Lohia Corp IPO Set to Surge as Manufacturer Achieves Near 70% Profit Jump in Technical Textiles Market

Lohia Corp IPO Set to Surge as Manufacturer Achieves Near 70% Profit Jump in Technical Textiles Market​

Lohia Corp, a significant player in machinery manufacturing for technical textiles, is set to launch an Initial Public Offering (IPO). The company plans to raise ₹1,102 crore through the offer for sale. This move comes amidst strong financial momentum and solidifying its position in the specialized domestic market.

Financial Performance Highlights Strong Growth Trajectory​

Lohia Corp demonstrated exceptional growth metrics on a year-on-year basis. Revenue from operations surged by 24.7% to reach ₹1,717 crore in FY26. Net profit saw an even more remarkable spike, increasing by 64.2% to ₹193.5 crore.

The company's operational efficiency improved significantly. The EBITDA margin expanded to 19.5% in FY26 from 16.5% reported the previous year. Cash flow from operations grew robustly by 130.1%, climbing to ₹325.2 crore in FY26 over FY25.

Market Position and Operational Scale of Lohia Corp​

Incorporated in 2023, Kanpur-based Lohia Corp specializes in a wide range of manufacturing equipment. Its portfolio includes tape extrusion lines, circular looms, coating and lamination lines, printing and conversion machines, and multifunction yarn machines.

The company operates six specialized facilities, four located within India and one each established in the USA and Italy. This global reach allows it to cater to diverse industrial needs. According to a Frost & Sullivan report, Lohia Corp holds a strong market position, commanding a 40.7% share by value in the domestic woven raffia machines market as of FY25.

Outlook and Risk Factors for Potential Investors​

The business model remains sensitive due to its dependence on agricultural, textile, and construction sectors. These industries are inherently influenced by factors such as real estate activity, weather patterns, crop prices, and fertilizer costs.

While the company exhibits impressive financial health, it is important to note that over 40% of its total revenue derives from overseas markets. A risk factor lies in raw material sourcing, as imported materials accounted for about 16% of the raw material costs in FY26. Potential increases in import duties or geopolitical disruptions could consequently impact production timelines and costs.

Valuation Metrics and Debt Management Status​

The IPO valuation demands a price-earnings (P/E) multiple of 23, based on the post-IPO equity and net profit for FY26. Currently, there are no direct publicly listed peers in this niche sector to benchmark against. However, other comparable engineering/capital goods machinery manufacturers have P/E multiples ranging between 53 and 131.

Financially, the company has managed its debt effectively. Net debt to equity contracted down significantly to 0.2 times in FY26 from 0.5 times recorded in FY25. Furthermore, the business health is evidenced by a growing order book that reached ₹1,358.5 crore as of March 31, 2026, up from ₹828.5 crore on March 31, 2025.