It’s a global energy efficiency solution company offering electrical automation, metering and measuring, and precession engineering through a vertically integrated business model. The company designs, develops, and manufactures devices for the power, automotive, and industrial sectors.
The company is a global leader in manufacturing and supplying analogue panel metres and low-voltage current transformers. It is involved in product innovation with R&D centres in India, Poland, and China. Among 5 manufacturing units, 2 are in India, 2 in Poland and 1 is in China. It caters to a base of 100 customers with a portfolio of 145 product lines.
Rishabh Instruments Ltd. IPO Details
Rishabh Instruments is a fresh IPO and offer for sale worth ₹490.78 crore. The issue comprises 1,11,28,858 shares and is priced at ₹418 to ₹441 per share. Retail investors can bid for the Rishabh Instruments Limited IPO, which will open on August 30, 2023. Rishabh Instruments Limited’s IPO will be listed on the BSE and NSE exchange on September 11, 2023.
Rishabh Instruments Ltd. IPO Objectives
The company proposes to utilise the net proceeds received from the fresh issues in the following areas.
- To finance the expansion of its Nashik manufacturing unit.
- General corporate purposes.
Should you invest in Rishabh Instruments Ltd.?
You may like to consider the following reasons before investing in Rishabh Instruments Ltd. IPO.
- The company is a global player providing electrical automation, meeting and measuring, and precision engineering solutions.
- It has a diversified product suite of 145 items manufactured internally in 5 manufacturing units.
- The company has been operational since 1982 and has a successful operational record with steady growth in revenue and profit.
- The industry in which it supplies its products and services offers an excellent opportunity for growth.
Competitive Peers
There is no comparable company in India or globally that engages in the business line of the company.
Rishabh Instruments Ltd. Noteworthy highlights
- Rishabh Technologies invested Rs.93.56 million towards R&D in Fiscal 2022.
- As a global energy-efficient, solution-providing company, Rishabh Technologies caters to 100+ customers.
Rishabh Instruments Company Financials
| Particulars | 6 months ending September 30, 2022 | Year ending on March 31, 2022 |
|---|---|---|
| Revenue from Operations | 2,622.43 | 4,702.50 |
| Profit After Tax (PAT) | 168.32 | 496.52 |
| PAT Margin | 6.35% | 10.35% |
| EBITDA | 358.07 | 826.32 |
| EBITDA Margin | 13.71% | 17.57% |
| ROE | 4.91% | 14.58% |
Know before investing
Strengths
3The company has abilities to drive technology and innovation to set trends for the industry.
It operates in a vertically integrated model backed by strong manufacturing capabilities.
The company caters to a wide customer base eliminating customer concentration for revenue generation.
Risks
3It’s a manufacturing company so dependent on the smooth performance of its manufacturing facilities for continuous revenue generation.
Most of the net proceeds from the IPO will go to the expansion of the Nashik unit.
Failing to complete projects on time can impact the company’s profitability.
