Ellenbarrie Industrial Gases IPO Review

Ellenbarrie Industrial Gases Ltd (“EIGL”) is one of the oldest operating industrial gases companies in India, with a rich legacy of over 50 years. It is the largest 100% Indian owned industrial gases company in terms of installed manufacturing capacity, revenue and profitability in Fiscal 2024. EIGL operates one of the largest oxygen plants in India, with a capacity of 1250 TPD as of March 31, 2024.

The company has the experience of their Chairman and Managing Director, Padam Kumar Agarwala, who has over 40 years of industry experience, and their Joint Managing Director, Varun Agarwal, who has over 15 years of industry experience.

The Revenues from operations for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹  3,484.32 Million, ₹ 2,902.03 Million and ₹  2,237.10 Million. The EBITDA for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were ₹ 1,456.85 Million, ₹  822.58 Million and ₹ 521.91 Million. The Profit after Tax for the Fiscals ended on Mar 31, 2025, 2024 and 2023 were were ₹  832.89 Million, ₹ 452.89 Million and ₹ 281.42 Million respectively. This indicates a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹  6.36 and post-issue EPS of ₹ 5.91 for FY24. The pre-issue P/E ratio is 62.89x, while the post-issue P/E ratio is 67.69x against the Industry P/E Ratio is 141x. The company's ROCE for FY24 is 13.71%, ROE for FY24 is 16.88% and RoNW is 24.97%. These metrics suggest that the IPO is fairly priced.

The Grey Market Premium (GMP) of Ellenbarrie Industrial Gases 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 Ellenbarrie Industrial Gases 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. 1.“Registration granted by SEBI, membership of a SEBI recognized supervisory body (if any) and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.” 2. “Investment in securities market are subject to market risks. Read all the related documents carefully before investing.” 3. To read the Disclaimers, Disclosures, Investor Charter, Investor Complaints please visit our website abhayvarn.com

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.