Jnk India IPO

Market Leader: JNK India is one of the well-recognized process-fired heater companies in India, having a market share of approximately 27% in the Indian Heating Equipment market, in terms of new order booking in Fiscal 2023. They commenced operations in 2010 and have a successful project completion track record of over 10 years.

Growing Segment: Growing demand for transportation fuels and petrochemical feedstock are the primary growth enablers of the Indian refinery industry. JNK India plan to leverage their knowledge of the industry, engineering capabilities, extensive experience, established product portfolio and proven track record. They are well positioned to capitalise on the upcoming demand of Heating Equipment.

Diverse product and industry portfolio: Company's Heating Equipment are required in process industries such as oil and gas refineries, petrochemicals, fertilizers, hydrogen and methanol plants etc. Company receives orders from domestic and overseas oil and gas refining, petrochemical and fertilizers companies. Their diversified customer base has helped them in expanding their markets and improve profitability.

Demonstrated financial performance: For Fiscals 2021 to 2023, company's revenue from operations, EBITDA and profit after tax had grown at a CAGR of 71.97%, 68.09% and 67.75%, respectively, demonstrating growth in financial performance in recent years.

Contract ustomers: JNK India derives a significant portion of their revenue from operations from orders which are contracted to them by Contracting Customers such as Tata Projects Limited and JNK Heaters. They receive majority of projects from JNK Heaters, thereby catering to various end user customers including Indian Oil Corporation Limited in India. Any failure to obtain new contracts may impact their revenue from operations.

Industry Risk: Our business is heavily dependent on the capital expenditure of oil and gas refineries, petrochemical and fertilizers industries as they are the primary Customers for Heating Equipment. Any fluctuations in the oil and gas prices, whether in India or overseas, would create an impact on the capital expenditure plans of oil and gas refineries, petrochemical and fertilizers industries.

Geographic Expansion: As of March 2023, JNK India has served 17 Customers in India and seven Customers overseas. Company's failure to expand geographically may have an adverse effect on our business, financial condition.