SJP Ultrasonic
What they do: Manufactures and supplies industrial machinery/equipment, with issue proceeds targeted toward capacity expansion, working capital and general corporate needs.
By IPO Milega Research · Published · Updated
Limited financial history is provided in the extracted data, so revenue, profit and balance-sheet figures cannot be assessed from the numeric JSON.
- Listing gain
- +10.75%
- Listed at ₹74.2
- Subscribed
- 1.82x
- Total
- Retail odds
- 100%
- 1 in 1
GMP is an unofficial grey market indication. GMP updated 11 Oct, 18:05 IST.
- Price band
- ₹67
- Lot size
- 4000 shares
- Min. investment
- ₹2,68,000
- Issue size
- 23.45 Cr.
- Open30 Sept 2026
- Close5 Oct 2026
- Allotment6 Oct 2026
- Listing8 Oct 2026
Overview
Estimated from the current subscription figures. Tap a category to work it out for your application size.
- QIB
- 0x
- NII
- 1.86x
- Retail
- 1x
₹67 (+0.00%)
GMP trend
Unofficial grey market quotes, times in IST
Where the money goes
- To the company
- ₹22 Cr
- Fresh issue
- To selling shareholders
- ₹0 Cr
- No offer for sale
- Funding Capital Expenditure towards the Purchase of Machineries₹13.22 Cr54%
- Funding working capital requirements of the Company₹4.92 Cr20%
- General Corporate Purposes₹3.05 Cr13%
- Issue Expenses₹3.16 Cr13%
Outer ring: estimated gain
How the score adds up
The overall score is the average of these five, nudged by QIB demand once bidding closes.
- Financials4.0
- Performance7.0
- Flexibility6.0
- Timing6.0
- Risk4.0
GMP is unavailable, so this estimate is based on fundamentals only. The company shows strong FY24-FY26 revenue and PAT growth, healthy FY26 operating margins, a solid order book, and export/expansion potential. However, gains may be capped by weak operating cash flow, receivables stress, customer concentration, compliance lapses, and SME listing volatility. Overall listing upside appears moderate rather than aggressive.
Strengths5
- Expanded revenue across three years while maintaining profitability.
- Built a 64-order order book worth ₹2,118.56 lakh as of FY26 end.
- Maintained high installed-capacity utilisation of 89%-90%.
- Scaled international revenue from nil in FY24 to ₹366.97 lakh in FY26.
- Established presence across multiple Indian states with offices/demo centres in Maharashtra, Haryana and Tamil Nadu.
Concerns5
- Revenue is highly concentrated in two segments, making earnings sensitive to demand or pricing changes.
- Trade receivables are high relative to revenue, increasing collection and working-capital strain risk.
- EPF and ESIC registration were obtained only in June 2024, with alleged past non-compliance exposure.
- Statutory filing delays and lapses indicate governance and compliance weaknesses.
- Outstanding tax and criminal proceedings, though limited, create contingent liability and reputational risk.
Who gets shares
- QIB50%
- NII15%
- Retail35%
- Retail Minimum2,68,0002 lots, 4000 shares
- Retail Maximum2,68,0002 lots, 4000 shares
- S-HNI Minimum4,02,0003 lots, 6000 shares
| Application | Lot size | Shares | Amount |
|---|---|---|---|
| Retail Minimum | 2 | 4000 | 2,68,000 |
| Retail Maximum | 2 | 4000 | 2,68,000 |
| S-HNI Minimum | 3 | 6000 | 4,02,000 |
Timing
6.0/10Overall timing is neutral to moderately favorable. The structure reduces listing and subscription risk through 100% underwriting and market-making support, which is helpful for a smaller SME issue. At the same time, the fixed-price format, absence of IPO grading, and no pre-IPO placement suggest limited signal of heightened market appetite, so the issue seems more opportunistic than strongly advantaged by market conditions.
- Time to market
- The offering is reasonably prepared for market launch because key execution supports are in place: underwriting, market making, and a defined SME route. That said, the text does not indicate a particularly strong strategic window, unique demand momentum, or sector-specific tailwind, so the time-to-market advantage is moderate rather than strong.
