Prostarm Info Systems Limited is engaged in designing, manufacturing, assembling, sale, service and supply of Energy Storage Equipment and Power Conditioning Equipment ('Power Solution Products') in India. The manufactured Power Solution Products comprise of UPS system, inverter system, lift inverter system, solar hybrid inverter systems, lithium-ion battery packs, servo-controlled voltage stabilisers ('SCVS'), isolation transformers and other power solution products. They offer both customized and standard products and solutions, manufactured and assembled at the in-house facilities and also through third party contract manufacturers. In addition to the core manufactured products, they also deal in sale and supply of third party power solution products such as batteries, reverse logistics/end-of life products and other assets such as IT Assets, solar panel and allied products. They also undertake rooftop solar photovoltaic power plant projects across India on EPC basis. The comprehensive range of value-added services include installation, rental, after-sales services (including warranty and post-warranty services), Annual Maintenance Contracts ('AMC') which supplements the Power Solution Products, catering to a wide spectrum of customers and their requirements. Company specializes in power electronics solutions, offering reliable and affordable products to businesses across various sectors and have built a reputation for delivering dependable UPS systems that ensure continuous power availability in critical sectors like banking, finance, and healthcare. As on date, they are empaneled vendor for Airports Authority of India; West Bengal Public Health Engineering Department; West Bengal Electronic Industry Development Corporation Limited; Telangana State Technology Services Limited; Railtel Corporation of India Limited; and NTPC Vidyut Vyapar and Nigam Limited. As on the date of this Red Herring Prospectus, the operations are supported by a network of twenty-one branch offices and two storage facilities across eighteen states and one union territory within India. Company also rely on a strong network of dealers and distributors for the sale of the products to institutional and corporate clients efficiently. As of Q3 FY25, FY24, FY23 and FY22, the distribution network comprised of 360, 478, 539 and 469 dealers and distributors respectively, spread across the country. As on the date of this RHP, they have three (3) manufacturing units located in the state of Maharashtra out of which two (2) units are at Pisoli, Pune (Unit I & II) and one (1) unit at Mahape, Navi Mumbai (Unit III). The Manufacturing Unit II is being operated under the subsidiary, Prostarm Energy Systems Private Limited. As per financial performance, Prostarm Info Systems Limited has posted total income / net profits of Rs 172.05 Cr / 10.92 Cr (FY22), Rs 232.35 Cr / 19.41 Cr (FY23), Rs 259.23 Cr / Rs 22.77 Cr (FY24) and Rs 270.27 Cr / 22.13 Cr (Q3 FY25). So as per previous financials data, company has shown good growth. Company has an average EPS of Rs 4.72 and average RoNW of 34.5% for last three fiscals. Issue is priced at a P/BV of 5.34 as per NAV of Rs 19.66/- as on 31.03.24. If we attribute latest earnings of FY23, FY24 and annualised FY25 on equity post issue, then asking price is at a P/E of around 31.85, 27.14 and 20.95 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, Choice Capital Advisors Private Limited is associated with this IPO, and have handled 5 IPOs (Main Board & SME) in last three fiscals. ( As on 21.05.25 ) As per financials, Prostarm Info Systems Limited has shown good growth, RoNW is 32.09% and P/E is 31.85, 27.14 and 20.95 respectively as per FY23, FY24, TTM and annualised FY25 earnings. So issue looks fairly priced when compared with peers. Company is engaged in designing, manufacturing, assembling, sale, service and supply of Energy Storage Equipment and Power Conditioning Equipment, which is competitive business segment. So, we give SUBSCRIBE rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.
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