HD Fire Protect
What they do: The company operates in a sector that requires significant capital investment, as indicated by its financial structure and the need for an IPO to raise funds.
By IPO Milega Research · Published
The company has shown a declining revenue trend over the past three fiscal years, with a significant drop in FY2026.
- GMP (unofficial)
- +31.73%
- ₹86 a share
- Opens
- 13 Oct
- Closes 15 Oct
- Min. investment
- ₹14,905
- 55 shares
GMP is an unofficial grey market indication.
- Price band
- ₹258-271
- Lot size
- 55 shares
- Min. investment
- ₹14,905
- Issue size
- 712 Cr.
- Open13 Oct 2026
- Close15 Oct 2026
- Allotment16 Oct 2026
- Listing20 Oct 2026
Overview
₹357 (+31.73%)
GMP trend
Unofficial grey market quotes, times in IST
Outer ring: estimated gain
How the score adds up
The overall score is the average of these five, nudged by QIB demand once bidding closes.
- Financials6.0
- Performance8.0
- Flexibility8.0
- Timing7.0
- Risk4.0
The expected gains on listing are based on the current Grey Market Premium (GMP) of 357, which indicates a 31.73% premium over the issue price. This suggests strong market interest and potential for significant listing gains.
Strengths3
- Second-largest in operating income in India for fire protection equipment.
- Largest exporter by value in Fiscal 2025.
- Holds 4 patents and numerous certifications (21 UL Listed and 87 FM Approved).
Concerns5
- High reliance on top 10 suppliers for 59.28% of expenses.
- 32.78% revenue from international markets, exposing to foreign currency risk.
- Legal proceedings and past non-compliance under Companies Act.
- Fluctuations in raw material prices, especially imports from China.
- Potential malfunctions of fire protection equipment.
Who gets shares
- QIB50%
- NII15%
- Retail35%
- Retail Minimum14,9051 lots, 55 shares
- Retail Maximum1,93,76513 lots, 715 shares
- S-HNI Minimum2,08,67014 lots, 770 shares
- S-HNI Maximum9,98,63567 lots, 3685 shares
- B-HNI Minimum10,13,54068 lots, 3740 shares
| Application | Lot size | Shares | Amount |
|---|---|---|---|
| Retail Minimum | 1 | 55 | 14,905 |
| Retail Maximum | 13 | 715 | 1,93,765 |
| S-HNI Minimum | 14 | 770 | 2,08,670 |
| S-HNI Maximum | 67 | 3685 | 9,98,635 |
| B-HNI Minimum | 68 | 3740 | 10,13,540 |
Timing
7.0/10The market timing for HD Fire Protect's IPO appears favorable. The company's robust financials and operational performance provide a solid foundation for the offering. The IPO size suggests a strong market interest, although potential investors should be mindful of the contingent liabilities and related party transactions that could impact future performance.
- Time to market
- The company's financial health and growth trajectory suggest that the timing is well-aligned with market conditions, maximizing the potential for a successful capital raise.
- How allotment works
- Basis of allotment finalized and shares credited to demat
- Market timing
- Favourable
- Time to market
- 8.0
- Listing on
- BSE, NSE
Key milestones
- 13 Oct 2026IPO Opens
- 15 Oct 2026IPO Closes
- 16 Oct 2026Basis of Allotment
- 19 Oct 2026Refunds Initiated
- 19 Oct 2026Credit to Demat Account
- 20 Oct 2026Listing Date
Financials
6.0/10- Revenue
- ₹505 Cr
- +12.1%
- Profit after tax
- ₹117 Cr
- +6.6%
- Net margin
- 23.1%
- -1.2 pts
- Assets
- ₹432 Cr
- -90.4%
- Return on equity
- 5.0
- Debt to equity
- 0.6
- Current ratio
- 1.5
- Revenue CAGR
- -45%
- ROCE
- 40.33%
- Return on net worth
- 31.07%
- NAV per share (₹)
- 21.45
Financial performance trend
Amount ₹ in croresThe company has shown a declining revenue trend over the past three fiscal years, with a significant drop in FY2026. Despite this, it has maintained a positive EBITDA, although it also decreased in FY2026. The company's financial health is moderate, with a need for improvement in revenue generation and profitability.
