Shri Ahimsa Naturals IPO Review

Shri Ahimsa Naturals Limited (Formly Shri Ahimsa Mines And Minerals Ltd.) is presently engaged in the extraction, manufacturing, of Caffeine Anhydrous Natural, Green Coffee Bean Extracts (GCE) and Crude Caffeine along with trading of other herbal extracts. Their products find their application in the food & beverage, nutraceuticals, cosmetics and pharmaceutical industries due to their health benefits. 

The Company is led by the Individual Promoters namely Mr. Nemi Chand Jain, Mr. Amit Jain, Mrs.Sumitra Jain and Mr. Sumit Jain. Mrs. Prerna Jain. Their Individual Promoters, except for Mrs. Sumitra Jain and Mrs. Prerna Jain, have an extensive experience in the industry in which they operate and have been intimately involved in the business.

The Revenues from operations for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 5,894.23 Lakh, ₹  10,613.98 Lakh, ₹  7,870.39 Lakh and ₹ 4,137.12 Lakh respectively. The EBITDA for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 1,438.88 Lakh, ₹ 2,742.21 Lakh, ₹ 5,246.20 Lakh, and ₹ 1,812.69 Lakh, respectively. The Profit after Tax for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 974.45 Lakh, ₹ 1,866.73 Lakh, ₹ 3,820.80 Lakh, and ₹ 1,102.15 Lakh respectively. This indicates a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹ 10.19 and post-issue EPS of ₹ 8.00 for FY24. The pre-issue P/E ratio is 11.68x, while the post-issue P/E ratio is 14.87x. The company's ROCE for FY24 is 25.69%, ROE for FY24 is 22.25% and RoNW 22.25%. The Annualised EPS based on the latest financial data is ₹ 10.5 and PE ratio is 11.33x. These metrics suggest that the IPO is fairly priced.

The Grey Market Premium (GMP) of Shri Ahimsa Naturals 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 Shri Ahimsa Naturals 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.