Stock Report

Electronics Mart India Ltd makes electrifying debut

Posted On : 2022-10-18 21:47:28( TIMEZONE : IST )

Electronics Mart India Ltd makes electrifying debut

Electronics Mart India Ltd ("The Company") makes an electrifying debut on the exchanges to close at more than 40% premium to its issue price.

The scrip listed Rs 89.40 per share on BSE and Rs 90 per share on NSE, at a premium of 51.53% and 52.54% respectively. The company's share price closed at Rs 84.45 per share on the BSE, a 43.14% premium, and at Rs 83.70 per share on the NSE, a 41.86% premium.

As per NSE, the total quantity traded stood at 880.24 lakh shares, on BSE the total Quantity stood at 59.32 lakh shares. Total Turnover (BSE+NSE) on Day 1 stood at Rs 817.93 crore.

Mr. Karan Bajaj, Chief Executive Officer, and Whole-time Director - Electronics Mart Limited said that "We are extremely delighted with the trust and faith that the investors have placed by investing in EMIL. We will ensure that being a responsible company, the management team, and the employees of the company will work even harder to keep our investors happy in the long term. India is in a great spot and the consumption story is seeing strong growth potential in the coming decade. EMIL will participate, contribute and grow strongly in India's consumption story."

The Market Capitalization of the Company at today's closing price stood at Rs. 3,249.20 Crore as per BSE and Rs. 3,220.35 Crore as per NSE.

The offer consists of a fresh issue of equity shares aggregating to Rs 500 crore, with no offer-for-sale (OFS) component.

EMIL was founded by Pavan Kumar Bajaj and Karan Bajaj as a proprietary concern with a consumer durable and electronics store under the name of 'M/s Bajaj Electronics'. Today, it is the 4th largest and one of the fastest-growing consumer durables and electronics retailers in India with 1.12 million square feet of retail space. As on August 31, 2022, it had 112 stores across 36 cities / urban agglomerates, supported by a strong workforce of 2,091 professionals. Its multi-brand outlets operate under the brand names of Bajaj Electronics other than two specialized stores under the name of Kitchen Stories catering to kitchen-specific requirements. It is also in the process of setting up another such niche outlet under the name of Audio & Beyond catering to high-end audio and home automation solutions.

Currently, it is South India's largest and most reliable electronics retailer, Bajaj Electronics - a brand owned by EMIL, and stands as a household name in the retail of consumer electronics. In line with its cluster-focused expansion strategy, it plans to deepen its store network in Andhra Pradesh and Telangana and gradually expand its network in NCR.

EMIL displays more than 6000 stock-keeping units (SKUs) with a focus on large appliances such as air conditioners, televisions, washing machines, refrigerators; mobiles, and small appliances besides other IT peripherals across more than 70 consumer durable and electronic brands. It also operates across wholesale and eCommerce channels.

In FY 22 its revenue from operations increased significantly by 35.84% to Rs 4,349.32 crores from Rs 3,201.88 crore for the same period last year, primarily due to increasing in retail sales during the Financial Year 2022 by 35.03%. However, profit after tax increased by 77.22% in profit after tax from Rs 58.62 crore in Fiscal 2021 compared to Rs 103.89 crore in Fiscal 2022. Revenue from operations has increased at a CAGR of 17.09 % from Fiscal 2020 to Fiscal 2022 and as of FY21, its operating margins stood the second highest amongst its peers. For the three months ended June 30, 2022, its revenue from operations stood at Rs 1,408.45 crore and profit after tax stood at Rs 40.66 crore.

Anand Rathi Advisors Limited, IIFL Securities Limited, and JM Financial Limited are the book-running lead managers to the issue and KFin Technologies Limited is the registrar of the offer.

Shares of Electronics Mart India Limited was last trading in BSE at Rs. 92.85 as compared to the previous close of Rs. 84.45. The total number of shares traded during the day was 1370856 in over 8530 trades.

The stock hit an intraday high of Rs. 92.85 and intraday low of 84.85. The net turnover during the day was Rs. 122203783.00.

Source : Equity Bulls


ElectronicsMartIndia INE02YR01019 Retail Listing Debut Premium IPO FundRaising