Jay Bee Laminations IPO Review

Established in 1988, Jay Bee Laminations Limited, currently manufactures and supplies range of products such as electrical laminations, slit coils, and assembled cores made of Cold Rolled Grain Oriented Silicon steel and Cold-Rolled Non-GrainOriented Steel for applications in transformers, UPS, and inverters, for end-use in power industry.

Mr. Mudit Aggarwal, Promoter and Managing Director of the Company, brings over a decade of expertise, onboarding new generation innovations, overseeing all facets of the business operations, including product quality, operational efficiencies, business development, and strategy execution, encompassing procurement, production, logistics, and sales strategies for their products.

Financially, Jay Bee revenue jumped from ₹14,167.39 Lakhs in FY22 to ₹24,748.86 Lakhs in FY23 and currently at ₹30,349.561 Lakhs in FY24. Similarly, EBITDA also increased from ₹1,228.61 Lakhs in FY22 to ₹2,334.56 Lakhs in FY23 and currently at ₹3,269.60 Lakhs in FY24. The PAT increased from ₹595.17 Lakhs in FY22 to ₹1,360.00 Lakhs in FY23 and currently at ₹1,935.27 Lakhs in FY24. This indicates a steady financial performance.

For the Jay Bee IPO, the company is issuing shares at a pre-issue EPS of ₹10.75 and a post-issue EPS of ₹8.57. The pre-issue P/E ratio is 13.58x, while the post-issue P/E ratio is 17.03x against the industry P/E ratio is 67.00x. The company's ROCE for FY24 is 39.23% and ROE for FY24 is 36.42%. These metrics suggest that the IPO is fairly priced.

The Grey Market Premium (GMP) of Jay Bee potential listing gains of 70% - 75%. Given the company's financial performance and the valuation of the IPO, we recommend Risky Investors to Apply to the Jay Bee Laminations Limited IPO for Listing gain or long term investment purposes.