Risk
4.0/10Read this score as a safety rating: 10/10 means the lowest risk, 1/10 the highest.
Where the risks sit
- Financial risks3
- Market risks2
- Operational risks3
- Regulatory risks1
Significant reliance on suppliers, foreign currency exposure, and legal issues pose substantial risks to operations and financial stability.
How the company offsets these
Management oversees risk management; no speculative derivative trading allowed.
Financial risks3
- Fluctuations in raw material prices and availability.
- Working capital risks from trade receivables.
- Foreign currency exposure due to international revenue.
Market risks2
- 32.78% revenue from international markets.
- Reliance on imports, especially from China.
Operational risks3
- High reliance on top 10 suppliers.
- Under-utilization risk at Jalgaon facility.
- Potential malfunctions of fire protection equipment.
Regulatory risks1
- Legal proceedings and past non-compliance under Companies Act.
Performance
8.0/10HD Fire Protect Private Limited is a prominent player in the Indian fire protection equipment industry, demonstrating strong financial growth and operational efficiency. The company is the second-largest by operating income and the largest exporter by value in Fiscal 2025. It has shown a consistent revenue growth with a CAGR of 14.54% from Fiscal 2024 to Fiscal 2026. The company is strategically investing in manufacturing expansion and product innovation, focusing on sustainable solutions to enhance its market position.
- Historical growth
- The company has experienced a steady growth trajectory with a revenue CAGR of 14.54% from Fiscal 2024 to Fiscal 2026., 14.54% CAGR
- Market comparison
- HD Fire Protect is a leading player in the Indian market, second only in operating income but leading in exports, indicating a strong competitive position.
- Future potential
- The company is expected to continue its growth trajectory by expanding its manufacturing capabilities and focusing on high-potential markets like Saudi Arabia and Southeast Asia.
- Operational consistency
- The company has shown stable revenue growth and profitability, supported by strategic investments and market expansion.
- Experience
- The management team is led by Harish Narshi Dharamshi, indicating experienced leadership.
- Track record
- The company has maintained a strong financial performance and strategic growth initiatives.
Key achievements
- 01Second-largest in operating income in India for fire protection equipment.
- 02Largest exporter by value in Fiscal 2025.
- 03Holds 4 patents and numerous certifications (21 UL Listed and 87 FM Approved).
Flexibility
8.0/10The company has a significant global presence, exporting to over 90 countries, and holds numerous international certifications, which positions it well in a highly regulated industry. Its ability to adapt to different market requirements and maintain a strong export revenue stream highlights its market adaptability.
The company has consistently high operating and net profit margins, a zero gearing ratio, and strong RoE and RoCE figures, indicating excellent financial health and stability.
The company operates two manufacturing facilities and has expanded its capacity, demonstrating operational agility. It also engages in contract manufacturing and white labeling, allowing it to quickly adapt to market demands.
The company demonstrates strong flexibility and adaptability, evidenced by its robust financial performance, diversified product portfolio, and extensive global reach. It maintains a zero gearing ratio, indicating financial stability, and has a strong export presence in over 90 countries. The company is well-positioned in a high-barrier industry with numerous certifications, enhancing its competitive edge.
- Product diversification
- The company offers a comprehensive portfolio of fire protection equipment and systems across eight product categories, serving diverse sectors such as industrials, aerospace, oil & gas, and pharmaceuticals.
- Future adaptability
- The company is well-positioned for future adaptability with ongoing R&D initiatives, a strong focus on next-generation technologies, and a robust innovation pipeline, including new product designs and patent applications.
The data on this page has been reviewed manually by the IPO Milega research team. It is not investment advice, and IPO Milega accepts no responsibility for losses arising from any investment decision. Investments in the securities market are subject to market risks. Read all the related documents, including the full prospectus, carefully before investing.