Indobell Insulation IPO Review

Indobell Insulations Limited stands as a Manufacturer and Contractor of Insulation Products like Nodulated/Granulated Wool (Mineral and Ceramic Fibre Nodules) and Prefabrication Thermal Insulation Jackets which are used to insulate a variety of applications, including homes, commercial buildings, and industrial plants and all other related insulations materials which are the parts of the designs of insulations of the Company.

The Company believes, role of management is equally important as to that of their employees for growth of the business, and accordingly they have placed an experienced management team to look after various facets of operations. The Company is promoted by Mr. Vijay Burman who has an experience of more than 52 years in the Insulations and related industry. Further, their management team comprises of individuals having adequate experience in their respective fields. 

The Revenues from operations for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 556.30 Lakh, ₹ 1,798.57 Lakh, ₹ 2,105.22 Lakh and ₹ 977.31 Lakh respectively. The EBITDA for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 86.39 Lakh, ₹ 212.39 Lakh, ₹ 202.13 Lakh, and ₹ 81.49 Lakh, respectively. The Profit after Tax for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 42.39 Lakh, ₹ 103.26 Lakh, ₹ 90.01 Lakh, and ₹ 15.34 Lakh respectively. This indicate a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹ 2.52 and post-issue EPS of ₹ 1.64 for FY24. The pre-issue P/E ratio is 18.25x, while the post-issue P/E ratio is 28.06x. The company's ROCE for FY24 is 28.15%, ROE for FY24 is 18.21% and RoNW 18.21%. The Annualised EPS based on the latest financial data is ₹ 2.08 and PE ratio is 22.11x. These metrics suggest that the IPO is fully priced.

The Grey Market Premium (GMP) of Indobell Insulation showing potential listing gains of 0.00%. Given the company's financial performance and the valuation of the IPO, we recommend Investors to Avoid to the Indobell Insulation 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.