Suraksha Diagnostic IPO Review

The Suraksha brand was established in 1992. In Kolkata, they offer comprehensive pathology and radiology services under one roof. They believe that the combination of their dominant position driven by their operating history in their core geography, extensive network and reputation for providing quality diagnostic services positions them best to continue to grow their business in Kolkata and remaining east Indian and adjacent north-east Indian markets and take advantage of the tailwinds for organized diagnostic chains in the large and fast-growing of the diagnostic services markets in eastern and north-eastern India.

The Promoters of the Company are DR. SOMNATH CHATTERJEE, RITU MITTAL AND SATISH KUMAR VERMA.

The Revenues from operations for the Three Months of September 30, 2024, Fiscals 2024, 2023 and 2022 were ₹618.49 Million, ₹2,222.60 Million, ₹1,936.87 Million and ₹2,257.68 Million, respectively. The EBITDA for the Three Months of September 30, 2024, Fiscals 2024, 2023 and 2022 were ₹217.21 Million, ₹728.39 Million, ₹474.79 Million and ₹652.53 Million, respectively. The Profit after Tax for the Three Months of September 30, 2024, Fiscals 2024, 2023 and 2022 was ₹76.67 Million, ₹231.27 Million, ₹60.65 Million and ₹208.24 Million, respectively.

For the Suraksha Diagnostic IPO, the company is issuing shares at a pre-issue EPS of ₹4.43 and a post-issue EPS of ₹4.41. The pre-issue P/E ratio is 99.55x, while the post-issue P/E ratio is 99.93x against the Industry P/E ratio is 79.65x. The company's ROCE for FY24 is 21.46% and RoE for FY24 is 14.09%. These metrics suggest that the IPO is fully priced.

The Grey Market Premium (GMP) of Suraksha Diagnostic showing potential listing gains of 0%. Given the company's financial performance and the valuation of the IPO, we recommend Investors to Avoid to the Suraksha Diagnostic Limited IPO for Listing gain or long term investment purposes.

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.
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