Exim Routes Limited operates as a global platform dedicated to facilitating the exchange of recyclable paper product materials, providing end-to-end services to Indian Paper Mills, ranging from sourcing/procurement of waste paper to quality assurance and logistics wastepaper to mills. To enable these operations, the Company has developed the Exim Routes Intelligence System (ERIS), an AI powered B2B digital platform, designed to perform four primary functions: Firstly, in Supply Chain Operations and Offer Management, the ERIS platform consolidates global inventory data from all Exim Route Limited suppliers, demand offers from mills, matching and price discovery, and connects supply and demand by acting as an intermediary, enabling bidding and closing of trades. Secondly, in Customer and Partner Enablement, ERIS supports outbound communication between Exim internal teams, suppliers and customers and facilitates better tracking and wider, faster outreach. Thirdly, in Market Intelligence and Data Layer, ERIS brings together multiple internal and external datapoints (e.g., pricing and grade quality parameters) to enable insights and better decision making for internal teams and customers. Lastly, in Logistics Integration, ERIS supports logistics execution integrating the global network of logistics partners and freight forwarders – ensuring seamless from order to delivery. Company operates through a group structured framework comprising the Indian parent entity, Exim Routes Limited, and a network of foreign subsidiaries. Sourcing and international logistics of the waste paper are undertaken by the subsidiaries including Exim Routes Inc., incorporated in the United States of America; Exim Routes Pte. Ltd., incorporated in Singapore; Exim Routes (UK) Ltd., incorporated in the UnitedKingdom; Good Earth SCM GmbH, incorporated in Germany and Exim Routes (SA) Pty Ltd., incorporated in South Africa. The Company is responsible for providing overall strategic direction, group-level governance, and driving technology initiatives. It also oversees the coordination of operations, logistics, and trade execution, in collaboration with subsidiaries. As per financial performance, Exim Routes Limited has posted total income / net profits of Rs 36.46 / 0.37 Cr (FY23), Rs 72.38 / Rs 4.20 Cr (FY24), Rs 120.98 Cr / 7.56 Cr (FY25) and Rs 44.17 Cr / 1.17 Cr (upto Q1 FY26). So as per previous financials data, company has shown good growth, but sudden rise in net-profit just before IPO raises doubts. Also higher trade receivables around 27% of FY25 total sales and high borrowings are red flags. Company has an average EPS of Rs 1.59 and average RoNW of 56.47% for last three fiscals. Issue is priced at a P/BV of 7.40 as per NAV of Rs 11.89/- as on 30.06.25. 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, 21.82 and 35.18 respectively. As per RHP, there is no listed peers in the Indian market. On BRLM's front, Narnolia Financial Services Limited is associated with this SME IPOs, and has handled 26 IPOs in last three fiscal years. From last 10 IPOs, one opened below issue price and remaining all above issue price or at par, on the day of listing. As of now, from last 10 IPOs, one is trading below issue price and remaining all are trading above issue price or at par. ( As on 09.12.25 ) As per financials, Exim Routes Limited has shown good growth, RoNW is 42.28% and P/E is 39.26, 21.82 and 35.18 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fully priced, but sudden rise in net-profit just before IPO and higher trade receivables raises doubts. Company operates as a global platform dedicated to facilitating the exchange of recyclable paper product materials, providing end-to-end services to Indian Paper Mills. Performance of BRLM is very 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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