SJP Ultrasonics IPO

SJP Ultrasonics IPO is a fixed price issue of ₹23.45 crore. The issue is entirely a fresh issue of 35 lakh shares worth ₹23.45 crore.

SJP Ultrasonics IPO opens for subscription on September 30, 2026, and closes on October 5, 2026. The allotment for the SJP Ultrasonics IPO is expected to be finalized on October 6, 2026. SJP Ultrasonics IPO will list on the BSE Small and Medium Enterprises platform, with a tentative listing date of October 8, 2026.

Khandwala Securities Limited is the book-running lead manager, and Maashitla Securities Private Limited is the registrar of the issue. Aftertrade Broking Private Limited is the market maker for the company.

About SJP Ultrasonics Limited

SJP Ultrasonics Limited was incorporated on January 27, 2012, as SJP Ultrasonics Private Limited under the Companies Act, 1956. The company was subsequently converted into a public limited company, with its name changed to SJP Ultrasonics Limited and a fresh certificate of incorporation issued on November 16, 2023. The company is headquartered in Vasai East, Palghar, Maharashtra, and is promoted by Jignesh Pravinchandra Parekh, Rupal Jignesh Parekh, Parth Jignesh Parekh, Parthvi Jignesh Parekh, and Jignesh Pravinchandra Parekh HUF.

The company is an end-to-end plastic joining and automation solutions provider, offering specialised solutions primarily to the automotive industry as well as the medical, electrical, electronics, textile, fast-moving consumer goods, toys, gift and stationery, food and packaging, defence, and educational sectors. Its business is organised across three major segments: plastic joining solutions, industrial automation, and laser technology solutions. In the financial year ended March 31, 2026, plastic joining solutions contributed ₹1,235.53 lakh, or 46.52% of revenue from operations, while industrial automation contributed ₹1,340.52 lakh, or 50.48%, and laser technology solutions contributed ₹79.72 lakh, or 3.00%.

The company provides start-to-finish plastic joining solutions covering ultrasonic plastic welding, vibration welding, hot plate welding, spin welding, and heat staking welding. Its offerings include feasibility studies, machine procurement, supply and installation, manufacturing and installation of tools, as well as customer training and technical support. It serves mainly automotive Tier 1 suppliers supplying to original equipment manufacturers, while also catering to medical, electrical, electronics, gift and stationery, textile, food cutting, agriculture, defence, educational institutions, and furniture industries. The company also manufactures hot plate welding machines, spin welding machines, and heat staking machines, while certain ultrasonic plastic and vibration welding machines are imported from international manufacturers and customised tools are manufactured in-house.

The company follows a business-to-business model and has a pan-India customer base across multiple industries. It has expanded its geographical presence through offices and demonstration centres in Vasai and Pune in Maharashtra, Gurugram in Haryana, and Chennai in Tamil Nadu. As of March 31, 2026, the company had 64 ongoing purchase orders with an order book of ₹2,118.56 lakh. As of March 31, 2026, the company had 84 permanent employees.

Industry Outlook

India’s industrial sector recorded 7.9% year-on-year growth in financial year 2026, up from 7.3% in financial year 2025, while its contribution to gross value added increased marginally from 29.4% to 29.5%. The broader industrial expansion provides a supportive environment for investments in automation and manufacturing technology.

India’s industrial automation market is projected to grow from USD 19.40 billion in financial year 2026 to USD 29.43 billion by financial year 2029, implying a compound annual growth rate of 14.9%. The growth is expected to be driven by digital transformation, productivity requirements, and increasing integration of smart manufacturing systems.

India recorded 9,123 industrial robot installations in financial year 2025–26, representing a 7% increase over the previous fiscal year and making India the sixth-largest country globally in annual industrial robot installations. Annual installations are expected to cross 10,000 units as automation adoption expands.

India’s industrial robotics market is projected to reach USD 1.36 billion in calendar year 2026, with annual robot installations expected to exceed 10,000 units, indicating increasing adoption of robotics within manufacturing operations.

The automation industry is increasingly shifting towards Industry 4.0 and smart manufacturing, with technologies such as artificial intelligence, machine learning, Industrial Internet of Things, real-time data analytics, robotics, cloud-based automation, and edge computing becoming integral to industrial operations.

Automation adoption is expanding beyond established users such as automotive, electronics, and pharmaceuticals into fast-moving consumer goods, textiles, food processing, and intralogistics, creating additional addressable markets for automation solution providers.

Mid-sized enterprises and micro, small, and medium enterprises are expected to be an important source of future demand, with manufacturers increasingly seeking scalable and cost-effective automation systems suited to Indian operating conditions. However, capital expenditure requirements and return-on-investment concerns remain barriers to faster adoption among smaller enterprises.

Government initiatives are supporting the development of India’s Industry 4.0 ecosystem. Under the SAMARTH Udyog Bharat 4.0 initiative, four operational smart advanced manufacturing centres had been established as of February 6, 2026, while 10 additional Industry 4.0 centres were planned under Phase II of the Capital Goods Scheme.

