Brandman Retail Limited is engaged in the distribution and retail of premium international brands through non-exclusive distribution agreements. The sales are carried out through multiple channels, including Exclusive Brand Outlets ('EBOs') operated under specific brand arrangements, Multi-Brand Outlets ('MBOs') under their trademark 'Sneakrz', e-commerce marketplaces and their own website. In addition to the offline stores, the Company has entered into agreements with retailers of shoes under which, the Company supplies its products to stores and the same are thereafter sold to end-customers through online and offline modes. The Company runs EBOs across various states of India, located in cities such as Ahmedabad, Ambala, Dehradun, NewDelhi, Gurugram, Lucknow, Jalandhar, Noida, and Bathinda. These outlets primarily retail the products of 'Brand 1', for which the Company has entered into a non-exclusive distribution agreement. As of the date of the RHP, the Company operated 14 EBOs. The Company has started to build an online presence through its website and partnership with e-commerce platforms to make the products more accessible and boost sales. The Company operates its online business through a combination of e-commerce marketplaces and its own website, enabling access to customers across India beyond its offline store network. Further, the data from online channels is analyzed to plan procurement, manage stock allocation, and adjust marketing strategies. Their online operations are integrated with the ERP system, enabling synchronization of outlet inventory with online order placement. Real-time inventory visibility reduces the risk of over-selling and allows for efficient order ful-fillment. As per financial performance, Brandman Retail Limited has posted total income / net profits of Rs 46.31 / 0.41 Cr (FY23), Rs 123.49 / Rs 8.27 Cr (FY24), Rs 136.30 Cr / 20.95 Cr (FY25) and Rs 97.20 Cr / 19.67 Cr (upto Q3 FY26). So as per previous financials data, company has shown good growth, but increase in net-profit is not converted in cash and company has posted negative cash flow for FY23, FY25 and upto Q3 FY26. Also trade receivables are around 27% of FY25 total sales. Company has an average EPS of Rs 10.43 and average RoNW of 78.59% for last three fiscals. Issue is priced at a P/BV of 3.78 as per NAV of Rs 46.57/- as on 31.12.25. 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 39.26, 15.50 and 12.38 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, Gretex Corporate Services Limited is associated with this IPOs, and has handled 26 IPOs in last three fiscal years. From last 10 IPOs, all opened above issue price or at par, on the day of listing. As of now, from last 10 IPOs, six are trading below issue price and remaining all are trading above issue price or at par. (as on 02.02.26 ) As per financials, Brandman Retail Limited has shown good sales growth, RoNW is 70.33% and P/E is 39.26, 15.50 and 12.38 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fully priced, But increase in net-profit is not converted in free cash flow and company posted negative cash flow for FY23, FY25 and upto Q3 FY26. Also trade receivables is high for FY25. Company is engaged in the distribution and retail of premium international brands through non-exclusive distribution agreements, which is very competitive business segment. Performance of BRLM is poor post listing. So, we give AVOID rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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