- How allotment works
- Basis of allotment finalized and shares credited to demat
- Market timing
- Neutral
- Time to market
- 6.0
- Listing on
- BSE SME
Key milestones
- 30 Sept 2026IPO Opens
- 5 Oct 2026IPO Closes
- 6 Oct 2026Basis of Allotment
- 7 Oct 2026Refunds Initiated
- 7 Oct 2026Credit to Demat Account
- 8 Oct 2026Listing Date
Financials
4.0/10- Revenue
- ₹26.63 Cr
- +25.9%
- Profit after tax
- ₹5.24 Cr
- +25.7%
- Net margin
- 19.7%
- -0.0 pts
- Assets
- ₹35.2 Cr
- +30.1%
- Return on equity
- 30.01%
- Debt to equity
- 0.64
- ROCE
- 38.49%
- Return on net worth
- 26.10%
- NAV per share (₹)
- 21.28
- Price to book
- 4.26
Financial performance trend
Amount ₹ in croresLimited financial history is provided in the extracted data, so revenue, profit and balance-sheet figures cannot be assessed from the numeric JSON. Operationally, the issue is a 100% fresh issue to fund capex, working capital and general corporate purposes. The company has moderate borrowings, mainly working capital debt, but no debt repayment is proposed.
Borrowings comprise secured loans of ₹577.47 lakhs and unsecured loans of ₹72.83 lakhs, totaling about ₹651.00 lakhs. The IPO does not propose any debt repayment, so leverage is not directly reduced by issue proceeds and remains a mild to moderate consideration.
Fresh issue goes to the company. OFS goes to the selling shareholders.
None. The issue is entirely a fresh issue by the company.
The company is raising capital for machinery capex, working capital and general corporate purposes. There is no OFS, so no existing holders are cashing out.
Risk
4.0/10Read this score as a safety rating: 10/10 means the lowest risk, 1/10 the highest.
Where the risks sit
- Financial risks3
- Market risks4
- Operational risks4
- Regulatory risks4
Elevated business concentration, receivables, compliance lapses and minor litigation create meaningful execution and regulatory risk; market price volatility may also be high post-listing.
How the company offsets these
Monitor receivables, strengthen compliance controls, regularize filings, resolve EPF/ESIC and tax matters, and reduce segment dependence through diversification.
Financial risks3
- High trade receivables and delayed collections may weaken liquidity and working capital.
- Outstanding tax demands and litigation may require cash outflows.
- Settlement/payment obligations are to be met from internal accruals, not IPO proceeds.
Market risks4
- Unlisted shares may face significant post-listing price and volume volatility.
- Active trading may not develop or may not be sustained.
- Future issuances or shareholder sales may dilute holdings and depress market price.
- Circuit breaker limits may restrict selling flexibility.
Operational risks4
- Revenue concentration in Plastic Joining Solutions and Industrial Automation.
- Delayed receivables have already contributed to borrowing stress and repayment default.
- Statutory filing delays suggest internal control and governance weaknesses.
- Dependence on timely settlement/withdrawal of residual proceedings.
Regulatory risks4
- EPF/ESIC registration delays with alleged non-payment exposure to fines/penalties and possible imprisonment.
- Tax proceedings outstanding at company and director level.
- Potential penalties from compliance lapses must be paid from internal accruals.
- Regulatory scrutiny may arise from filing delays and employment-law non-compliance.
Performance
7.0/10The company has delivered strong revenue and profit growth over FY24-FY26, with EBITDA and PAT expanding steadily and healthy operating margins around 31% and 20% in FY26. Execution appears capable, supported by an order book of ₹2,118.56 lakh, 89%-90% capacity utilisation, and a diversified B2B offering across plastic joining, industrial automation, and laser solutions. However, margins have softened from FY24 levels, operating cash flows were negative in FY25 and FY26, and customer/supplier concentration remains material.
