Sahana System Ltd. is an India-based IT company offering a range of services involving web app development, mobile application development, AI & ML development, UI/UX Design, SEO & ASO, digital marketing, cyber securities and IT services outsourcing, etc.
It operates primarily in two business lines: IT services and hardware trading.
The company caters to industries including healthcare, surveillance, retail, restaurant, education, e-learning, banking, media & entertainment, fintech etc.
Sahana System Limited IPO Details
Retail investors can bid for the Sahana System Limited IPO that will open on May 31, 2023. It is a 100% fresh equity share IPO containing 2,425,000 shares worth Rs. 32.74 crore.
The upper and lower limits are respectively fixed at Rs. 132 and Rs. 135 per share.
The initial public offering will list on the NSE exchange on June 12, 2023.
Sahana System Limited IPO Objective
The objectives of Sahana System Limited's IPO are listed below.
- To spend on instaling new EV stations
- Meet the working capital requirements and general corporate purposes
- To meet issue expenses
Should you invest in Sahana System Limited?
Here are a few important reasons to consider before investing in the IPO:
- The company is diversifying into the EV segment by undertaking projects to install EV charging stations. It has signed a tripartite agreement with NREDCAP, a government agency, as an empanelled partner.
- The company offers a diversified product portfolio that includes IT services and hardware trading.
- The end-to-end IT service covers each stage of the business life cycle.
- The company’s international client base is spread across Argentina, Saudi Arabia, America, and Canada.
Competitive Peers
There is no comparable peer company listed in India engaged in the same business line. Hence, a strict comparison is not possible.
Highlights of Sahana System Ltd.
- The contribution from the top 10 customers in revenue from operations in the last three fiscal years was 74.33% in FY21, 91.46% in FY22, and 82.68% in FY23.
Sahana System Company Financials
| Particulars | Year ending on March 31, 2023 (₹ Lakh) | Year ending on March 31, 2022 (₹ Lakh) |
|---|---|---|
| Revenue from Operations | 2414.23 | 1,217.39 |
| Profit After Tax (PAT) | 639.64 | 141.18 |
| PAT Margin | 26.49% | 11.60% |
| EBITDA | 967.46 | 277.70 |
| EBITDA Margin | 40.07% | 22.81% |
| Debt-to-Equity Ratio | 0.44 | 1.13 |
| EPS | 11.48 | 2.54 |
| ROE | 83.52% | 60.14% |
Know before investing
Strengths
3It offers end-to-end IT services.
It’s a CMMI Level 3 company.
Sahana System has received several awards and accolades.
Risks
3The company operates in a highly competitive and fragmented market with many players.
The company was founded in 2020. Hence, there isn’t enough financial data on which to base investment decisions.
The company has no experience in the business of installing EV charging stations.
