Netweb Technologies IPO GMP : Netweb Technologies Ltd IPO Quote, Date, Price
Netweb Technologies was founded in 1999 and has since become India’s preeminent provider of HCS. Supercomputers, private clouds, HCI, data centre servers, artificial intelligence (AI) systems, business workstations, and HPS solutions are all part of the company’s offerings.
Its clientele includes not just the IT and media businesses but also the BFSI sector, national data centre, and government agencies including the armed forces and universities. Orders totaling 90 crore as of May 31, 2023, came from high-profile clients such IITs, NMDC, Airamatrix, Graviton, JNU, Hemvati University, Akamai, APT, Yotta, and CUHP University.
The company employs 38 people in its R&D and manufacturing facilities in Faridabad, Gurgaon, and Hyderabad. It also works with companies like Intel, AMD, and Nvidia as well as other technological partners to develop new products and deliver specialised services to meet the needs of its diverse clientele.
Price Range: ₹475 – ₹500
Minimum Quantity: 30
Also Read : https //kosmic.kfintech.com IPO Status
Netweb Technologies India IPO Timetable
| Particular | Date |
| IPO Open Date | 17 July 2023 |
| IPO Close Date | 19 July 2023 |
| Allotment Date | 24 July 2023 |
| IPO Listing Date | 27 July 2023 |
Financial snapshot
| Particulars | FY 21 | FY 22 | FY 23 |
|---|---|---|---|
| Revenue | ₹ 142 crore | ₹ 247 crore | ₹ 444 crore |
| Net Profit | ₹ 8.2 crore | ₹ 22.4crore | ₹ 46.9 crore |
Netweb Technologies India IPO’s strengths, risks and threats
Strengths
- Operates in the Indian Supercomputing systems market, expected to grow at a CAGR of 9.3% between FY23 and FY29.
- Witnessed a CAGR growth of over 46% in its revenue from operations and over 78% in its net profit between FY21 and FY23.
- One of the leading Indian original equipment manufacturers (OEM) for HCS making it one of the few domestic OEMs to seek production-linked incentives under the government’s PLI scheme.
- Enjoyed a CAGR growth of 11.26% in customer accretion between FY20 and FY23 as well as derived 57.80% of its revenue from its top ten customers in FY23.
- Operates in an industry with a high entry barrier due to the requirement of a significant technical skill set and expertise.
Risks and threats
- Requires a high working capital which is acquired through internal accruals, commercial banks and unsecured lenders. In FY21, FY22 and FY23, its working capital amassed to ₹41 crore, ₹64 crore and ₹95 crore respectively.
- Heavily dependent on research and development and technology partnerships.
- Has experienced negative cash flows from operating activities in the past, e.g. – ₹9.8 crore in FY21.
- Faces competition from companies like Nvidia, Hitachi, NetApp, HCL, Lenovo, Accenture, Tech Mahindra and more.
