New Delhi, 12 June (H.S.):Shares of AI-focused company GenXAI Analytics made a disappointing debut on the stock market on Friday. The company's shares were listed on the NSE SME platform at a steep discount to the issue price, resulting in losses for IPO investors on the very first day of trading.

The company had fixed the IPO issue price at ₹116 per share. However, the stock entered the market at ₹92.80, representing a discount of 20 percent. Despite the weak listing, buying interest emerged later in the session, helping the stock recover partially and hit its upper circuit limit of ₹97.40. Even at that level, IPO investors were facing a loss of ₹18.60 per share, or 16.03 percent, compared to the issue price.

GenXAI Analytics' ₹54.84-crore IPO was open for subscription from June 5 to June 9 and received a strong response from investors. The issue was subscribed 16.99 times overall. The Qualified Institutional Buyers (QIB) segment was subscribed 17.58 times, the Non-Institutional Investors (NII) category 30.92 times, and the retail investors' portion 12.59 times.

Under the IPO, the company issued 4.728 million fresh equity shares with a face value of ₹10 each. The proceeds from the issue are intended to be used for debt reduction, working capital requirements and other general corporate purposes.

In terms of financial performance, the company has recorded notable growth in both revenue and profitability over the past few years. According to its Draft Red Herring Prospectus (DRHP), net profit rose from ₹84 lakh in FY 2022-23 to ₹2.65 crore in FY 2023-24 and further to ₹6.55 crore in FY 2024-25. During the first nine months of FY 2025-26 (April–December 2025), the company had already reported a net profit of ₹13.31 crore.

The company also witnessed steady growth in revenue. Revenue increased from ₹16.61 crore in FY 2022-23 to ₹24.21 crore in FY 2023-24 and ₹28.88 crore in FY 2024-25. In the first nine months of FY 2025-26, revenue surged to ₹64.47 crore.

However, alongside its financial growth, the company's debt burden also increased significantly. Total borrowings stood at ₹82 lakh at the end of FY 2022-23, rising to ₹4.11 crore in FY 2023-24 and ₹7.27 crore in FY 2024-25. By December 2025, the company's total debt had climbed to ₹16.07 crore.

Despite the increase in debt, the company also recorded strong growth in net worth and reserves. Net worth rose from ₹1.77 crore in FY 2022-23 to ₹4.43 crore in FY 2023-24 and ₹11.03 crore in FY 2024-25. By December 2025, it had expanded to ₹30.74 crore.

Similarly, reserves and surplus increased from ₹1.58 crore in FY 2022-23 to ₹4.23 crore in FY 2023-24 and ₹11.30 crore in FY 2024-25. During the first nine months of FY 2025-26, this figure rose further to ₹19.19 crore.

The company's EBITDA, a key indicator of operational performance, also strengthened consistently. It increased from ₹1.42 crore in FY 2022-23 to ₹4.13 crore in FY 2023-24 and ₹10.03 crore in FY 2024-25. By December 2025, EBITDA had reached ₹18.97 crore.

Market experts noted that despite the company's strong financial metrics and growth trajectory, its stock failed to meet investor expectations on listing day. Nevertheless, investors are expected to closely monitor the company's future business performance and the growth prospects of the artificial intelligence sector in the coming months.

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Hindusthan Samachar / Jun Sarkar