Johnsoncab Electricals Limited is preparing to launch its initial public offering on the BSE SME platform. According to the red herring prospectus, the Gujarat-based manufacturer produces low-voltage wires and cables rated up to 1.1 kV under the “Johnson Cables” brand. The company caters to power transmission and distribution, renewable energy, railway infrastructure, construction, industrial operations, and agricultural irrigation.
The company’s manufacturing infrastructure consists of two production units located in Mehsana, Gujarat. As of March 2026, these facilities have a combined installed annual capacity of 79,950 km. The operational workflow encompasses wire drawing, annealing, stranding, insulation, sheathing, armouring, and stringent quality testing. The company supplies its portfolio to private-sector customers, government entities, and distributors. Geographical concentration is notable, with Gujarat accounting for 70.91% of the revenue in FY2026. As of March 31, 2026, the permanent workforce stood at 167 employees.
Johnsoncab Electricals IPO Structure and Timeline
The book-built issue is scheduled to open for bidding on 30 October 2026 and close on 3 November 2026. The price band has been fixed at INR 190 to INR 200 per share. The entire offering comprises a fresh issue of 28,00,800 equity shares with a face value of INR 10 each, aggregating to INR 53.22 crore to INR 56.02 crore. There is no offer for sale component.
| IPO Parameter | Details |
|---|---|
| Issue Period | 30 October 2026 – 3 November 2026 |
| Price Band | INR 190 to INR 200 per share |
| Total Issue Size | 28,00,800 shares (INR 53.22 – 56.02 crore) |
| Fresh Issue | 28,00,800 shares |
| Offer for Sale | Nil |
| Lot Size | 600 shares (Minimum investment of INR 1,20,000 at the upper band) |
| Minimum Bid | 1,200 shares (INR 2,40,000) |
| Listing Platform | BSE SME |
The net issue reserves not more than 50% of shares for Qualified Institutional Buyers (QIBs), not less than 15% for Non-Institutional Investors (NIIs / HNIs), and not less than 35% for Retail Investors. A market maker portion of 1,41,600 shares is allocated within the structure.
Objects of the Issue and Use of Proceeds
The company intends to direct the net proceeds from the fresh issuance toward specific growth and operational requirements:
- Capital expenditure amounting to INR 7.9 crore, which includes constructing an additional factory shed, procuring plant and machinery for production expansion, installing equipment for manufacturing Paper Insulated Copper/Aluminium Conductors, and setting up a rooftop solar power plant.
- Funding incremental working capital requirements amounting to INR 14 crore.
- General corporate purposes.
Financial Performance and Operating Margins
The financial statements indicate sustained revenue and profitability expansion across the past three fiscal years, driven by robust demand from infrastructure and renewable energy sectors.
| Financial Metric (INR Crore) | FY2024 | FY2025 | FY2026 |
|---|---|---|---|
| Revenue from Operations | 88.34 | 139.79 | 210.47 |
| Total Expenses | 85.65 | 132.63 | 193.40 |
| Net Income (PAT) | 2.52 | 5.46 | 13.42 |
| Net Profit Margin (%) | 2.85% | 3.91% | 6.38% |
| EBITDA Margin (%) | 6.14% | 8.68% | 11.43% |
Financial and Valuation Analysis
Market Impact and Investor Sentiment
The positioning of Johnsoncab Electricals within the low-voltage wires and cables segment places it directly in the path of expanding power transmission, construction, and renewable energy investments. Market participants evaluating the SME offering will likely look closely at the company’s regional concentration, with 70.91% of FY2026 revenues stemming from Gujarat. While regional strength offers localized operational efficiencies, diversification across broader geographies remains a key growth vector for long-term scalability.
Company and Business Impact
The operational data shows consistent scaling, with revenue jumping from INR 88.34 crore in FY2024 to INR 210.47 crore in FY2026. Profitability has scaled at an even faster pace, with net income surging from INR 2.52 crore to INR 13.42 crore over the same timeframe. This expansion reflects operating leverage, pushing the EBITDA margin from 6.14% to 11.43% and net profit margin from 2.85% to 6.38%. The deployment of IPO proceeds toward capital expenditure and working capital (INR 14 crore) is expected to support the utilization of the 79,950 km annual capacity.
Valuation and Financial Ratios
Based on the upper price band of INR 200, the pre-issue EPS for FY2026 stands at INR 17.81, translating to a pre-issue P/E ratio of 10.67 to 11.23x. On a post-issue diluted basis, the EPS adjusts to INR 13.09, resulting in a P/E ratio of 14.51 to 15.28x. Return metrics demonstrate strong efficiency: Return on Net Worth (RoNW) reached 42.68% in FY2026, while Return on Equity (ROE) touched 58.75%, and ROCE stood at 39.68%. Leverage, measured by Debt/Equity, improved from 3.70 in FY2024 down to 2.54 in FY2026, pointing to gradual balance-sheet consolidation.
| Valuation / Ratio Metric | FY2024 | FY2025 | FY2026 (Pre-Issue) | FY2026 (Post-Issue) |
|---|---|---|---|---|
| Earnings Per Share (EPS) | INR 3.36 | INR 7.29 | INR 17.81 | INR 13.09 |
| P/E Ratio | – | – | 10.67 – 11.23x | 14.51 – 15.28x |
| Price/Sales Ratio | – | – | 0.70 – 0.74x | 0.95 – 1.00x |
| Return on Equity (ROE) | 32.93% | 47.27% | 58.75% | – |
| Debt to Equity | 3.70 | 2.93 | 2.54 | – |
When evaluated against listed peers disclosed in the red herring prospectus, Johnsoncab Electricals exhibits competitive positioning. Prime Cable Industries trades at a P/E of 27.31x with a revenue of INR 234.88 crore, Susan Electricals India trades at 20.19x with revenues of INR 269.36 crore, and JD Cables operates at a P/E of 14.78x with revenues of INR 364.59 crore. Johnsoncab’s post-issue P/E of 15.28x sits near the lower-middle range of this peer set while delivering a high RoNW of 42.68%.
Key Takeaways
- Johnsoncab Electricals is offering 28,00,800 shares via a fresh issue to raise between INR 53.22 crore and INR 56.02 crore.
- The IPO price band is set at INR 190 to INR 200 per share, with the bidding window running from 30 October 2026 to 3 November 2026.
- Revenue grew rapidly from INR 88.34 crore in FY2024 to INR 210.47 crore in FY2026, accompanied by net profit scaling to INR 13.42 crore.
- Return metrics remain robust, with FY2026 ROE at 58.75% and RoNW at 42.68%, alongside a moderating debt-to-equity ratio of 2.54.
- Proceeds will fund capital expenditure of INR 7.9 crore and working capital needs of INR 14 crore to support existing manufacturing capacity in Mehsana, Gujarat.
Frequently Asked Questions
The price band for the Johnsoncab Electricals IPO is set at INR 190 to INR 200 per share.
The IPO opens on 30 October 2026 and closes on 3 November 2026.
The total issue size is 28,00,800 shares, aggregating to INR 53.22 crore to INR 56.02 crore through a fresh issue.
The shares will list on the BSE SME platform.
The minimum lot size is 600 shares, requiring an investment of INR 1,20,000 at the upper price band.
The registrar for the issue is Maashitla Securities Private Limited.
The proceeds will be utilized for capital expenditure including factory shed construction and machinery installation (INR 7.9 crore), working capital requirements (INR 14 crore), and general corporate purposes.
The company reported revenue from operations of INR 210.47 crore for FY2026.
