Injecto Polymers IPO

Subscription Status

Strengths

• ✓The company manufactures polypropylene woven fabrics and bags, BOPP bags, leno bags, FIBC bags, and other packaging products used across food, agriculture, chemicals, construction and other industries. Its products can also be customised in different shapes and sizes based on customer requirements.
• ✓The company operates two manufacturing units in West Bengal, with locations in proximity to Kolkata, Odisha, Jharkhand, Bihar, and major rice-producing regions. The company states that the facilities have access to ports, airports and highways, supporting the movement of products to customers.
• ✓The company is ISO 9001:2015 certified for quality management systems and ISO 22000:2018 certified for food safety management systems. It also holds BIS certification for food-grade packaging and claims to conduct tensile, UV, surface resistibility, FIBC rig and drop testing as part of its quality checks.
• ✓In addition to manufacturing packaging products, the company trades in plastic granules and PVC resins. A portion of the traded materials is used for captive consumption, while the remaining quantities are sold through its trading operations.
• ✓The company has completed two expansion phases at Unit I, increasing its installed capacity to 8,470 MT, while a further 2,400 MT capacity is undergoing commissioning. It also has a 2,400 MT operational capacity at Unit II and has proposed another 4,800 MT expansion at Unit I.
• ✓The company has witnessed a consistent increase in its revenue from operations and profit after tax (PAT). Revenue from operations increased from Rs 109.05 crore in FY24 to Rs 261.48 crore in FY25 and Rs 375.53 crore in FY26. PAT increased from Rs 4.44 crore in FY24 to Rs 8.11 crore in FY25 and Rs 16.01 crore in FY26.

Risks

• !The company derives a significant portion of its revenue from a limited number of customers, exposing it to customer concentration risk. Revenue from its top 10 customers contributed Rs 150.47 crore (40.07%), Rs 106.23 crore (40.63%), and Rs 40.57 crore (37.20%). Any adverse change in its relationship with these customers, including lower order volumes, delayed payments or termination, could adversely affect its revenue, cash flows, and financial performance.
• !The company derives a significant portion of its revenue from trading activities. Trading contributed Rs 189.12 crore (50.36%), Rs 139.09 crore (53.19%), and Rs 30.15 crore (27.65%) of revenue from operations in FY26, FY25, and FY24, respectively. Any adverse developments in the trading business, including price volatility, demand-supply fluctuations, higher inventory requirements, low margins, or counterparty defaults, could adversely affect its financial performance and cash flows.
• !The company’s revenue from operations is concentrated in West Bengal and other eastern states of India. Revenue from West Bengal accounted for Rs 320.21 crore (85.27%), Rs 198.37 crore (75.86%), and Rs 89.68 crore (82.24%) of total revenue from operations in FY26, FY25, and FY24, respectively, while other eastern states contributed Rs 26.45 crore (7.04%), Rs 20.84 crore (7.97%), and Rs 14.06 crore (12.89%). Any adverse economic, political, regulatory, or environmental developments in these regions could negatively affect the company’s revenue and results of operations.
• !The company is dependent on a limited number of suppliers for its raw materials. Its top 10 suppliers contributed Rs 273.66 crore (72.72%), Rs 157.74 crore (62.94%), and Rs 43.39 crore (50.88%) to total purchases in FY26, FY25, and FY24, respectively. Any loss of key suppliers or disruption in their ability to supply could affect the company’s production schedules, customer order fulfilment and financial performance.
• !The company, its promoters, directors, KMPs, SMPs and group companies are involved in certain ongoing legal proceedings. These proceedings are stated to be incidental to the ordinary course of business. Any adverse rulings or outcomes in these matters could adversely affect the company’s business, financial condition, results of operations or reputation.
• !The company has recorded negative cash flows from operating activities in FY26, FY25, and FY24. Net cash used in operating activities stood at Rs 48.80 crore, Rs 16.89 crore, and Rs 12.95 crore, respectively. In FY26, the negative cash flow was primarily due to an increase in inventories of Rs 66.08 crore, while in FY25 it was mainly due to an increase in inventories of Rs 34.64 crore and in FY24 due to increases in inventories of Rs 3.93 crore and trade receivables of Rs 1.04 crore, and a decrease in trade payables, resulting in a cash outflow of Rs 13.90 crore. Continued negative operating cash flows could constrain the company’s liquidity and its ability to fund working capital, service debt and pursue expansion plans.
• !The company operates in a highly fragmented and competitive plastic and polymers industry. It faces competition from both organised and unorganised players, including smaller entities and other players of comparable size across various market segments. As the company expands into newer geographies, it may also face competition from players with greater capital, longer operating histories, stronger market presence, and wider market penetration, which could affect its competitive position and profitability.
• !The company has significant and increasing working capital requirements, with a substantial portion tied up in inventories and trade receivables. Net working capital increased from Rs 68.10 crore as of March 31, 2024, to Rs 101.61 crore as of March 31, 2025, and further to Rs 181.71 crore as of March 31, 2026. As the company does not intend to use IPO proceeds to meet its working capital requirements and plans to rely on internal accruals or external sources, any delay in realising receivables or inventories or failure to secure sufficient funding could adversely affect its liquidity, operations, and profitability.
• !The company has a significant amount of funds tied up in trade receivables. Trade receivables increased from Rs 31.43 crore as of March 31, 2024, to Rs 35.80 crore as of March 31, 2025, and further to Rs 64.26 crore as of March 31, 2026. Any delay or failure in collecting these receivables could adversely affect the company’s liquidity, working capital position and financial performance.
• !The company has significant outstanding borrowings of Rs 165.19 crore. Any failure to service or repay these borrowings could adversely affect the company’s business, financial condition and cash flows.

About Injecto Polymers

Injecto Polymers Limited is a manufacturer of packaging products and trades in plastic granules and polyvinyl chloride (PVC) resins. Its manufactured products include polypropylene (PP) woven fabrics and bags, biaxially oriented polypropylene (BoPP) bags, leno bags, low-density and polyester pouches, flexible intermediate bulk container (FIBC) bags, and non-woven bags. These products are used for packaging applications across industries such as agriculture, construction, textiles, chemicals, and consumer goods. The company primarily operates on a business-to-business (B2B) model and supplies products in customised shapes and sizes based on customer requirements. Its manufacturing operations use raw materials including PP granules, linear low-density polyethylene (LLDPE), low-density polyethylene (LDPE), high-density polyethylene (HDPE), plastic resins, and specialty polymers. The company operates two manufacturing units in West Bengal, located at Jaugram, Jamalpur, and Panchpara, Howrah. Unit I also has an in-house testing facility and a 1 MWp rooftop solar power plant. Use of proceeds: This is a fresh issue of shares. Therefore, the net proceeds from the fresh issue will go to the company. They will be utilised for the following purposes: Repayment/pre-payment, in full or in part, of certain outstanding borrowings availed by the company — Rs 10 crore Funding the capital expenditure towards setting up phase IV at the existing manufacturing facility — Rs 30.50 crore General corporate purposes