Bombay Coated and Special Steels IPO

Strengths · 8

• 01Revenue from operations rose from Rs 590.88 crore in FY2023 to Rs 755.26 crore in FY2024 and Rs 1,055.71 crore in FY2025.
• 02Adjusted EBITDA margin moved from 6.37% in FY2023 to 7.02% in FY2025 and 7.84% in the six months to 30 September 2025.
• 03Operating cash flow stayed positive and grew from Rs 1.34 crore in FY2023 to Rs 11.49 crore in FY2024 and Rs 32.09 crore in FY2025.
• 04Debt to equity ratio fell from 5.07 in FY2023 to 3.33 in FY2025 and 2.88 at 30 September 2025.
• 05Four plants in Maharashtra, Rajasthan and Andhra Pradesh serve 252 customers (FY2025). Existing customers gave 93.76% of FY2025 revenue.
• 06Installed slitting capacity rose to 1,87,020 MT in FY2025 from 1,44,120 MT in FY2023, and slitting utilisation was 63.40% in FY2025, so there is room to grow volumes on current lines.
• 07Return on capital employed was 18.78% in FY2025 against 17.89% in FY2023.
• 08The document records no contingent liabilities at 30 September 2025 and no outstanding litigation against the company, its promoters or its key managers.

Risks · 10

• 01Customer concentration is high: the top 5 customers gave 51.34% and the top 10 gave 67.44% of FY2025 revenue. The largest customer, Amber Enterprises, gave 15.53%.
• 02One supplier, JSW Steel Coated Products Limited, provided about 90.61% of steel coils in FY2025 and 83.99% in the six months to 30 September 2025.
• 03Home and Commercial Appliances made up 81.80% of FY2025 product sales, so a slowdown in appliances would hit the company directly.
• 04Margins are thin. PAT margin was 2.72% in FY2025, and raw material cost was 89.96% of revenue from operations.
• 05Debt is heavy. Total borrowings were Rs 270.94 crore at 30 September 2025 against net worth of Rs 94.07 crore, and the current ratio was 0.95.
• 06Unsecured loans of Rs 26.15 crore, repayable on demand, stood at 30 November 2025. Of this, Rs 25.22 crore is from promoters and promoter group members.
• 07Return on equity fell from 67.90% in FY2023 to 41.76% in FY2025 and 12.45% for the six months to 30 September 2025 (not annualised).
• 08Capacity is under-used: slitting ran at 45.90% and cut-to-length at 48.55% in the six months to 30 September 2025.
• 09Most of the offer money goes to debt and leases. Rs 125.00 crore repays borrowings and Rs 18.00 crore finances leased equipment, and the general corporate purposes amount is not yet fixed.
• 10The company reports past discrepancies in its statutory filings with the Registrar of Companies and non-compliances under the Companies Act, 2013.

Bombay Coated and Special Steels Limited is a steel processing centre. It buys steel coils from primary steel producers and converts them into value-added products. The main processes are slitting, cut-to-length, shearing and embossing. The outputs are slit coils, embossed slit coils, blanks and sheets, which the company calls Processed Steel Products. It sits between the steel mill and the end user.

The company sells to original equipment manufacturers (OEMs) and original design manufacturers (ODMs). In FY2025, ODMs gave 60.56% of revenue from operations and OEMs gave 39.42%. The Home and Commercial Appliances sector bought 81.80% of product sales in FY2025. Named customers include Amber Enterprises India Limited, Western Refrigeration Private Limited, Haier Appliances India Private Limited, PG Technoplast Private Limited, EPack Durable Limited and Dixon Electro Manufacturing Private Limited. The company served 252 customers in FY2025.

It runs four manufacturing facilities. Wada (Palghar district) and Bhiwandi (Thane district) are in Maharashtra, Ghiloth is in Rajasthan and Sri City is in Andhra Pradesh. The Sri City plant began operations in April 2023 and the embossing line began on 1 April 2023. In FY2025 the Ghiloth plant gave 46.34% of revenue and Wada gave 39.50%. Installed slitting capacity was 1,87,020 MT in FY2025, against 1,44,120 MT in FY2023.

Steel coils are the main raw material. JSW Steel Coated Products Limited supplied about 90.61% of the company's steel coil requirement in FY2025. The company had 153 full-time employees, 4 retainership employees and 350 contract labourers as of 30 September 2025.

The company was converted into a public limited company in January 2025 and carries its present name from February 2025. It is promoted by Vijaykumar Himatrai Gupta, Nitin Vijaykumar Gupta and Bhawna Nitin Gupta. Its registered and corporate office is in Andheri (West), Mumbai. The offer is a fresh issue of up to Rs 191.00 crore, and there is no offer for sale.

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