The Production-Linked Incentive framework is also supporting manufacturing expansion. As of December 31, 2025, the 14-sector framework had attracted more than ₹2.16 lakh crore of realised investment, generated more than ₹20.41 lakh crore in production or sales, and supported over ₹8.30 lakh crore in exports, strengthening the broader manufacturing ecosystem that drives demand for automation.

SJP Ultrasonics IPO Objectives

The company proposes to utilise the net proceeds from the IPO for the following objectives:

• Towards funding capital expenditure towards the purchase of machineries
• Funding working capital requirements of the company
• Towards general corporate expenses.

Financial Performance of SJP Ultrasonics Limited

SJP Ultrasonics Limited Peer Details Comparison 

• Strengths and Opportunities of SJP Ultrasonics IPO

The Company operates as an end-to-end plastic joining and automation solutions provider, covering design and engineering, feasibility studies, equipment procurement, manufacturing of machines and tools, installation, testing, commissioning, and operational support, enabling it to provide integrated solutions across the customer lifecycle.

The Company has established long-standing relationships with raw material and equipment suppliers and customers, while its association with international manufacturers enables it to coordinate and procure ultrasonic and vibration welding machines within prescribed timelines.

The Company has a diversified product and industry portfolio, offering plastic joining, industrial automation, and laser technology solutions across automotive, medical, electrical, electronics, FMCG, packaging, defence, textile, furniture, and other industries. In FY2026, Industrial Automation contributed ₹1,340.52 lakh or 50.48% of revenue, while Plastic Joining Solutions contributed ₹1,235.53 lakh or 46.52%.

The Company has demonstrated strong financial growth, with revenue from operations increasing from ₹1,521.07 lakh in FY2024 to ₹2,655.77 lakh in FY2026, while EBITDA increased from ₹541.50 lakh to ₹823.81 lakh and profit after tax rose from ₹340.20 lakh to ₹524.26 lakh over the same period.

The Company has a visible order pipeline, with 64 confirmed purchase orders aggregating to ₹2,118.56 lakh as of March 31, 2026. It also proposes to deploy ₹1,321.64 lakh from the Issue proceeds towards machinery to enhance in-house manufacturing capabilities and production efficiency.

The Company is positioned to benefit from growing domestic and global demand for industrial automation and plastic joining solutions, supported by government initiatives promoting industrial automation. The Prospectus identifies these as key opportunities, while the Industry Overview highlights India's industrial automation solutions market increasing from USD 8.40 billion in FY2020 to USD 19.40 billion in FY2026 and projected to reach USD 29.43 billion by FY2029, representing a 14.9% CAGR.

• Risks and Threats of SJP Ultrasonics IPO

A significant portion of revenue is concentrated in the Plastic Joining Solutions and Industrial Automation segments, which together contributed ₹2,576.05 lakh, or 97.00% of revenue from operations, in FY2026. Any decline in demand, pricing pressure, increased competition, or technological changes affecting these segments could materially impact the Company’s revenue and profitability.

The Company has a high dependence on a limited number of large customers, with its top 10 customers contributing ₹1,468.08 lakh or 55.28% of total revenue in FY2026, compared with 42.57% in FY2024. The top five customers alone contributed ₹1,023.07 lakh or 38.52% in FY2026, exposing the Company to revenue volatility and customer concentration risk.

The Company has significant dependence on a concentrated supplier base, with its top 10 suppliers accounting for 68.23% of total purchases in FY2026, up from 58.76% in FY2025. Further, the Company does not have contractual agreements with its raw material and equipment suppliers, while certain specialised equipment, including ultrasonic welding machines, is imported, exposing it to supply disruptions, cost increases, and lead-time risks.

The Company has experienced negative operating cash flows in recent years, with net cash from operating activities of ₹(287.68) lakh in FY2025 and ₹(269.87) lakh in FY2026, compared with ₹14.94 lakh in FY2024. Sustained negative cash flows could constrain working capital, capital expenditure, and the Company’s ability to fund future growth without additional financing.

The Company is heavily dependent on its Promoters and Key Management Personnel, particularly Jignesh Parekh and Rupal Parekh, for strategic guidance, customer and supplier relationships, and day-to-day operations. The Prospectus states that the loss or departure of key personnel, or inability to find suitable replacements in a timely manner, could adversely affect business operations and growth.

The Company operates in an increasingly competitive industrial automation and plastic welding market, where traditional automation system integrators, global original equipment manufacturers, and emerging Indian specialised solution providers compete on technology, application engineering, pricing, service responsiveness, and Industry 4.0 capabilities. The Prospectus also identifies increasing competition as a specific threat, while noting challenges such as high capital costs, skilled manpower shortages, slower automation adoption among small and medium enterprises, and dependence on imported components.

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