Kanohar Electricals IPO

Mainboard • Equity • Fresh capital cum OFS

LISTEDMAINBOARDEquity

Kanohar Electricals

Price band

₹601 – ₹632

Lot size

23 shares

Min investment

₹14,536

Issue size

₹1,055.74 Cr

About the company

Kanohar Electricals Limited was started in 1972. It makes transformers, the equipment that steps electricity up or down as it moves through the grid. Its customers are in power transmission, railways, renewable energy and power distribution. The company works through two segments. One is transformer manufacturing and the other is engineering, procurement and construction, usually called EPC, where it takes up complete project work rather than only supplying equipment. It is one of only four manufacturers in India certified by the Research Designs and Standards Organisation, which is the research arm of Indian Railways, to make 100 MVA 132 kV Scott transformers. These are the special transformers used for railway traction. It runs two plants, both in Meerut in Uttar Pradesh, one at Rithani and one at Gangol, with a combined transformer making capacity of 19,200 MVA as on 31 March 2026. It has five regional offices in Delhi, Mumbai, Kolkata, Bangalore and Chennai and a team of more than 526 employees.

Kanohar Electricals Limited manufactures transformers for power transmission, railways, renewable energy and distribution, and also does EPC work. Running since 1972, it is one of only four Indian makers certified by RDSO for 100 MVA 132 kV Scott transformers, with 19,200 MVA of capacity across two Meerut plants.

IPO details

Issue price: ₹632
Price band: ₹601 – ₹632
Face value: ₹2
Lot size: 23
Min investment: ₹14,536
Issue size: ₹1,055.74 Cr
Sale type: Fresh capital cum OFS
Listing on: BSE, NSE
BSE scrip code: 7946
NSE symbol: KANOHAR.NS

Lot size & investment by category

APPLICATION	LOTS	SHARES	AMOUNT
Retail (Min)	1	23	₹14,536
Retail (Max)	13	299	₹1,88,968
S-HNI (Min)	14	322	₹2,03,504
B-HNI (Min)	69	1,587	₹10,02,984

Investor reservation

CATEGORY	RESERVED
QIB	Not more than 50% of the Net Offer
Retail	Not less than 35% of the Net Offer
NII	Not less than 15% of the Net Offer

Objects of the issue

1Funding the capital expenditure requirements of Company64.18

2Funding the incremental working capital requirements of Company155.00

3General Corporate Purposes

Financials

Rs. Crore • restated

METRIC	31 Mar 2026	31 Mar 2025	31 Mar 2024
Assets	613.93	432.07	322.86
Total Income	662.86	457.30	281.12
Profit After Tax	129.73	65.12	17.76
EBITDA	180.42	93.39	31.07
NET Worth	372.84	243.13	178.12
Reserves and Surplus	357.95	239.12	174.11
Total Borrowing	39.04	32.27	42.08

Key performance indicators

P/E Ratio

38.58

EPS (₹)

16.38

RoE

42.12%

RoCE

70.13%

RoNW

34.80%

PAT Margin

19.57%

EBITDA Margin

27.59%

Debt / Equity

0.10

NAV (₹)

50.09

✓ Strengths

• Profit has grown more than seven times in two years, from Rs 17.76 crore in FY2024 to Rs 65.12 crore in FY2025 and Rs 129.73 crore in FY2026.

• Sales have more than doubled over the same period, from Rs 281.12 crore in FY2024 to Rs 662.86 crore in FY2026, a rise of 45% in the last year alone.

• EBITDA went up nearly six times, from Rs 31.07 crore in FY2024 to Rs 180.42 crore in FY2026.

• Return ratios are excellent, with RoCE of 47.61% and RoNW of 26.78%, and the PAT margin was 14.24%.

• The company is almost debt free. Total borrowing was Rs 39.04 crore against a net worth of Rs 372.84 crore as on 31 March 2026.

• Being one of only four RDSO certified makers of 100 MVA 132 kV Scott transformers is a real entry barrier, as that approval takes years to obtain.

• It has a long record of more than 50 years, having started in 1972, with two plants and 19,200 MVA of capacity.

• Demand is supported by grid expansion, railway electrification and renewable energy projects, all of which need transformers.

⚠ Risks

• The issue is priced high on earnings. At the upper band of Rs 632 the P/E is about 38.58 times on an EPS of Rs 16.38.

• The profit jump is very recent. Profit after tax went up 99% in FY2026 alone, off a small base of Rs 17.76 crore two years earlier, and that pace is hard to keep up.

• Sales depend on government and utility spending. Orders come through tenders, so a slow year in state electricity board or railway ordering directly hits the order book.

• Rs 155 crore of the issue money goes into working capital, which shows how much cash a transformer order book ties up between raw material and payment.

• Copper and CRGO steel are the main raw materials. Both are volatile, and a sharp rise on a fixed price order eats straight into margin.

• Both plants are in Meerut in Uttar Pradesh, so any problem at that one location affects all production.

• This is a fresh issue combined with an offer for sale, so a part of the money goes to the selling shareholders and not to the company.

• Utility and railway customers usually pay slowly, and promoter holding falls from 99.72% to 78.64% after the issue.

Promoters & holding

Dinesh Singhal, Adesh Singhal, Vivek Singhal, Abhishek Singhal, Virat Singhal and Aditya Singhal

Pre-issue promoter holding

99.72%

Post-issue promoter holding

78.64%

Data refreshed 07 Nov 2026, 04:59 pm IST. GMP is unofficial market sentiment, not investment advice.