in the luxury portfolio under the subsidiary - ABD Maestro Private Limited (ABDM), which started generating revenue in FY26. The sustained growth in the overall realisations, led by the improving sales mix, is likely to offset any input cost headwinds from the ongoing geopolitical concerns in the near term. Ind-Ra hence expects the entity's consolidated ROCE to remain above 15% over the medium term. Furthermore, the India-UK FTA, effective from July 2026, is also expected to support ABDL's margins, especially in the Premium and Luxury segments, through a reduction of the import duties applicable on bulk scotch procurement from the UK. Leverage Likely to Remain comfortable in the Medium Term despite high Capex: ABDL's credit metrics improved significantly during FY25-FY26, led by improved internal accruals. The consolidated net leverage (Ind-Ra-adjusted net debt/operating EBITDAR) remained largely stable yoy at 1.87x in FY26, despite the overall gross debt rising to INR11,504 million (FY25: INR9,052 million) to fund capex for ongoing projects and acquisitions in the luxury portfolio. ABDL is likely to incur further si [Showing first 8,000 characters — download PDF for full document]