Aeroflex IPO: All You Need to Know About India’s Top Flow Products Maker

[ad_1]

Aeroflex Industries has launched its maiden public offer today for subscriptions. The subsidiary of SAT Industries is an interesting IPO candidate as there is a shareholder reservation (5,00,000 shares) after a long time. Here are some significant highlights on Aeroflex IPO from RHP.

Aeroflex IPO: Business Overview

Established in 1999, Aeroflex Industries stands as a leading manufacturer and provider of eco-friendly metallic flexible flow solution products, catering both globally and domestically. With a remarkable outreach spanning across more than 80 countries, including key markets in Europe and the USA, the company has solidified its position as a key player in the realm of controlled substance flow solutions. These solutions encompass diverse substances such as air, liquid, and solid materials, serving a wide array of industries.

Flexible flow solutions serve as indispensable conduits within industrial and commercial landscapes, facilitating the seamless transfer of substances between diverse points within intricate processes. These solutions play a pivotal role in multiple applications, ranging from fire sprinkler systems and gas distribution to regulated airflow in aircraft, fuel transport, and hydraulic mechanisms within aviation.

Aeroflex IPO: Offer Details

Aeroflex IPO is scheduled to start on 22 August and is likely to remain open through 24 August, with a per-share price range falling between INR 102 to 108. This offering comprises an Offer For Sale (OFS) of 1,75,00,000 shares, alongside a Fresh Issue of INR 162 crore, summing up to a comprehensive offering value of INR 351 crore. The minimum bid size is 130 shares, amounting to INR 14,040, and retail investors will be allotted 35% of the shares. The IPO will be listed on both BSE and NSE.

Aeroflex IPO: Diverse Product Portfolio

The product range of Aeroflex Industries boasts an extensive array of offerings, including braided hoses, unbraided hoses, solar hoses, gas hoses, vacuum hoses, and more. Beyond the hoses themselves, the portfolio extends to encompass various components and fittings, such as interlock hoses, lancing hose assemblies, jacketed hose assemblies, expansion bellows, and exhaust connectors. Impressively, the company boasts over 1,700 unique Product SKUs within its portfolio as of March 31st, 2023.

Aeroflex IPO: Production Capacity

At the heart of Aeroflex Industries’ success is its manufacturing prowess. Positioned as a flagship contributor to the ‘Make-in-India, Make-For-World’ initiative, the company operates with an installed annual capacity of 11 million meters. The sprawling manufacturing facility in Taloja, Navi Mumbai spans an impressive 3,59,528 square feet. This facility is equipped with state-of-the-art machinery, encompassing mechanical and hydraulic corrugation machines, interlocking systems, braiding units, and other assembly equipment. Such technology enables the creation of tailored hoses, braids, assemblies, and fittings, serving as a testament to the company’s dedication to innovation and customization.

The following tables set forth its installed capacity, actual production, and utilization for the manufacturing facility for FY 2023 and FY 2022, and FY 2021.
Production Capacity
Note – K.Jayakanthan, Chartered Engineer, by certificate dated 23 July 2023

Aeroflex IPO: Export-Oriented Business Model

Aeroflex Industries’ revenue stream speaks to its global orientation. Notably, 80.60%, 84.53%, 80.90%, and 74.74% of the company’s revenues in FY 2023, FY 2022, and FY 2021 were derived from exports, respectively. This steadfast commitment to international markets is exemplified by the company’s operations in 51 countries during the fiscal year ending March 31, 2023. This expansive outreach is fueled by the company’s expertise in providing specialized SS flexible flow solutions to a diverse array of industries.

Below are the country-wise exports of the products as a % of its revenue from operations for Fiscal 2023, 2022, and 2021:
country-wise exports

Aeroflex IPO: Financial Performance

Aeroflex Industries’ financial trajectory reflects its commitment to excellence. With a revenue growth of 11.90%, the company achieved INR 269.46 crores in revenue from operations during FY 2023, compared to INR 240.80 crores in FY 2022. Particularly noteworthy is the impressive domestic market revenue surge, which witnessed a remarkable 47.29% growth to INR 43.35 crores in FY 2023 from INR 29.43 crores in FY 2022. Over the span of FY 2021 to FY 2023, the company’s revenue from operations demonstrated a compelling Compound Annual Growth Rate (CAGR) of 36.43%.
Financial Performance

Aeroflex IPO: Customers

The far-reaching impact of Aeroflex Industries is reflected in its customer base, which stood at 723 as of March 31, 2023. In the realm of exports, the company engaged with 217 customers during FY 2023, marking a rise from 190 customers in FY 2022. Moreover, the export market yielded a revenue growth of 6.69%, amounting to INR 217.18 crore in FY 2023 compared to INR 203.56 crore in FY 2022. On the domestic front, the company’s presence remained impactful, serving a total of 506 customers during FY 2023, up from 416 customers during FY 2022.

Original Article

[ad_2]

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *