All E Technologies Limited

Started in 2000, All E Technologies Limited ( Alletec ) is a Microsoft Business Applications & Digital Transformation company. In this age of relentless transformations powered by forces of the digital era, Alletec helps clients stay ahead with Intelligent Business Applications. Leveraging the suite of Microsoft Dynamics 365, Power Platform, Data & AI - powered by Microsoft Azure & Collaboration platforms – their industry solutions and services prepare clients to win in this volatile, uncertain, changing and ambiguous business environment. Company helps in bringing together - Company & Customers, Factory & Field Service, Store Front & Supply Chain, Patients & Providers, People & Governments - by putting in place integrated operational systems of ERP, CRM, Collaboration Portals, Mobile Apps, and enable businesses to draw actionable insights from data. They provide consulting services for solution assessments, provide product licenses, carry out solution implementation, provide solution enhancements and on-going support. They also provide offshore technology services to some large Microsoft Business Applications partners from the USA and Europe. Most of employees of Company have been operating from their homes since March 2020. They have been provided with adequate resources in relation to power, online server system and Laptops. The total strength of manpower as on date of this prospectus is 330 employees. As per financial performance, AETL has posted total income/net profits of Rs 55.29 Cr / Rs 2.33 Cr (FY20), Rs 63.27 Cr / Rs 8.66 Cr  (FY21), Rs 72.34 Cr / Rs 8.59 Cr (FY22) and Rs 23.20 Cr / Rs 2.96 Cr (Q1FY23). So company has shown good results with growth. Company has posted an average EPS of Rs 3.69 and average RoNW of 22.20% for last three fiscals. Issue is priced at a P/B of 2.90  as per NAV of Rs 31.01 as on 30.06.22. As per FY22 earnings on fully diluted equity post issue, asking price is at P/E of around 21.16 and as per annualised FY23 earnings P/E is 15.37. Comparison between listed peers is shown in above table. On BRLM's front, Unistone Capital Private Limited is associate with this IPO, and have handled around 5 IPOs in last three fiscals. From last 5 IPOs, one opened below issue price and remaining above issue price or at par on the day of listing. As of now, from last 5 IPOs, one is trading below issue price and remaining above issue price or at par.  ( As on 02.12.22 ) As per financials, AETL has shown good results, RoNW is 24.61% and P/E is respectively 21.16 and 15.37 as per FY22 and annualised FY23 earnings, which looks fairly priced. Company is in IT related services and has good growth opportunity, but also high competition. Performance of BRLM is good. So we are giving SUBSCRIBE rating to this IPO.

• 1 Dr. Ajay Mian
• 2  Dr. Suman Mian