Home/IPOs/SnehaaOrganicsLtd
S

SnehaaOrganicsLtd IPO

Snehaa Organics Ltd
Start Date29-08-2025
Application Timing10am-5pm
Price Range₹115 - ₹122
Min Qty1000
Min. Investment₹122000
Listing Date05-09-2025
Close Date02-09-2025

About Snehaa Organics Ltd

Incorporated in October 2017, Snehaa Organics Limited is engaged in the solvent recovery industry, providing sustainable solutions for businesses that extensively use solvents. The company specializes in collecting spent solvents and applying advanced distillation and purification technologies to make them reusable.

Snehaa Organics also trades solvents directly by sourcing raw materials, assessing quality, and distributing them in the open market. Its manufacturing facility, located in Hyderabad, Telangana, spans across 3,300 sq. ft.

The company has built a strong reputation in the pharmaceutical sector due to its modern technology infrastructure, efficient recovery process, and strategic location advantage.

Why To Invest in Snehaa Organics Ltd

Strong Financial Growth: Revenue increased by 10% and Profit After Tax (PAT) grew by 101% in FY25 compared to FY24.

High Margins: EBITDA Margin at 43.52% and PAT Margin at 27.98% showcase operational efficiency.

Attractive Return Ratios: ROE at 49.66% and ROCE at 50.38% reflect strong capital efficiency.

Growing Industry Demand: Rising industrial demand for solvent recovery and recycling ensures long-term growth opportunities.

Promoter Commitment: Promoters hold 99.99% pre-issue and will continue to hold 73.68% post-issue, reflecting strong confidence in business.

Financial Table
Period Ended 31 Mar 2025 31 Mar 2024 31 Mar 2023
Assets30.0617.10 10.80
Total Income 26.2923.8020.41
Profit After Tax 7.34 3.66 3.25
EBITDA11.41 5.834.17
Net Worth 14.787.443.78
Reserves and Surplus 7.286.442.78
Total Borrowing 9.09 3.923.59
Strengths And Risks
+
Advanced Technology & Infrastructure: Snehaa Organics has invested in modern technology and infrastructure, enabling highly efficient solvent recovery and purification processes. This ensures better operational performance and higher recovery yields.
+
Strong Presence in the Pharmaceutical Sector: The company enjoys a solid reputation within the pharmaceutical industry, which forms a major part of its customer base. This trust helps in building long-term client relationships and recurring demand.
+
Consistent Financial Growth: Over the years, Snehaa Organics has demonstrated strong revenue and profit growth. In FY25, the company reported a 10% increase in revenue and a 101% rise in profit after tax, highlighting robust financial performance.
+
Strategic Location Advantage: Its manufacturing facility in Hyderabad, Telangana, provides logistical benefits due to its proximity to key industrial and pharmaceutical hubs. This reduces transportation costs and ensures faster service delivery.
+
Growing Demand for Sustainable Practices: With increasing focus on eco-friendly industrial practices, the demand for solvent recovery is expected to grow. Snehaa Organics is well-positioned to benefit from this shift towards sustainability.
-
High Dependency on Pharmaceutical Sector: A significant portion of the company’s revenue comes from the pharmaceutical industry. Heavy dependence on one sector makes it vulnerable to changes in industry demand or regulations.
-
Earnings Dilution Post IPO: The equity dilution post issue may impact earnings per share, with EPS expected to decline from Rs. 9.78 to Rs. 7.21. This could affect short-term investor sentiment.
-
Debt Burden: As of FY25, the company carries total borrowings of Rs. 9.09 crore. Although part of the IPO proceeds will go towards repayment, the debt level remains a financial risk.
-
Competitive Industry Landscape: The solvent recovery sector is highly competitive and technology-driven. Any advancements by competitors could pose challenges to Snehaa Organics’ market share.
FAQs
What are the IPO opening and closing dates of Snehaa Organics IPO? +
What is the Snehaa Organics IPO issue size? +
What is the price band of Snehaa Organics IPO? +
What is the minimum investment required? +
On which exchange will the IPO be listed? +

Explore Other Products

Rupeezy AppAdvanced charts, advanced Option Chain, instant pay-in & pay-out,margin .Learn More
Rupeezy <> TradingViewEnjoy top-class trading experience enhanced by advanced TradingView charts.Learn More
DockPortfolio analysis, pledge holdings, apply in IPOs & download reports Learn More