- Historical growth
- Revenue from operations grew from ₹1,521.07 lakh in FY24 to ₹2,105.73 lakh in FY25 and ₹2,655.77 lakh in FY26, implying ~37.5% CAGR over FY24-FY26. PAT rose from ₹340.20 lakh to ₹417.25 lakh to ₹524.26 lakh, while EBITDA increased from ₹541.50 lakh to ₹683.68 lakh to ₹823.81 lakh., Strong, sustained top-line growth with moderate margin compression; revenue +38.44% in FY25 and +26.12% in FY26, PAT +22.65% and +25.65% respectively.
- Market comparison
- The company operates in a fast-growing domestic industrial automation market, which the prospectus says is expected to grow from USD 19.40 billion in FY26 to USD 29.43 billion by FY29. Relative to that backdrop, SJP appears smaller and more niche than large automation players, but its end-to-end, customised offering and automotive linkage are differentiators. Compared with peers, its margins are respectable, but weaker operating cash flow and high customer concentration make it less robust than stronger listed industrial-tech peers.
- Future potential
- Positive, supported by industry tailwinds, international expansion plans, and planned capex to improve manufacturing capacity and efficiency. Growth outlook is aided by rising automation adoption, export opportunities and domestic industrial capex.
- Operational consistency
- The business has operated since 2012 and shows repeatable order execution, high capacity utilisation and a diversified industrial customer base. The main inconsistency is in working-capital absorption, reflected in negative operating cash flow and rising inventories/receivables.
- Experience
- Promoter Jignesh Parekh is described as having extensive experience in plastic joining solutions, industrial automation and laser technology solutions, supported by qualified key managerial personnel and in-house design, quality, and project teams.
- Track record
- The promoter-led team has guided the company since incorporation in 2012 through revenue expansion, product diversification and geographic spread, but the prospectus also notes dependence on a small pool of key personnel and a history of compliance gaps (EPF/ESI registration delayed until June 2024).
Key achievements
- 01Expanded revenue across three years while maintaining profitability.
- 02Built a 64-order order book worth ₹2,118.56 lakh as of FY26 end.
- 03Maintained high installed-capacity utilisation of 89%-90%.
- 04Scaled international revenue from nil in FY24 to ₹366.97 lakh in FY26.
- 05Established presence across multiple Indian states with offices/demo centres in Maharashtra, Haryana and Tamil Nadu.
Flexibility
6.0/10It serves multiple sectors beyond automotive, has started international sales, and plans expansion into the US, Europe, Africa and the Middle East. Its solutions are customized and industry-agnostic to an extent, which supports adaptation to changing demand.
Financials are profitable and growing, with revenue rising from ₹1,521.07 lakhs in FY24 to ₹2,655.77 lakhs in FY26 and PAT from ₹340.20 lakhs to ₹524.26 lakhs. But the business is working-capital intensive, has limited financial resources, and relies on IPO funds for capex and working capital; net debt/EBITDA increased to 0.64 in FY26.
The company offers end-to-end design, procurement, manufacturing, testing, installation and maintenance, which supports responsiveness. It also has multi-vendor sourcing, in-house design teams, demo centres in multiple locations, and plans to add machinery to raise capacity and efficiency.
The company shows moderate-to-good adaptability through a diversified product suite across plastic joining, industrial automation and laser solutions, and a customer base spanning multiple industries and geographies. However, flexibility is tempered by dependence on a few key customers, working-capital intensity, and limited financial resources, with IPO funds needed for capex and working capital.
- Product diversification
- Diversified across three revenue streams—Plastic Joining Solutions, Industrial Automation, and Laser Technology Solutions—with applications across automotive, medical, electrical, electronics, FMCG, packaging, defence, textiles and other sectors. Revenue mix has shifted materially between segments over the last three years, indicating some commercial flexibility.
- Future adaptability
- Future adaptability appears reasonably strong because the company is investing in machinery, design software and automation assets to improve capacity and reduce reliance on external machining. Its broad industry exposure, export plans and customized solution model should support further diversification, but execution will depend on successful capital deployment and easing working capital pressure.
Latest on SJP Ultrasonic IPO
The data on this page has been reviewed manually by the IPO Milega research team. It is not investment advice, and IPO Milega accepts no responsibility for losses arising from any investment decision. Investments in the securities market are subject to market risks. Read all the related documents, including the full prospectus, carefully before investing.