Adroit Industries (India) Limited

Company Profile: Adroit Industries (India) Limited IPO & Business Overview & History

Adroit Industries (India) Limited originally started operations as a partnership firm in 1966 and was later incorporated as a public limited company in January 1995. With over four decades of operational expertise, the company has established itself as a leading manufacturer and supplier of propeller shafts (drive/Cardan shafts) and torque-transmission components used in driveline systems.

The company’s registered office is located in Bhiwandi (Thane, Maharashtra), while its corporate headquarters and primary manufacturing operations are centered in Indore and Pithampur (Madhya Pradesh).

2. Vertically Integrated Manufacturing Infrastructure

The company’s primary competitive advantage lies in its fully vertically integrated manufacturing operations, enabling end-to-end control from raw material forging to final assembly and testing.

Operations are primarily carried out across three manufacturing facilities in Madhya Pradesh (Dewas, Pithampur, and Sanwer):

• Die-Making & Forging: The Dewas facility utilizes induction billet heating, belt-drop hammers, pneumatic hammers, and presses to manufacture forging dies in-house.

• Heat Treatment & Shot Blasting: Components undergo hardening, tempering, normalizing furnaces, quenching, and controlled cooling cycles to ensure high structural durability and strength.

• Precision Machining & Dynamic Balancing: The Pithampur facility (operated via its subsidiary Adroit Driveshafts Private Limited) houses advanced CNC machines, HMC/VMC centers, broaching/hobbing, and Grob machines to assemble over 4,000 dimensional parts and perform dynamic balancing up to 4,500 RPM.

• Quality Control & Testing: Operating under ISO and IATF 16949 certifications, the company utilizes Coordinate Measuring Machines (CMM), Magnetic Particle Inspection (MPI), crack detection, and fatigue testing to maintain a 99.8% quality approval rate.

3. Extensive Product Portfolio

The company maintains a diversified product catalog comprising over 5,000 SKUs, including:

1. Complete Propeller Shaft Assemblies

2. Yokes and Flange Components

3. Universal Joints

4. Center Bearings

5. Precision-Machined Shafts & Forged Components

4. Target Industries & Applications

Adroit Industries caters to a wide spectrum of automotive, industrial, and heavy machinery sectors:

• Commercial Vehicles: Light Commercial Vehicles (LCVs), medium and heavy commercial trucks, and buses.

• Passenger Vehicles: Primarily catering to the SUV segment.

• Defense & Emergency Services: Military transport vehicles, armored vehicles, and fire-fighting trucks.

• Off-Highway & Heavy Equipment: Construction machinery, mining vehicles, and agricultural equipment (tractors and harvesters).

• Industrial Applications: Metal processing plants, industrial pumps, marine equipment, turbines, and wastewater management facilities.

5. Global Footprint & Client Network

In addition to a solid domestic footprint, the company operates an extensive international export network:

• Export to 32+ Countries: During Fiscal Year 2026, the company exported products across North America, Europe, Latin America, the Middle East, Africa, and the Asia-Pacific region.

• Multi-Channel Sales: Products are supplied directly to Original Equipment Manufacturers (OEMs), Tier-1 driveline component suppliers, and global aftermarket distributors.

• High Customer Retention: In FY2026, the company served over 185 customers, generating 90.26% of its revenue from repeat business, reflecting strong customer loyalty and product reliability.

6. Workforce & Leadership

• Workforce: As of July 31, 2026, the company together with its subsidiary (Adroit Driveshafts Private Limited) employed 367 permanent employees.

• Experienced Promoters: Led by Saurabh Sangla (Chairman & Managing Director) and Mukesh Sangla, who bring decades of industrial expertise in automotive components and precision engineering.

7. Key Competitive Strengths

• 5,000+ SKU Portfolio: Wide product diversity meeting varied customer and technical specifications.

• Fully Vertically Integrated Operations: In-house capabilities from forging to final assembly ensuring cost efficiency and strict quality control.

• Diversified Global Customer Base: Reduced geographical risk with exports spanning over 32 countries.

• Healthy Financial Track Record: Strong EBITDA margins, low leverage, and healthy return ratios (ROE and ROCE).

• Established Customer Relationships: Long-standing partnerships and high repeat business from global OEMs and Tier-1 suppliers.

