Beezaasan Explotech IPO Review

Beezaasan Explotech is one of the few companies in India that has taken a step further in manufacturing world-class explosives with satisfactory services and safety with experience of 60 years in this business, passing from generation to generation. As a company, they utilize their decades of industry and mining experience to meet and exceed customer expectations, which resulted in the development as well as the production of their revolutionary explosive products and services for the customers.

The Company is currently being promoted by Mr. Navneetkumar Radheshyam Somani, Mr. Sunilkumar Radheshyam Somani, Mr. Rajan Sunilkumar Somani, M/s. Navneet R Somani HUF and M/s. Sunil R Somani HUF. The two of the Promoters, Mr. Navneetkumar Radheshyam Somani, Mr. Sunilkumar Radheshyam Somani have an overall 17 years of work experience in this industry. The Promoters manage and control the overall affairs of the Business Operations with their considerable experience in the Industry.

The Revenues from operations for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 10,144.44 Lakh, ₹ 18,789.64 Lakh, ₹ 22,917.41 Lakh and ₹ 14,190.54 Lakh respectively. The EBITDA for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 1,416.03 Lakh, ₹ 1,211.00 Lakh, ₹ 911.01 Lakh, and ₹ 673.27 Lakh, respectively. The Profit after Tax for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ ₹ 832.86 Lakh, ₹ 486.62 Lakh, ₹ 293.57 Lakh, and ₹ 274.25 Lakh respectively. This indicates a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹ 6.04 and post-issue EPS of ₹ 3.75 for FY24. The pre-issue P/E ratio is 28.97x, while the post-issue P/E ratio is 46.68x against the Industry P/E ratio is 90x. The company's ROCE for FY24 is 16.20%, ROE for FY24 is 25.93% and RoNW 20.89%. The Annualised EPS based on the latest financial data is ₹ 16.7 and PE ratio is 10.47x. These metrics suggest that the IPO is fully priced.

The Grey Market Premium (GMP) of Beezaasan Explotech showing listing gains of 0.00 %. Given the company's financial performance and the valuation of the IPO, we recommend Investors to Avoid to the Beezaasan Explotech Limited IPO for Listing gain.

Disclaimer: The information provided in this IPO review is for educational and informational purposes only and should not be construed as financial advice or an offer to buy or sell securities. The review must not be used as a singular basis of any investment decision. The views herein are of a general nature and do not consider the risk appetite or the particular circumstances of an individual investor; readers are requested to take professional advice before investing. Nothing in this document should be construed as investment advice. The content is based on publicly available information and market perceptions as of the date of publication and is subject to change. Neither the author nor the website is responsible for any losses or damages arising from the use of this information. 

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 during the training period. He is good at Technical analysis and Fundamental Analysis and uses both Technical and Fundamental analysis along with five other important factors that affect the movement of the Market namely Global Market Analysis, Upcoming Event Analysis, Institutional Money Analysis, Derivative Data Analysis, and Emotions and Sentiment of Traders and Investors in his Framework called - Technical Fundamental GUIDE to find the winning Trades.