IPO Overview
Adroit Industries (India) Limited is a vertically integrated manufacturer of propeller shafts and torque-transmission components with over four decades of operational experience, serving automotive — primarily commercial vehicles — and non-automotive applications, including defence and emergency services, heavy equipment and off-highway machinery, and industrial equipment across more than 32 countries. With operations commencing in 1966, the company has evolved into an export-led driveline components manufacturer, with 95.39% of Fiscal 2026 product sales derived from outside India, supported by a Canadian subsidiary for North American customer engagement, and serving 185 customers in Fiscal 2026 through distributors, Tier-1 driveline component suppliers, and OEMs.
Adroit Industries is bringing a Book Built Mainboard IPO worth ₹150.71 crore, comprising a fresh issue of shares worth ₹132.62 crore and an Offer for Sale (OFS) worth ₹18.09 crore. The IPO price band is ₹126 to ₹134 per share with a lot size of 111 shares. The IPO opens on 23 September 2026 and closes on 25 September 2026, with listing expected on BSE and NSE on 30 September 2026.
IPO Detailed Information
Issue Details
| Parameter | Details |
| IPO Type | Book Built – Mainboard |
| Listing Exchange | BSE & NSE |
| Anchor Bidding Date | 22 September 2026 |
| IPO Open Date | 23 September 2026 |
| IPO Close Date | 25 September 2026 |
| Allotment Date | 28 September 2026 (Expected) |
| Refund Initiation | 29 September 2026 |
| Credit to Demat | 29 September 2026 |
| Listing Date | 30 September 2026 (Tentative) |
| Price Band | ₹126 – ₹134 per share |
| Face Value | ₹10 per share |
| Lot Size | 111 shares |
| Minimum Investment (Retail) | ₹14,874 (1 lot = 111 shares at upper price) |
| Issue Size | ₹150.71 crore |
| Fresh Issue | ₹132.62 crore (98,97,000 shares) |
| Offer For Sale (OFS) | ₹18.09 crore (13,50,000 shares) |
Issue Break-up
| Category | Allocation |
| Qualified Institutional Buyers (QIB) | ~50% |
| Non-Institutional Investors (NII/HNI) | ~15% |
| Retail Individual Investors (RII) | ~35% |
OFS / Selling Shareholders
The IPO includes an Offer for Sale component worth ₹18.09 crore (13,50,000 shares). The OFS proceeds will go to the selling shareholders and not to the company. The fresh issue component of ₹132.62 crore will be utilized directly by the company for business expansion.
Objects of the Issue (Fund Utilization)
The company plans to use the IPO proceeds for: funding capital expenditure for machinery, equipment and a transportation vehicle for the Dewas Facility; investment in subsidiary Adroit Driveshafts Private Limited for machinery, equipment, and a transportation vehicle for the Pithampur Facility; and investment in Adroit Driveshafts Private Limited for repayment or pre-payment of certain borrowings. The remainder will be used for general corporate purposes.
- Capital expenditure — machinery, equipment & transportation for Dewas Facility
- Investment in subsidiary (Adroit Driveshafts Pvt. Ltd.) — capex for Pithampur Facility
- Repayment / prepayment of borrowings via subsidiary
- General corporate purposes
Lead Managers & Registrar
- Book Running Lead Manager: Choice Capital Advisors Private Limited
- Registrar to the Issue: Bigshare Services Private Limited
Promoters & Management
- Chairman & Managing Director: Mr. Saurabh Sangla
Mr. Saurabh Sangla, CMD of Adroit Industries (India) Limited, stated that the upcoming IPO marks a new phase for the company, which has built vertically integrated capabilities spanning forging, precision machining, heat treatment, assembly, balancing and testing, and expanded its portfolio to over 5,000 SKUs of driveline components supplied to customers in more than 32 countries.
Company Details
Adroit Industries offers a broad portfolio of torque-transmission components. As of July 31, 2026, it offered 5,250 SKUs across propeller shaft assemblies, yoke components, shaft components, flange components, joint components, and other driveline components. The number of SKUs increased from 3,821 in FY24 to 4,452 in FY25 and then 5,250 as of July 31, 2026.
