Rajputana Stainless Limited IPO

A premier stainless steel manufacturer with over 30 years of experience.
In this blog, we take a look at an overview of the upcoming Rajputana Stainless Limited IPO. We will see some of the key details like IPO Details, Company overview, Financial Performance and KPIs, Key Risks and Concerns, and Valuations.

IPO Offer Details and Funds Utilisation

                              

Objects of the Issue
                               

Company Profile and Business Model
The company was initially established in 1991 and managed by its erstwhile promoters, Ram Saran Tambi and Omprakash Agarwal. The present leadership and primary promoters are Shankarlal Deepchand Mehta, Babulal D. Mehta, Jayesh Natwarlal Pithva, and Yash Kumar Shankarlal Mehta.

Rajputana Stainless Limited (RSL) is an Indian manufacturer of long and flat stainless-steel products sold under the brand name “RSL”. The company manufactures billets, forging ingots, rolled black bars, rolled bright bars, and flat & patti products.They offer these in over 80 diverse grades of stainless steel to meet varied technical and application-specific requirements. RSL operates exclusively on a Business-to-Business (B2B) basis, serving a customer base primarily composed of manufacturers and traders. Their products are used across multiple sectors, including automotive, forging, engineering, utensil manufacturing, fastener manufacturing, and seamless pipe manufacturing.

The company operates an integrated facility in Panchmahal, Gujarat, which covers the entire production chain from melting and refining to rolling, treatment, and testing. While predominantly focused on the Indian domestic market (which accounted for over 99% of revenue in the most recent period), they also export to nine countries, including the USA, UAE, and Turkey.

Industry Analysis

India is the second-largest consumer and the third-largest producer of stainless steel globally. Domestic consumption is estimated at 4.8 million tonnes for FY 2025 and is projected to reach 5.5 million tonnes by 2030 (6.59% CAGR). By 2047, consumption is envisioned to reach 20 MTPA(Million Tonnes Per Annum).

Financial Performance

If we take a look at Revenue for the last 3 years, it has been consistently above Rs. 900 crores, though the CAGR has shown a decline of -0.82%. EBITDA currently stands at 9.16% as of September 30, 2025, and has shown a CAGR of 29.94%. Whereas Profit Before Tax(PBT) has shown a CAGR of 38.27% in the last 3 years, i.e., FY 23 to FY 25.

Key Performance Indicators(KPIs)

Key Risks and Concerns

The Company derives a significant portion of its revenue from operations from its top 10 customers, and it does not have long-term contracts with all these customers.

The Company derives the majority of sales from the domestic market, and a significant portion of its domestic sales is derived from the states of Maharashtra, Gujarat & Uttar Pradesh. Any adverse developments in this market could adversely affect the company’s business.
The Company has a significant amount of contingent liabilities, which comprises a significant portion of its net worth, and our financial condition could be adversely affected if any of these contingent liabilities materialize.

Valuation
The Industry Average P/E is 58.56.Rajputana Stainless Ltd's P/E shown below is Pre-IPO.