New Delhi, 07 January (H.S.): Modern Diagnostic and Research Centre, a pathology and radiology services provider, made a robust debut on the stock market today, delighting its IPO investors with a strong premium listing. The company’s shares were listed at ₹99.50 on the BSE SME platform, marking a 10.56 percent premium over the IPO issue price of ₹90.

However, after a bout of post-listing selling, the share price settled at ₹96.22 by 10:30 a.m., still giving IPO investors a healthy 6.91 percent profit.Modern Diagnostic’s ₹36.89 crore IPO was open for subscription from December 31 to January 2, attracting overwhelming investor interest.

The issue was subscribed 376.90 times overall, with the Qualified Institutional Buyers (QIB) portion oversubscribed by 193.51 times, Non-Institutional Investors (NII) by 702.08 times, and Retail Investors by 342.46 times. The IPO comprised 4,099,200 new shares with a face value of ₹10 each.

Proceeds from the offering will be used for medical equipment purchases, debt reduction, working capital needs, and general corporate purposes.Financially, the company has shown consistent improvement.

According to its draft red herring prospectus filed with SEBI, Modern Diagnostic posted a net loss of ₹5.73 crore in FY 2022-23, turned profitable with a net profit of ₹5.79 crore in FY 2023-24, and further increased its profit to ₹8.97 crore in FY 2024-25.

In the current fiscal year’s first quarter (April-June 2025), the company earned a profit of ₹3 crore, while its revenue rose at a compound annual growth rate of over 15 percent, reaching ₹78.80 crore.Debt levels have also risen steadily.

The company’s debt stood at ₹15.31 crore at the end of FY 2022-23, climbed to ₹20.46 crore by FY 2023-24, and further increased to ₹22.09 crore by FY 2024-25. By the end of the first quarter of the current fiscal year, the debt burden had reached ₹30.38 crore.

On the reserves front, Modern Diagnostic’s reserves and surplus were ₹4.96 crore at the end of FY 2022-23, grew to ₹10.76 crore by FY 2023-24, slightly dipped to ₹9.73 crore by FY 2024-25, and reached ₹12.72 crore by the end of the first quarter of FY 2025-26.

Hindusthan Samachar / Jun Sarkar