Sacheerome IPO Review – Comprehensive Analysis (June 2025)
Sacheerome Limited, a niche fragrance and flavour manufacturing firm, is launching its Initial Public Offering (IPO) in June 2025. Here’s a detailed breakdown of the offering, company fundamentals, financials, industry position, and associated risks—designed for investors seeking factual, data-backed insights.
🏢 Company Overview
- Founded: 1992
- Business Model: B2B manufacturing and supply of fragrances and flavours
- Focus Sectors: FMCG (Food & Non-Food), Personal Care, Home Care, Beverages, Bakery, Confectionery
- Key Products:
- Fragrances: Personal care, hygiene, fine fragrance, fabric care, wellness
- Flavours: Dairy, bakery, beverages, oral care, seasonings
- Client Base: FMCG companies in India and abroad
- Promoters: Mr. Manoj Arora (Managing Director)
- Manufacturing & R&D: Operates advanced facilities in Okhla Industrial Area, New Delhi with robotic European machinery and modern evaluation labs
- Certifications: ISO 9001:2015, adheres to IFRA, FSSAI, and European Commission standards
📅 IPO Timeline
| Event | Date / Detail |
|---|---|
| IPO Opening Date | 9 June 2025 |
| IPO Closing Date | 11 June 2025 |
| Allotment Date | [To be updated post issue] |
| Listing Date | [To be updated post issue] |
| Price Band | ₹96 – ₹102 |
| Lot Size | 1,200 Shares |
| Minimum Investment | ₹1,15,200 |
| Issue Size | ₹61.62 Crores |
| Issue Type | Combination (Fresh Issue/OFS if applicable) |
📈 Financial Performance (₹ in Crores)
| Fiscal Year | Revenue | Profit After Tax (PAT) | Total Assets |
|---|---|---|---|
| FY2022 | 63.88 | 4.55 | 49.08 |
| FY2023 | 70.49 | 5.99 | 49.22 |
| FY2024 | 85.09 | 10.61 | 63.51 |
🔍 Industry & Peer Comparison
- Sector: Fragrance & Flavour Manufacturing
- Peer Group: S H Kelkar & Co., Oriental Aromatics, and international players like Givaudan (Switzerland)
- Industry Position:
- Sacheerome is a mid-sized B2B player with steady revenue growth
- Offers niche, proprietary fragrance technologies (e.g., Sach/Maxicaps)
- Margins & Profitability:
- Improving PAT margins (FY24 PAT up 77% YoY)
- Asset-light with investment in R&D-driven innovation
✅ Key Strengths
- 🧪 Advanced R&D Capabilities: Dedicated in-house labs, GC-MS & HS-GCMS equipment
- 🤖 Modern Robotic Production: Imported European tech in New Delhi plant
- 🌍 International Standard Compliance: IFRA, FSSAI, EC norms, ISO certification
- 👥 Experienced Team: In-house perfumers, flavourists, technologists
- 🚀 Growth Track Record: Consistent rise in revenue and PAT over last 3 years
- 🧬 Proprietary Technologies: Developing innovative products like Sach/Maxicaps, Sach/Odocon
⚠️ Risks & Concerns
- ⚠️ Customer Concentration: Top 5 clients contributed over 45% of revenue in each of the past 3 years
- 💸 Negative Cash Flow from Investing Activities: ₹13.55 Cr in H1 FY25, consistent negative trend over 3 years
- ⚖️ Legal Proceedings: Ongoing legal cases could adversely affect business
- 📝 Compliance Delays: Past delays in statutory filings under Companies Act
- 🧾 Financial Indebtedness: ₹1.68 Cr outstanding as of September 2024
📄 IPO Document
📥 Please refer to the official DRHP/RHP of Sacheerome Limited for complete and detailed information.
📌 Disclaimer
This analysis is based on publicly available information including the Draft Red Herring Prospectus (DRHP), Red Herring Prospectus (RHP), and regulatory exchange filings. It is provided for informational and educational purposes only and does not constitute investment advice. Readers are strongly encouraged to conduct their own due diligence or consult a financial advisor before making any investment decisions. Read the Disclaimer page for more details.