Jinkushal Industries, one of the growing construction machine exporters, has submitted its DRHP with the market regulator SEBI to float an IPO (Initial Public Offering).
According to the Draft Red Herring Prospectus (DRHP), which was filed on Wednesday, this IPO will be a mixture of a fresh issue of 86.5 lakh shares and an offer for sale (OFS) of up to 10 lakh shares by promoters.
The proceeds raised from the fresh issue will be used to meet the working capital requirements, while the remaining funds will be used for the company’s general corporate purposes.
Incorporated on 27 November 2007, Jinkushal Industries Limited is involved in the export trading of new/customised and used/refurbished construction machines such as hydraulic excavators, motor graders, backhoe loaders, soil compactors, wheel loaders, bulldozers, cranes, and asphalt pavers. The company has delivered over 1500 construction machines so far. As per the draft papers, the company has supplied its construction machines to over 30 countries, including the UAE, Mexico, the Netherlands, Belgium, South Africa, Australia, and the UK.
The sole book-running lead manager of the company is GYR Capital Advisors.
As a part of its long-term growth, the company decided to launch its brand HexL for construction machines. The step is taken to shift its strategies of selling the products of other brands to building its own brand. Going forward, the company is planning to expand its business by launching various categories of construction machines, including electric construction equipment and more.
In FY24, the company reported a profit of ₹18.6 crore, recording an 84.3% on-year growth in profit. The company generated a revenue of ₹238.6 crore from operations, showing a 2.2% increase in revenue in comparison to the last year.
Jinkushal Industries IPO Prospectus:
| DRHP Draft Prospectus: | Click Here |
| RHP Draft Prospectus: | To be Updated Soon |
Jinkushal Industries Company Financial Report
Amount ₹ in Crores
| Period Ended | Revenue | Expense | Profit After Tax |
| 2022 | ₹178.98 | ₹167.76 | ₹8.57 |
| 2023 | ₹233.89 | ₹220.53 | ₹10.12 |
| 2024 | ₹242.80 | ₹218.07 | ₹18.64 |
| December 2024 | ₹310.93 | ₹289.01 | ₹18.12 |
Jinkushal Industries IPO Valuation – FY2024
Jinkushal Industries IPO valuations detail like Earning Per Share (EPS), Price/Earning P/E Ratio, Return on Net Worth (RoNW), and Net Asset Value (NAV) details.
| Earning Per Share (EPS): | ₹6.27 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 43.29% |
| Net Asset Value (NAV): | ₹14.48 |
Peer Group Comparison
| Company | EPS | PE Ratio | RoNW % | NAV | Income |
| Action Construction Equipment Limited | 27.56 | 45.21 | 26.69% | 103.28 | 2990.90 Cr. |
| Vision Infra Equipment Limited | 15.43 | 9.49 | 113.75% | 13.56 | 349.66 Cr. |
Objects of the Issue
- To meet the Working Capital Requirements; and
- General Corporate Purposes
IPO Lead Managers aka Merchant Bankers
- GYR Capital Advisors Private Limited
