About Nikita Papers Limited IPO
Nikita Papers Limited, incorporated in 1989, is a prominent manufacturer of paper and paper products in India. The company specializes in producing a wide range of paper grades suitable for industrial, commercial, and printing purposes. With a focus on eco-friendly manufacturing, Nikita Papers uses recycled materials to create sustainable paper solutions.
Their flagship product, Kraft Paper, ranging from 70–200 GSM, is widely used for wrapping, bags, and packaging needs. The company has built a strong presence in both domestic and international markets, backed by an experienced management team, a strategic production location, and innovative production techniques.
As of May 2025, the company employs over 200 professionals and continues to expand into verticals such as fluting media and specialty papers to meet evolving market demand.
Why To Invest in Nikita Papers Limited IPO
Strong Financial Performance
- Revenue of 346.78 Cr and Profit After Tax (PAT) of 16.60 Cr as of FY 2023–24.
- Healthy Return on Equity (ROE) at 21.45% and Return on Capital Employed (ROCE) at 28.71%.
Eco-Friendly Business Model
- Focus on recycled and sustainable raw materials for manufacturing, aligning with global ESG trends.
Strategic Market Position
- Expanding into new segments like fluting media and specialty paper, with strong domestic and export demand.
Experienced Promoters & Management
- Led by a seasoned leadership team with decades of industry expertise.
Attractive Valuations
- Reasonable P/E ratio of 11.39 (Pre-IPO) and a Price-to-Book Value of 2.44, compared to industry peers.
Growing Industry
- Paper and packaging demand is expected to surge due to increasing e-commerce and industrial activities.
Period Ended | 31 Dec 2024 | 31 Mar 2024 | 31 Mar 2023 | 31 Mar 2022 |
---|---|---|---|---|
Assets | 349.78 | 299.00 | 256.80 | 235.30 |
Revenue | 272.38 | 346.78 | 401.31 | 358.49 |
Profit After Tax | 15.68 | 16.60 | 8.65 | 6.95 |
Net Worth | 93.05 | 77.37 | 54.74 | 46.10 |
Reserves and Surplus | 74.88 | 59.20 | 46.13 | 37.48 |
Total Borrowing | 206.71 | 189.24 | 163.02 | 124.74 |
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