ARC Insulation & Insulators IPO Review

ARC Insulation and Insulators Ltd. (Formerly known as ARC Insulation & Insulators Private Limited) is a leading manufacturer of high-performance glass fiber reinforced polymer (GFRP) composite products. Founded in 2003 as a proprietorship concern and incorporated in 2008 as a company, has been at the forefront of bringing innovative GFRP solutions to the construction, infrastructure, chemical processing, and other industrial sectors.

Spearheading the company's strategic direction and operational oversight are Mr. Manish Bajoria (Promoter and Managing Director) has more than 16 years of experience and Ms. Neelam Bajoria (Promoter and Executive Director) has over 15 years of industry experience in the field of Management and Leadership skills for Glass fiber Reinforced Polymer and composite product sector and are dedicated to steering the company towards sustainable success through comprehensive leadership and management which is the guiding force behind all the strategic decisions of the Company.

The Revenues from operations for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 3,315.32 Lakh, ₹ 2,883.37 Lakh and ₹ 2,448.01 Lakh. The EBITDA for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 1,293.98 Lakh, ₹ 943.13 Lakh and ₹ 478.69 Lakh. The Profit after Tax for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were were ₹ 856.58 Lakh, ₹ 610.40 Lakh and ₹ 263.81 Lakh respectively. This indicates a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹ 12.15 and post-issue EPS of ₹ 8.32 for FY24. The pre-issue P/E ratio is 10.28x, while the post-issue P/E ratio is 15.03x. The company's ROCE for FY24 is 49.84%, ROE for FY24 is 45.47% and RoNW is 45.47%. These metrics suggest that the IPO is fairly priced.

The Grey Market Premium (GMP) of ARC Insulation & Insulators showing listing gains of 16.00 %.Given the company's financial performance and the valuation of the IPO, we recommend Risky Investors to Apply to the ARC Insulation & Insulators Limited IPO for Listing gain.

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About the Author
CA Abhay Kumar (Also known as  CA Abhay Varn) is a qualified Chartered Accountant by profession and cleared CA at age 21. He is a SEBI Registered Research Analyst with Registration Number - INH300008465. He Possesses 8+ years of experience in the Stock Market Field and has also worked in Big CA firms.