Crisil Ratings said that the ratings reflect the strong market position of AIL in the speciality chemicals industry, its large product portfolio and customer base, and experienced management.

The ratings also factor in the healthy operating margin and strong financial risk profile of the company because of low leverage, adequate debt protection metrics and strong liquidity.

These strengths are partially offset by susceptibility to volatility in raw material prices and working capital-intensive operations.

Aether Industries manufactures specialty chemicals and advanced intermediates for multiple sectors such as pharmaceuticals, agrochemicals, material sciences, coatings, photography, oil & gas, and electronics and many others.

The scrip shed 0.37% to end at Rs 1645 on the BSE today.