Valueablegem

#AdisoftTechnologies #SME 📌MOTILAL OSWAL FINANCIAL SERVICES LTD✅ Bought 1,20,800 shares of ADISOFT TECHNOLOGIES LTD at rs.212🔥 (➡️2nd bulk deal in SME ) (Additionally, They were allotted 28,000 shares in QIB and 3,28,000 shares in Anchor👍) 📌 ➡️ ➡️ ▪️Adisoft Technologies Ltd. (ATL) is an Industrial Digital Automation Solutions provider, engaged into the business of Designing, developing, procurement, assembling, testing, installation, commissioning & providing engineering services related to Automated assembly lines, Material handling machines, Robotic work cells and Special Purpose Machinery designed to address customer-specific operational requirements. ▪️It's services include application of digital technologies and control systems to automated industrial processes, by integrating the shop floor equipments and processes with the IT Layer, thereby, reducing or eliminating human intervention. ▪️The solutions and systems which ATL provides are integrated with PLC, SCADA, GOT and IoT-based interfaces to ensure real-time monitoring, traceability and seamless connectivity with Manufacturing execution system (MES). ▪️In Feb 2021, ATL, together with AIOI Systems Co. Ltd, Japan, and AIOI Systems India Private Ltd , entered into a JV agreement, in which AIOI Systems Co. Ltd. holds majority stake of 76%, while the ATL holds 24%. The JV focuses on the development, design, manufacturing, marketing, and supply of automation products and devices within the Indian market. ( Revenue contribution is not very significant though✅) 📍It is an Authorized Channel Partner of Mitsubishi Electric✅ which supplies all the required instruments, components and robotic systems for assembling. ➡️It is also Channel partner of Hikrobots (China✅) which is into industrial mobile robotics. ➢ Current Assembly unit is located in MIDC Bhosari, Pune. 📌📌 ▪️IPO price: Rs. 172 ▪️IPO size: 74 Cr ▪️Market cap: 350 Cr ▪️P/E: 17 ✅ (annualised) ▪️ROE: 39% ▪️ROCE: 29% ▪️RoNW: 32% ▪️Employees: 183 ▪️Debt/Equity: 0.37 ▪️Assets: 98 Cr ▪️Total Borrowing: 19.6Cr (Reserves and Surplus: 41Cr) ▪️Share Holding Pre Issue: 100% ▪️Share Holding Post Issue: 73.6% 📌FINANCIALS: ▪️FY26-7M Rev: 55.7Cr ▪️FY26-7M PAT: 3.75Cr (📍According to the management, H1 is largely execution focused, while revenue recognition happens in H2 when projects are delivered and billed) (One can wait for FY26 full year numbers to get more clarity✅) ▪️FY25 Rev is 133 Cr as compared to 104 Cr(FY24), 28%✅ growth yoy. ▪️FY25 PAT is 16.1 Cr as compared to 11.76 Cr(FY24), 37%✅ growth yoy. ▪️75% growth in Rev in last 2 years. ▪️165%🔥 growth in PAT in last 2 years. (H1 contributes to 30% rev while H2 contributes 70% rev, Q4 is highest✅) 📌Revenue Bifurcation:- ▪️Automotive: 76% ▪️Packaging & Printing: 5% ▪️Automation Industries: 5% ▪️Pharmaceuticals: 2% ▪️Agriculture: 0.5% ➢ From automation solutions: 70% ➢ From trading of automation products : 30% 📌IPO funds: ➢Rs. 37.77 Cr for Capex on setting up of a new factory unit.✅ (already commenced establishment of new factory unit at Pimpri Industrial Area, MIDC, Pune, which will measure 30,000 sq.ft, where the entire existing set up will be shifted) ➢Rs. 10.00 Cr for repayment/prepayment of certain borrowings. ➢Rs. 10.00 Cr for working capital. 📌PEERS: Patil Automation P/E: 30✅ 📌SECTOR GROWTH💫 : ▪️India’s Industrial automation market growth pegged at a CAGR of 14.26% to reach $29.43 Bn by FY2029. ▪️India’s Industrial robotics market is growing significantly and is predicted to reach $264.10 Mn by 2028 at a CAGR of 2.92%. ▪️The Indian automated material handling market is projected to be valued at ₹14,546 Cr in 2025 and is expected to reach ₹26,376 Cr by 2030, growing at a CAGR of 12.7% . 📌RISK FACTORS: ➢ Client Concentration is very high, top 5 clients contribute 63% of revenue. ( Losing any one client will result in sharp revenue drop.) ➢ Small order book (44Cr) , absence of long term contracts. ➢ Highly competitive sector. ✅For more details, visit website : adisoft.co.in 📌Disclosure: Not a buy/sell recommendation. only for study and education purpose. Please consult your financial advisor before investing. Although the write up accurately reflects the personal view of the author, there may be manual/human errors in the writeup. Please stop investing blindly. 🙏🙏