Belrise Industries Limited is an automotive component manufacturing company based in India offering a diverse range of safety critical systems and other engineering solutions for two-wheelers, three-wheelers, four-wheelers, commercial vehicles and agri-vehicles. The product portfolio includes metal chassis systems, polymer components, suspension systems, body-in-white components and exhaust systems, among others. The products are largely agnostic to vehicle powertrain types, reflecting the ability in catering to both electric vehicles and internal combustion engine vehicles. For the Financial Year 2024, the revenue from operations was Rs 74,842.41 million, increasing from Rs 65,824.96 million for the Financial Year 2023 and Rs 53,968.54 million for the Financial Year 2022, growing at a CAGR of 17.76% between the Financial Years 2022 and 2024. For the nine months period ended December 31, 2024, the revenue from operations was Rs 60,134.26 million, increasing from Rs 59,578.76 million for the nine months period ended December 31, 2023, growing at 0.93% during this period. Company specializes in precision sheet metal pressing and fabrication, and they are one of the top three companies with a market share of 24% in the overall two-wheeler metal components segment in India as of March 31, 2024, in terms of revenue. Further, they also specialize in precision sheet metal pressing and fabrication for three-wheelers. Similarly, they also specialize in precision sheet metal pressing and fabrication for four-wheelers (passenger vehicles as well as commercial vehicles). The Company was incorporated in 1996, and they have since diversified the customer base to 29 OEMs, as of December 31, 2024. They have cultivated long standing relationships with customers, including prominent multinational OEMs such as Bajaj Auto Limited, Honda Motorcycle & Scooter India Private Limited, Hero MotoCorp Limited, Jaguar Land Rover Limited and Royal Enfield Motors Limited, among others. Their automotive product portfolio comprises over 1,000 distinct products across chassis systems, exhaust systems, body-in-white parts, polymer components, battery containers, suspensions and steering columns, among others. The product portfolio is diverse and designed to meet the varying requirements of OEMs across multiple vehicle types, including two-wheelers, three-wheelers, four-wheelers, commercial vehicles and agri-vehicles. As of December 31, 2024, they market the products both domestically and internationally, with operations extending to several key global markets including Austria, Slovakia, the United Kingdom, Japan and Thailand. Company has established 15 manufacturing facilities across nine cities in eight states, as of December 31, 2024 and expanded the manufacturing capabilities through both backward and forward integration. They acquired H-One India Private Limited ('H-One'), the erstwhile subsidiary of H-One Company Limited, a listed entity in Japan, in March 2025 and consequently, as of March 31, 2025, they operate 17 manufacturing facilities across 10 cities in nine states in India. The backward integration includes tool making, tube bending and press operations, while the forward integration encompasses system assembly, along with coating and painting. Annually, their facilities process over 60,000 tons of steel, reflecting the extensive production capacity. As per financial performance, Belrise Industries Limited has posted total income / net profits of Rs 5,410.68 Cr / Rs 283.13 Cr (FY22), Rs 6,620.78 Cr / 303.81 Cr (FY23), Rs 7,555.67 Cr / Rs 295.98 Cr (FY24) and Rs 6,064.76 Cr / 245.64 Cr (Q3 FY25). So as per previous financials data, company has shown average sales growth, but net profit declined. Company has an average EPS of Rs 39.75 and average RoNW of 14.31% for last three fiscals. Issue is priced at a P/BV of 2.26 as per NAV of Rs 39.75/- as on 31.12.24. If we attribute latest earnings of FY23, FY24, TTM and annualised FY25 on equity post issue, then asking price is at a P/E of around 26.36, 27.06, 31.07 and 24.45 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, four lead managers Axis Capital Limited, HSBC Securities and Capital Markets (India) Private Limited, Jefferies India Private Limited and SBI Capital Markets Limited are associated with this IPO, and have handled 86 IPOs in last three fiscals. ( As on 18.05.25 ) As per financials, Belrise Industries Limited has shown average sales growth, RoNW is 13.33% and P/E is 26.36, 27.06, 31.07 and 24.45 respectively as per FY23, FY24, TTM and annualised FY25 earnings. So issue looks fully priced when compared with peers. Company is an automotive component manufacturing company with around 24% market shares in its segment. So, we give SUBSCRIBE rating for this IPO for long term investment and we may expect upto 10% listing gains. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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