Anubhav Plast Limited IPO - Business Overview, Insight and Education

Company Overview

The company sells its products under the ANUBHAV brand. Its products are used in electricity transmission and distribution, street lighting, telecom infrastructure, construction, irrigation, water supply, general engineering and fabrication.

In simple words, Anubhav Plast is an infrastructure-linked steel products manufacturing company. Its main products are ERW steel pipes and swaged steel tubular poles.

Anubhav Plast Limited was originally incorporated as Anubhav Plast Private Limited on January 01, 1987.

The company was converted into a public limited company and renamed Anubhav Plast Limited on January 08, 2025.

The registered office of the company is located at 7/41 A, Basement, Basant Tower, Tilak Nagar, Swarup Nagar, Kanpur Nagar, Uttar Pradesh.

Promoters

1. Mr. Onkar Nath Gupta
2. Mr. Vinamra Gupta
3. Mrs. Bina Gupta
4. Mrs. Tanvi Gupta

The company has a business history of more than three decades in steel pipe and pole manufacturing.

What Does Anubhav Plast Do?

Anubhav Plast manufactures and supplies:

1. ERW steel pipes
2. ERW steel tubes
3. Round hollow sections
4. Square hollow sections
5. Swaged steel tubular poles
6. Pipes used for pole manufacturing
7. Products used in electricity distribution and infrastructure
8. Products used in street lighting, telecom, irrigation, construction and engineering

The company started with swaged steel tubular poles and later expanded through backward integration into ERW steel pipe manufacturing.

Main Products

1. ERW Steel Pipes and Tubes

ERW means Electric Resistance Welding.

ERW steel pipes are manufactured by rolling steel sheets or strips into a tubular shape and welding them using electric resistance welding technology.

Anubhav Plast manufactures ERW steel pipes and tubes in different shapes and sizes. These products are used in infrastructure, fabrication, construction, engineering, irrigation, water supply and as internal input for pole manufacturing.

2. Swaged Steel Tubular Poles

Swaged steel tubular poles are steel poles used mainly in electricity distribution, street lighting and infrastructure applications.

The company manufactures swaged steel tubular poles as per tender and customer specifications.

This product is linked to demand from government entities, state electricity boards, public sector undertakings, private contractors and infrastructure customers.

Product Concentration

Anubhav Plast derives a significant portion of revenue from ERW steel pipes and swaged steel tubular poles.

This shows high product concentration.

Manufacturing Facilities

Anubhav Plast operates manufacturing facilities in Kanpur Dehat, Uttar Pradesh.

1. Unit I at Plot No. B-4 & D-8, Industrial Area, Site-1, Rania, Kanpur Dehat
2. Unit II at Gata No. 1354, Kisharwal, Akbarpur, Kanpur Dehat

Unit I is primarily engaged in pole production. Unit II is equipped for manufacturing both ERW steel pipes and swaged steel tubular poles.

Installed Capacity and Capacity Utilisation

The company’s installed capacities are 90,000 MTPA for ERW pipes and 1,50,000 poles per annum.

This shows that the company has significant unused capacity.

The reason is that production is largely order-based and tender-specific. The company cannot always manufacture in advance because pole and pipe specifications may vary from tender to tender.

The company plans to improve utilisation by selling pipes directly in the open market and expanding into related products.

Business Model

1. The company procures hot rolled steel coils and other raw materials.
2. It manufactures ERW steel pipes and tubes.
3. A part of these pipes is consumed internally for pole manufacturing.
4. The company manufactures swaged steel tubular poles as per customer or tender specifications.
5. Products are supplied to private clients, contractors and government-linked customers.
6. Revenue is earned from sale of ERW pipes, steel tubular poles and related products.
7. Profitability depends on raw material cost, tender pricing, order flow, utilisation, working capital and customer payments.

The business is B2B and infrastructure-linked.

Customer Profile

The company serves both private and government-linked customers.

This shows that the company is not only a government tender company. A major part of revenue comes from private and corporate clients. However, government-linked infrastructure and power sector demand remains important for growth.

Related Party Customer - ATCPL

Anubhav Tubes and Conductors Private Limited is a group company and one of the major customers of Anubhav Plast.

For the period ended December 31, 2025, sales to Anubhav Tubes and Conductors Private Limited were Rs. 1,884.98 lakhs, equal to 23.42% of revenue.

In FY2025, sales to this related party were Rs. 3,892.66 lakhs, equal to 39.65% of revenue.

Customer Concentration

This means the company depends on a limited number of customers. Loss of major customers, delay in orders or delay in payments can affect performance.

