Credit rating agency, CRISIL has assigned its ratings of BBB/Stable/P3+ to the various bank facilities of Austin Engineering Company (AEC).

The ratings reflect AEC`s established market position in the industrial bearings segment and its comfortable financial risk profile.

These strengths are partially offset by the company`s working capital-intensive nature of operations.

CRISIL believes that AEC will maintain its current credit profile supported by its diversified product range and end-user profile. The outlook may be revised to Positive in case of more-than-expected improvement in operating margins and inventory management. Conversely, it may be revised to Negative in case of lower-than-expected operating margins and/or if the company contracts more debt than expected to fund its capital expenditure, the rating agency said.

Shares of the company gained Rs 2, or 4.12%, to settle at Rs 51. The total volume of shares traded was 400 at the BSE (Wednesday).