Adroit Industries (India) Ltd. IPO – Detail Breakdown

1. Important Dates (Timetable)

• IPO Opening Date: Wednesday, September 23, 2026

• IPO Closing Date: Friday, September 25, 2026

• Basis of Allotment: Monday, September 28, 2026

• Initiation of Refunds: Tuesday, September 29, 2026

• Credit of Shares to Demat: Tuesday, September 29, 2026

• Listing Date: Wednesday, September 30, 2026

2. Issue & Offer Details

• Issue Type: Book Built Issue IPO

• Total Issue Size: ₹150.71 Crore (1,12,47,000 Equity Shares)

• Fresh Issue: ₹132.62 Crore (98,97,000 Equity Shares)

• Offer for Sale (OFS): ₹18.09 Crore (13,50,000 Equity Shares of Face Value ₹10)

• Price Band: ₹126 to ₹134 per share

• Face Value: ₹10 per share

• Lot Size: 111 Shares

• Stock Exchange Listing: BSE, NSE

3. Investment Breakdown (Lot Size & Categories)

• Retail Minimum Application: 1 Lot (111 Shares) – ₹14,874

• Retail Maximum Application: 13 Lots (1,443 Shares) – ₹1,93,362

• Small HNI (S-HNI) Minimum: 14 Lots (1,554 Shares) – ₹2,08,236

• Small HNI (S-HNI) Maximum: 67 Lots (7,437 Shares) – ₹9,96,558

• Big HNI (B-HNI) Minimum: 68 Lots (7,548 Shares) – ₹10,11,432

4. Category Reservations

• Qualified Institutional Buyers (QIB): Not more than 50.00% of the Offer

• Non-Institutional Investors (NII/HNI): Not less than 15.00% of the Offer

• Retail Individual Investors (RII): Not less than 35.00% of the Offer

5. Capital Structure & Shareholding

• Pre-Issue Shareholding: 3,49,11,340 Shares

• Post-Issue Shareholding: 4,48,08,340 Shares

• Promoters: Saurabh Sangla, Mukesh Sangla, Monika Sangla, Shubhangi Trust, Shreya Trust, and Swan Irrigation LLP.

• Pre-IPO Promoter Holding: 96.10%

• Post-IPO Promoter Holding: 71.86%

• Public Holding: Pre-IPO: 3.90% | Post-IPO: 28.14%

Offer For Sale – Selling Shareholder

• Mukesh Sangla (HUF): 13,50,000 Shares (₹18.09 Cr)

6. Company Overview & Business Model

• Incorporation Year: January 1995

• Core Business: Vertically integrated manufacturer and supplier of propeller shafts and torque-transmission components used in driveline systems.

• Product Range: Portfolio of over 5,000 SKUs comprising precision-machined torque-transmission components, complete propeller shaft assemblies, and forged components.

• Manufacturing Capabilities: Forging, precision machining, heat treatment, assembly, balancing, and testing.

• End Markets: Commercial vehicles, SUVs, defense & emergency services, heavy equipment, off-highway machinery, and industrial applications.

• Global Footprint: Exports to over 32 countries across North America, Europe, Latin America, Middle East, Africa, and Asia-Pacific.

• Subsidiaries & Human Resources: Supported by subsidiary Adroit Driveshafts Private Limited; combined total of 367 permanent employees (as of July 31, 2026).

7. Financial Highlights (Restated Consolidated)

(Amount in ₹ Crore)

• Growth Metrics: Year-on-year revenue grew by 5%, and Profit After Tax (PAT) rose by 44% between FY25 and FY26.

8. Key Performance Indicators (KPIs) & Valuation

• EBITDA Margin: 27.66% (FY26)

• PAT Margin: 18.69% (FY26)

• Return on Equity (ROE / RoNW): 22.54% / 22.51% (FY26)

• Return on Capital Employed (ROCE): 19.01% (FY26)

• Debt / Equity Ratio: 0.41

• NAV per Share: ₹36.84

• Price to Book Value: 3.64

• Pre-IPO EPS: ₹7.49 | Post-IPO EPS: ₹5.84

• Pre-IPO P/E Ratio: 17.89x | Post-IPO P/E Ratio: 22.95x

• Post-Issue Market Cap: ₹600.43 Crore (at upper price band)

9. Objects of the Issue (Use of Proceeds – Est. Total: ₹87.98 Cr)

1. Capex for Dewas Facility: ₹19.91 Cr for procurement of machinery, equipment, and local transport vehicles.

2. Investment in Subsidiary (Capex): ₹43.96 Cr in Adroit Driveshafts Pvt. Ltd. for procurement of machinery, equipment, and local transport vehicles at Pithampur Facility.

3. Investment in Subsidiary (Debt Repayment): ₹24.12 Cr in Adroit Driveshafts Pvt. Ltd. for full or partial repayment/prepayment of borrowings.

4. General Corporate Purposes: Remaining net proceeds.

Company DRHP

10. Key Entities & Contact Details

• Book Running Lead Manager:

  • Choice Capital Advisors Pvt. Ltd.

• Registrar of the Issue:

  • Bigshare Services Pvt. Ltd.

  • Phone: 8657578989 / 8069219065 / 8069219060

  • Email: ipo@bigshareonline.com

• Company Registered Office:

  • Adroit Industries (India) Ltd., Gala No. 02, Building No. A-2, Gr. Floor, Print World Industrial Complex, Survey No. 15/1, Mankoli Road, Vehele, Shastrinagar, Bhiwandi, Thane, Maharashtra, 421302.

  • Phone: +91 91711 14099

  • Email: cs@adroitindustries.com