• IPO fund utilization: The approximately 1,760 crore rupee IPO consists predominantly of an OFS providing partial exits to private equity investors, while around 150 crore rupees from the primary issue will be used to retire debt.
• Raw material sourcing: The company is fully backward integrated from soybean sterols and capable of 100% captive production, but it currently sources roughly 50% of raw materials from China based on make-versus-buy cost efficiencies.
• Revenue and profitability: Excluding a one-time 44 crore rupee milestone in FY24, core product revenue grew at a 14% CAGR over the past two years, with gross margins rising from 55% to 64% and EBITDA margins increasing from 24% to 26%.
• Capex and margins: Over 800 crore rupees invested in recent Capex has temporarily depressed net profit margins via higher depreciation, though adjusted EBITDA margins stand above 30% supported by a shift toward advanced markets and higher-margin products.