CRISIL has reaffirmed 'AAA/Stable/A1+' ratings on the bank facility and debt programme of ACC. The ratings continue to reflect ACC's strong market position in the cement industry and healthy financial risk profile, marked by robust cash flows, conservative gearing, strong debt protection metrics, and sound financial flexibility.

These rating strengths are partially offset by the vulnerability of the company's operating profitability to rising input costs, and its exposure to risks related to the commodity and cyclical nature of the cement industry.

CRISIL believes that ACC will maintain its strong debt protection metrics over the medium term, supported by low debt levels and strong cash flows. The outlook may be revised to 'Negative' if majority stakeholder, Holcim utilises ACC's financial resources to support its group companies, resulting in an adverse impact on the company's financial risk profile. Furthermore, inorganic growth plans or larger-than-expected capex in an adverse operating environment may strain ACC's financial risk profile, and will hence remain key rating sensitivity factors.

Shares of the company gained Rs 5.2, or 0.35%, to trade at Rs 1,487.50. The total volume of shares traded was 13,684 at the BSE (2.28 p.m., Wednesday).