New Delhi, May 29 (H.S.): Bio Medica Laboratories made a weak debut on the stock market on Thursday, disappointing its IPO investors as the stock listed with a sharp decline on the NSE SME platform.

The company’s IPO shares were issued at ₹139 per share. On listing, the stock opened at ₹111.20, reflecting a 20 percent discount to the issue price. Shortly after listing, heavy selling pressure dragged the stock down further to a low of ₹105.65, hitting the lower circuit limit.

However, renewed buying interest later helped the stock recover partially, breaking the lower circuit. By the end of the trading session, the shares closed at ₹115.80. Despite this recovery, IPO investors suffered a loss of ₹23.20 per share, or 16.69 percent, on the first day itself.

The ₹52.43 crore IPO of Bio Medica Laboratories was open for subscription between May 21 and May 25. The issue received a moderate response and was subscribed 2.26 times overall. The Qualified Institutional Buyers (QIB) portion was subscribed 15.94 times, while the Non-Institutional Investors (NII) segment saw a subscription of 1.30 times. The retail portion was subscribed 2.92 times.

The IPO consisted of 37.32 lakh equity shares of ₹10 face value each. This included approximately 32.06 lakh fresh shares worth around ₹45 crore and about 3.77 lakh shares offered under the Offer for Sale (OFS). Additionally, 1.89 lakh shares worth around ₹3 crore were allocated to the market maker. Funds raised through the fresh issue will be used to expand production capacity, reduce existing debt, meet working capital requirements, and for general corporate purposes.

According to the Draft Red Herring Prospectus (DRHP) filed with SEBI, the company’s financial performance has shown fluctuations but overall improvement in recent years. Net profit stood at ₹33 lakh in FY 2022–23, rising to ₹2.50 crore in FY 2023–24, and further increasing to ₹9.79 crore in FY 2024–25. During April–November FY 2025–26, the company reported a net profit of ₹8.66 crore.

Revenue performance remained mixed. It stood at ₹16.25 crore in FY 2022–23, declined to ₹15.34 crore in FY 2023–24, and then rose sharply to ₹38.33 crore in FY 2024–25. During April–November FY 2025–26, revenue stood at ₹28.63 crore.

The company’s debt levels, however, showed a consistent upward trend. Total borrowings stood at ₹9.61 crore in FY 2022–23, increased to ₹10.49 crore in FY 2023–24, and rose to ₹15.01 crore in FY 2024–25. By April–November FY 2025–26, debt had surged to ₹38.17 crore.

Reserves and surplus also improved steadily, rising from ₹2.34 crore in FY 2022–23 to ₹4.84 crore in FY 2023–24, and further to ₹5.55 crore in FY 2024–25. During April–November FY 2025–26, it increased to ₹7.94 crore.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation) stood at ₹1.70 crore in FY 2022–23, rose to ₹5.63 crore in FY 2023–24, and climbed to ₹15.21 crore in FY 2024–25. For April–November FY 2025–26, EBITDA stood at ₹13.45 crore.

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Hindusthan Samachar / Jun Sarkar