About the Business
Incorporated in 1972, Kanohar Electricals Limited is a specialized power and distribution transformer manufacturing company catering to key infrastructure sectors including power transmission and distribution, railways, and renewable energy across India.
The company operates across two main verticals: transformer manufacturing and Engineering, Procurement, and Construction (EPC). Notably, Kanohar Electricals is one of only four certified manufacturers approved by the Research Designs and Standards Organisation (RDSO) of Indian Railways for producing 100 MVA 132 kV Scott transformers.
- Two advanced manufacturing facilities located in Meerut, Uttar Pradesh (Rithani and Gangol) with an aggregate transformer manufacturing capacity of 19,200 MVA as of March 31, 2026.
- Strategic regional office footprint spanning New Delhi, Mumbai, Kolkata, Bengaluru, and Chennai, supported by 526+ permanent employees.
- Specialized technical certification and strong market positioning within Indian Railways infrastructure and power transmission grids.
The company’s promoters are Dinesh Singhal, Adesh Singhal, Vivek Singhal, Abhishek Singhal, Virat Singhal, and Aditya Singhal.
Financial Overview
Kanohar Electricals Ltd. exhibited exceptional financial growth, with total income expanding by 45% and Profit After Tax (PAT) surging by 99% between FY25 and FY26.
| Metric (₹ Cr) | FY 2026 | FY 2025 | FY 2024 |
|---|---|---|---|
| Total Income | ₹662.86 | ₹457.30 | ₹281.12 |
| Operating EBITDA | ₹180.42 | ₹93.39 | ₹31.07 |
| PAT (Profit After Tax) | ₹129.73 | ₹65.12 | ₹17.76 |
| Net Worth | ₹372.84 | ₹243.13 | ₹178.12 |
| Reserves & Surplus | ₹357.95 | ₹239.12 | ₹174.11 |
| Total Borrowings | ₹39.04 | ₹32.27 | ₹42.08 |
| Total Assets | ₹613.93 | ₹432.07 | ₹322.86 |
Restated Figures | Source: RHP Filings
Key Financial Metrics (FY26)
Issue Reservation
| Investor Category | Allocation Limit |
|---|---|
| QIB Shares Offered | Not more than 50% of the Net Offer |
| Retail (RII) Shares Offered | Not less than 35% of the Net Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Net Offer |
Objects of the Issue
The net proceeds from the fresh issue segment (₹300.00 Cr) are proposed to be allocated toward:
- Funding capital expenditure requirements of the company ₹64.18 Cr
- Funding incremental working capital requirements of the company ₹155.00 Cr
- General Corporate Purposes Balance
Kanohar Electricals Limited commands strong industry positioning as a specialist heavy electrical equipment supplier backed by elite Indian Railways RDSO certifications, exceptional returns on capital (ROCE of 70.13%), and high net profitability (PAT margin of 19.57%).
The business maintains low financial leverage (Debt/Equity of 0.10) while scaling rapidly alongside public infrastructure build-out. At the upper price band of ₹632, the post-issue P/E ratio stands at 38.58x with a total market capitalization of ₹5,004.61 Cr. Given the heavy capital allocation toward working capital and robust sector demand, this primary issue presents an attractive opportunity for growth-focused investors.
