Unimech Aerospace and Manufacturing IPO Review

Unimech Aerospace and Manufacturing is a global high precision engineering solutions company specializing in manufacturing of complex products with “build to print” and “build to specifications” offering, which involves machining, fabrication, assembly, testing and creating new products basis the specific requirements of the clients for the aerospace, energy and semi-conductor industries.

The Company is promoted and managed by a team of professionals under the leadership of Anil Kumar P (Chairman & Managing Director) -  has experience of more than 20 Years in Manufacturing Industry, Ramakrishna Kamojhala (Whole Time Director & Chief Financial Officer) - Experience of more than 13 Years, Whole Time Director (Mani P, Rajanikanth Balaraman and Preetham S V ) who has also vast experience of more than 20 Years.

The Revenues from operations for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 1,275.77 Million, ₹ 2,137.86 Million, ₹ 949.30 Million and ₹ 370.81 Million respectively. The EBITDA for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 557.49 Million, ₹ 841.96 Million, ₹ 353.27 Million, and ₹ 84.57 Million, respectively. The Profit after Tax for the period ended on Sep 30, 2024, Fiscals ended 2024, 2023 and 2022 were ₹ 386.80 Million, ₹ 581.34 Million, ₹ 228.13 Million, and ₹ 33.92 Million respectively. This indicate a steady growth in financial performance.

The Company Key Performance Indicates the pre-issue EPS of ₹13.23 and post-issue EPS of ₹11.43 for FY24. The pre-issue P/E ratio is 59.33x, while the post-issue P/E ratio is 68.67x against the Industry P/E ratio is 102x. The company's ROCE for FY24 is 54.36%, ROE for FY24 is 53.53% and RoNW 53.53%. The Annualised EPS based on the latest financial data is ₹16.98 and PE ratio is 46.23x. These metrics suggest that the IPO is fairly priced.

The Grey Market Premium (GMP) of Unimech Aerospace and Manufacturing showing potential listing gains of 70.07%. Given the company's financial performance and the valuation of the IPO, we recommend Risky Investors to Apply to the Unimech Aerospace and Manufacturing 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.
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