Sectors Served:
- Commercial Vehicles (Automotive)
- Defence & Emergency Services
- Heavy Equipment & Off-Highway Machinery
- Industrial Equipment
- Passenger Vehicles (SUVs — limited)
Key Products:
- Propeller Shaft Assemblies (Drive Shafts / Cardan Shafts)
- Yoke, Shaft, Flange & Joint Components
- Torque-Transmission Assemblies
- Custom Driveline Components (5,250+ SKUs)
Key Capabilities:
The company’s facilities include CNC machining, forging, heat treatment, and balancing equipment, along with testing equipment such as hardness testers, spectrometers, universal testing machines, and microscopes. It also undertakes dimensional, metallurgical, and flaw detection testing and dynamic balancing of propeller shafts and related components.
Manufacturing Facilities:
- Three manufacturing facilities in Madhya Pradesh — at Dewas, Pithampur, and Sanwer.
- Canadian subsidiary for North American customer engagement
Financial Snapshot
| Period | Revenue from Ops (₹ Cr) | PAT (₹ Cr) |
| FY24 | ₹124.53 | ₹14.53 |
| FY25 | ₹133.89 | ₹18.14 |
| FY26 | ₹139.94 | ₹26.16 |
Key Financial Metrics
- Revenue from operations increased from ₹124.53 crore in FY24 to ₹133.89 crore in FY25 and ₹139.94 crore in FY26. PAT increased from ₹14.53 crore to ₹18.14 crore and ₹26.16 crore over the same period.
- EBITDA margin improved from 13.69% in FY23 to 23.17% in FY25.
- Average EPS for the last two fiscals: ₹25.00; average RoNW: 23.17%. The issue is priced at a P/BV of 2.44x based on NAV of ₹140.81 per share as of December 31, 2025. P/E stands at 15.51x based on FY26 earnings and 28.44x based on FY25 earnings.
- Repeat customers contributed 88.87% of revenue from sale of products in FY25, indicating a significant level of recurring business.
Company Strengths
- Over four decades of operational experience in precision driveline manufacturing, with strong presence in more than 32 countries across North America, Europe, Latin America, the Middle East, Africa, and Asia-Pacific.
- Vertically integrated manufacturing spanning forging, precision machining, heat treatment, assembly, balancing, and testing — all under own facilities
- Predominantly export-oriented business with export sales accounting for 96.27% of revenue from sale of products in FY25 — providing access to premium global markets.
- Repeat customers contributed 88.87% of revenue in FY25, indicating strong client stickiness and long-standing relationships.
- Rapidly expanding product portfolio — from 3,821 SKUs in FY24 to 5,250 SKUs as of July 2026 — demonstrating product depth and engineering capability
- Consistent improvement in EBITDA margins and PAT over recent years, reflecting operational efficiency gains
Key Risks & Challenges
- Export sales accounted for 96.27% of FY25 revenue from the sale of products, resulting in high dependence on overseas markets. The United States contributed 66.68% of export sales in FY25, creating geographic concentration within the export business.
- Top 10 customers contributed 65.91% of FY25 revenue from sale of products, exposing the business to customer-concentration risk. Top 10 suppliers accounted for 90.41% of purchases in FY25, creating significant supplier concentration.
- Net working-capital days stood at 238 days in FY25, reflecting a relatively working-capital-intensive operation.
- The company does not have long-term agreements with its customers, and its sales are largely purchase-order based. Its manufacturing facilities are on long-term leased land, and its registered and corporate offices are on leased premises.
- Overall borrowings of ₹242.57 crore as of December 31, 2025 raise concern. The bumper profit of ₹38.69 crore for 9M-FY26 raises questions over sustainability going forward, and the issue appears fully priced based on these elevated earnings.
- Manufacturing operations are concentrated at facilities in Madhya Pradesh, and a substantial portion of revenue is derived from automotive applications — creating both geographic and sector concentration risks.
Disclaimer:
This document is for informational purposes only and should not be considered as investment advice. Investors should read the Red Herring Prospectus (RHP) carefully and consult a financial advisor before investing in any IPO. Market investments are subject to risk.
