Phychem TechnologiesIPO Review — Financials, Valuation & Peers
A data-only look at the Phychem Technologies IPO: restated financials, valuation ratios, the RHP peer group and third-party analyst views. ipostation does not rate IPOs — nothing here is a recommendation.
Financials (₹ Cr)
| Period Ended | Revenue | PAT | EBITDA | Net Worth | Total Assets | Borrowings | EPS (₹) |
|---|---|---|---|---|---|---|---|
| FY 2023 | 43.19 | 1.32 | 1.84 | 5.16 | 14.73 | 4.9 | — |
| FY 2024 | 47.59 | 1.69 | 2.76 | 6.86 | 17.83 | 5.61 | — |
| FY 2025 | 51.11 | 2.84 | 4.37 | 9.7 | 20.75 | 4.59 | 3.77 |
Restated figures from the offer document. Amounts in ₹ crore; EPS in ₹ per share. FY = the 12 months ended 31 March.
KPIs & Valuation
- P/E (pre-issue)
- 14.32x
- P/E (post-issue)
- 19.42x
- RoNW
- 29.3%
- RoE
- 34.33%
- RoCE
- 31.99%
- Debt / Equity
- 0.47
- EPS (pre-issue)
- ₹3.77
- EPS (post-issue)
- ₹2.78
- EBITDA Margin
- 8.68%
- PAT Margin
- 5.65%
- P/BV
- 4.2x
- NAV / share
- ₹12.86
- Market Cap
- ₹55.3 Cr
As of 31 Mar 2025 (latest reported period in the offer document). Market cap is computed on a post-issue basis at the upper price band.
Promoters & Shareholding
Promoters: Umakant Savadekar, Ulka Umakant Savadekar, Nivrutti Sonu Savdekar and Vijaya Nivrutti Savdekar
- Holding (pre-issue)
- 100%
- Holding (post-issue)
- 0%
- Dilution
- 100%
Analysis in brief
Margin and return profile
Away from the price multiples, the offer document also discloses the shape of the underlying business. Phychem Technologies operates at an EBITDA margin of 8.68% and a net (PAT) margin of 5.65% — the share of revenue retained at the operating and the net level respectively. Capital efficiency reads at a return on capital employed (RoCE) of 31.99% and a return on equity (RoE) of 34.33%. At the upper band, the post-issue market capitalisation works out to about ₹55.3 crore. These are offer-document figures for the latest reported period (as of 31 Mar 2025); they describe the business as disclosed, not how the stock will trade.
Objects of the issue
Per the offer document, the company intends to deploy the net proceeds primarily toward funding the capital expenditure towards procurement of plant and machinery (₹4.86 crore), alongside repayment in full or in part, of certain of our outstanding borrowings (₹3 crore). In all, 4 objects are disclosed.
Financials
In FY2025, Phychem Technologies reported revenue of ₹51.11 crore and a net profit of ₹2.84 crore. Revenue grew from ₹43.19 crore in FY2023 to ₹51.11 crore in FY2025 (+18.0%). Net worth stood at ₹9.7 crore at the end of FY2025. At the upper band, that puts the issue at roughly 14.3× FY2025 earnings (P/E), a figure worth comparing against listed peers in the sector.
Valuation
At the upper band, the issue is priced at 19.42× post-issue earnings and 4.2× book value, against a return on net worth of 29.3% and a debt-to-equity ratio of 0.47. These ratios come from the offer document and are for comparison, not a recommendation.
Promoters
The promoters of the company are Umakant Savadekar, Ulka Umakant Savadekar, Nivrutti Sonu Savdekar and Vijaya Nivrutti Savdekar. Promoter holding stands at 100% before the issue and comes down to 0% after listing.
Frequently asked questions
- Who are the promoters of Phychem Technologies and what is their holding?
- The promoters are Umakant Savadekar, Ulka Umakant Savadekar, Nivrutti Sonu Savdekar and Vijaya Nivrutti Savdekar. Promoter holding is 100% before the issue and 0% after listing.
- What is the P/E ratio of the Phychem Technologies IPO?
- At the upper price band, the Phychem Technologies IPO is valued at 14.32× pre-issue earnings and 19.42× post-issue earnings, based on the financials disclosed in the offer document.
- What are the objects of the Phychem Technologies IPO?
- The net proceeds go primarily toward funding the capital expenditure towards procurement of plant and machinery, among 4 disclosed objects.