Supplier Concentration

Raw Material Risk

Hot rolled steel coil is a key raw material for the company.

Steel prices can be volatile due to demand and supply movement, global steel prices, iron ore and coking coal prices, energy cost, government duties and policies, infrastructure demand, export-import policies and currency movement.

Order and Tender Dependency

Anubhav Plast receives business through a mix of direct engagement with private clients and competitive bidding for government orders.

Government orders may depend on tender issuance, tender qualification, technical eligibility, price bidding, budget allocation, project approval, tender cancellation or delay and policy changes.

Private orders may depend on customer project cycles, pricing, supplier preference and delivery performance.

Expansion into Crash Barriers and Solar Panel Structures

The company is in the process of expanding into related segments such as crash barriers and solar panel structure components.

The reason for this expansion is that the company already works with ERW pipes and structural steel products. These raw material and production capabilities may be useful for new infrastructure-linked products.

1. Crash barriers
2. Solar panel mounting structures
3. Solar panel structure components
4. Open-market pipe sales

Objects of the Issue

The IPO proceeds are proposed to be used for company purposes because the issue is a fresh issue.

The key object is linked to funding business requirements and expansion-related needs. Investors should study the final price band and final prospectus for the exact object-wise amount after pricing.

Since the company has low capacity utilisation and wants to expand into open-market pipe sales, crash barriers and solar structures, actual utilisation of IPO funds should be tracked after listing.

Financial Performance

IPORupee View on Financials

The company’s revenue has remained fairly stable and PAT has improved significantly.

PAT increased from Rs. 74.36 lakhs in FY2023 to Rs. 599.68 lakhs in FY2025. For the period ended December 31, 2025, PAT was Rs. 529.57 lakhs.

This is positive. However, the business remains dependent on a limited product portfolio, a limited customer base and a limited supplier base.

The company also has low capacity utilisation, which means the installed capacity is not being used fully. If the company can improve order flow and direct pipe sales, utilisation may improve. But if orders remain tender-dependent or concentrated, utilisation may remain low.

Key Strengths

1. Long Operating History: The company was incorporated in 1987 and has more than three decades of business history.
2. Infrastructure-Linked Products: The company’s products are used in electricity transmission, street lighting, telecom, water supply, irrigation, construction and engineering.
3. ANUBHAV Brand: The company manufactures under the ANUBHAV brand.
4. Backward Integration: The company started with poles and later installed tube mills to manufacture ERW pipes, which are also used internally.
5. Installed Capacity: The company has installed capacity of 90,000 MTPA for ERW pipes and 1,50,000 poles per annum.
6. Profit Improvement: PAT improved from Rs. 74.36 lakhs in FY2023 to Rs. 599.68 lakhs in FY2025.
7. Fresh Issue Only: The IPO has no OFS. IPO proceeds are meant for company purposes.
8. Expansion Opportunity: The company is exploring direct pipe sales, crash barriers and solar panel structures, which may help improve capacity utilisation and diversify revenue.

Key Risks

1. Product Concentration: ERW steel pipes and steel tubular poles contributed 80.19% of revenue for the period ended December 31, 2025 and 89.90% in FY2025.
2. Customer Concentration: Top 10 customers contributed 66.42% of revenue for the period ended December 31, 2025 and 82.10% in FY2025.
3. Related Party Customer Risk: Anubhav Tubes and Conductors Private Limited, a group company, contributed 23.42% of revenue for the period ended December 31, 2025 and 39.65% in FY2025.
4. Supplier Concentration: Top 10 suppliers contributed 98.30% of purchases for the period ended December 31, 2025.
5. Raw Material Price Risk: Hot rolled steel coil is a key raw material. Any adverse steel price movement can affect margins.
6. Low Capacity Utilisation: Capacity utilisation was low in both tube mill and pole manufacturing operations. Low utilisation can affect operating efficiency.
7. Tender and Order Dependency: A part of business depends on tender cycles and customer project cycles. Any delay or cancellation can affect revenue.
8. Single Geographic Manufacturing Region: The company’s manufacturing facilities are concentrated in Kanpur Dehat, Uttar Pradesh.
9. Expansion Execution Risk: The company is planning to expand into crash barriers and solar panel structures, but these initiatives are still at an early stage.
10. Compliance Delay Risk: The RHP mentions certain past delays in regulatory filings and statutory payments such as GST, PF and ESIC-related matters.
11. Working Capital Risk: Infrastructure-linked manufacturing and tender-based supply can require working capital for raw material, production and receivables.
12. SME Listing Risk: This is a BSE SME IPO. SME stocks may have lower liquidity, higher volatility and higher exit risk compared with mainboard IPOs.