Avana Electrosystems Limited is a manufacturer of customised Control and Relay Panels ranging from 11kv to 220kv for Power System Monitoring, Control and Protection Applications Transmission Lines, Power Transformers, Bus Bar, Capacitor Bank, etc, for both indoor and outdoor usage, MV and LV Panels, Protection Relays and Substation Automation Systems. These panels are used across various sectors and industries to facilitate the transmission and distribution of electrical power such as in solar power plants, wind power farms, other power generation plants, power transmission stations, electricity board substations, power utilities companies etc. They also manufacture relays, which is a device used in electrical systems to detect faults and protect equipment by analysing electrical parameters and executing protective actions. Company has two manufacturing units (a) Unit I located at – Plot No N-1, 4th Cross 1st Stage, Peenya Industrial Estate, Bengaluru, Karnataka, India (b) Unit II located at - No.8, KIADB Plot. No.35, 1st Main Road, 2nd Phase, Peenya Industrial Area, Nelagadaranahalli Village, Bengaluru, Karnataka, India. The customer mix primarily include governmental power utilities and private sector energy producers. They have the presence across India. They have commenced export of the products to one customer in Kuwait in the Fiscal year 2025-2026. As per financial performance, Avana Electrosystems Limited has posted total income / net profits of Rs 28.58 Cr / 0.92 Cr (FY23), Rs 53.25 Cr / Rs 4.02 Cr (FY24), Rs 62.93 Cr / 8.31 Cr (FY25) and Rs 36.28 Cr / 5.60 Cr (upto Q2 FY26). So as per previous financials data, company has shown good growth, but sudden rise in net-profit just before IPO and higher trade receivables (around 33% of FY25 total sales) raises doubts. As of November 30, 2025, the Company’s has an order book of around Rs 5,223.65 lakhs. Company has an average EPS of Rs 3.23 and average RoNW of 30.64% for last three fiscals. Issue is priced at a P/BV of 3.76 as per NAV of Rs 15.69/- as on 30.09.25. If we attribute latest earnings of FY24, FY25 and annualised FY26 on equity post issue, then asking price is at a P/E of around 33.20, 16.07 and 11.91 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, Indcap Advisors Private Limited is associated with this IPOs, and has handled 2 IPOs in last three fiscal years. From last 2 IPOs, two opened below issue price or at par, on the day of listing. As of now, from last 2 IPOs, remaining all are trading above issue price or at par. ( As on 07.01.26 ) As per financials, Avana Electrosystems Limited has shown good growth, RoNW is 38.13% and P/E is 33.20, 16.07 and 11.91 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fully priced, but sudden rise in net profit just before IPO & higher trade receivables raises doubts. Company is a manufacturer of customised Control and Relay Panels, which is highly competitive business segment. Performance of BRLM is good. So, we give NEUTRAL rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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