CARE assigns ‘PR1’, ‘A+’ bank loan ratings to Tulip IT
CARE has assigned ‘PR1’ rating to short-term facilities of Tulip IT Services. In addition, CARE has assigned ‘CARE A+’ rating to the long-term facilities of the company.
By INDIATIMES NEWS NETWORK |
MUMBAI: CARE has assigned ‘PR1’ rating to short-term facilities of Tulip IT Services. In addition, CARE has assigned ‘CARE A+’ rating to the long-term facilities of the company.
The rating factors in the company’s experienced technical and management team, consistent track record as integrated provider of turnkey network integration services and wireless based VPN data connectivity with a pan India presence, diversified base of reputed clients in private and government sector and improved financial performance.
The rating is, however, constrained by large capex requirements, competition from other players, highly regulated and rapidly changing dynamics in the telecom sector.
Besides, enhancement / optimum utilization of availability of frequency spectrum and adoption to the fast changing technological environment in medium to long term would remain key rating sensitivities.
Tulip IT Services was initially into trading in software products, and later diversified into hardware products and system integration and became ‘Network Integrator’. It commenced VPN (virtual private network) business in 2004-05. Tulip IT Services has a hybrid business model with NI (network integration) & management services and data connectivity-wireless based IP-VPN (internet protocol virtual private network) as two principal lines of business.
The total income increased in FY07 over FY06 by 65 per cent primarily on account of growth in corporate data connectivity (IP VPN) segment.
The rating factors in the company’s experienced technical and management team, consistent track record as integrated provider of turnkey network integration services and wireless based VPN data connectivity with a pan India presence, diversified base of reputed clients in private and government sector and improved financial performance.
The rating is, however, constrained by large capex requirements, competition from other players, highly regulated and rapidly changing dynamics in the telecom sector.
Besides, enhancement / optimum utilization of availability of frequency spectrum and adoption to the fast changing technological environment in medium to long term would remain key rating sensitivities.
Tulip IT Services was initially into trading in software products, and later diversified into hardware products and system integration and became ‘Network Integrator’. It commenced VPN (virtual private network) business in 2004-05. Tulip IT Services has a hybrid business model with NI (network integration) & management services and data connectivity-wireless based IP-VPN (internet protocol virtual private network) as two principal lines of business.
The total income increased in FY07 over FY06 by 65 per cent primarily on account of growth in corporate data connectivity (IP VPN) segment.
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