New Delhi, 31 December (H.S.): Edmac Systems, a designer and manufacturer of machinery and automation systems, endured a tepid stock market entry on Wednesday, listing at a 20 percent discount of 191.20 rupees against its 239-rupee IPO price on the BSE SME platform before surging to the 200.75-rupee upper circuit on buying support—yet leaving initial investors with a 16 percent first-day loss amid seamless trading devoid of technical glitches or halts.

The 42.60 crore rupee IPO, open from 23-26 December, achieved moderate 4.13 times overall subscription: QIBs at 1.55 times, NIIs at 7.40 times, and retail at 3.77 times, issuing 17,82,600 equity shares of 10 rupees face value for new machinery, capital expenditure, working capital, and corporate purposes.

Robust Financial Escalation Amid Debt Flux

SEBI's Draft Red Herring Prospectus chronicled accelerating profitability: net profit leaped from 10 lakh rupees in FY23 to 3.35 crore in FY24 and 6.10 crore in FY25, with Q1 FY26 (April-June 2025) posting 3.02 crore rupees. Revenue compounded at over 170 percent CAGR to 53.52 crore rupees by FY25, reaching 23.06 crore in Q1 FY26, though debt fluctuated to 10.15 crore rupees by quarter-end.

Reserves and surplus expanded from 1.13 crore in FY23 to 3.73 crore in FY24, 17.04 crore in FY25, and 20.05 crore by Q1 FY26, signaling growth momentum uninterrupted by financial irregularities.

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Hindusthan Samachar / Jun Sarkar