Knack Packaging Limited
PROSPECTUS · filed 06 Jul 2026
Knack Packaging Limited is a packaging company that reported revenue of Rs 823.43 crore and a net profit of Rs 92.72 crore in the latest fiscal year, with a revenue CAGR of 12.16% and a return on equity of 30.09%. The IPO structure consists of a fresh issue of equity shares and an offer for sale, with the specific amounts for each not stated in the provided text. The company faces material risks related to high customer concentration, as the top 10 customers contributed over 40% of revenue without long-term contracts, and high supplier concentration, where the top 10 suppliers accounted for 86.21% of raw material purchases on a spot basis. Additionally, the company is exposed to risks regarding a decline in its customer continuity rate, which could adversely impact its business and financial performance.
What stands out
Risk factor. The Company is significantly dependent on its top 10 suppliers for raw materials, with whom it does not have long-term contracts and purchases materials on a spot order basis. The aggregate contribution of the top 10 suppliers to total raw materials purchased was 86.21% in Fiscal 2026.
Risk factor. The Company is significantly dependent on its top 10 customers for revenue, with aggregate contributions of 40.87%, 43.91%, and 44.16% for the Fiscals 2026, 2025, and 2024, respectively. The Company does not have contractual arrangements with these customers.
Risk factor. The Company does not have long-term contracts with its key suppliers and purchases raw materials on a spot order basis. The loss of all or a significant number of its top ten suppliers could adversely impact its business, financial condition, results of operations, and cash flows.
Low leverage. Debt-to-equity of 0.28x.
Healthy return on equity. ROE of 30.1%.
How the offer is structured
- Partial funding of capital expenditure towards setting up of new manufacturing facility at Borisana situated at Kadi, Mehsana, Gujarat
- General corporate purposes
Restated financials
Revenue
₹823 Cr
Latest fiscal year
Profit after tax
₹92.7 Cr
Revenue CAGR
12.2%
Return on equity
30.1%
Debt / equity
0.28
EBITDA margin
20.4%
P/E at upper band
18.34
Only in a priced RHP
PAT CAGR
42.0%
| Fiscal year | Revenue | EBITDA | PAT | Net worth |
|---|---|---|---|---|
| 2024 | ₹655 Cr | ₹46.0 Cr | ₹141 Cr | |
| 2025 | ₹736 Cr | ₹73.8 Cr | ₹215 Cr | |
| 2026 | ₹823 Cr | ₹92.7 Cr | ₹308 Cr |
Promoters, litigation & related parties
Promoter (pre)
54.9%
Except as stated below as on the date of this Prospectus
Risks the company discloses
The Company is significantly dependent on its top 10 suppliers for raw materials, with whom it does not have long-term contracts and purchases materials on a spot order basis. The aggregate contribution of the top 10 suppliers to total raw materials purchased was 86.21% in Fiscal 2026.(Supply Chain)
The Company is significantly dependent on its top 10 customers for revenue, with aggregate contributions of 40.87%, 43.91%, and 44.16% for the Fiscals 2026, 2025, and 2024, respectively. The Company does not have contractual arrangements with these customers.(Customer Concentration)
A significant portion of the Company's revenue from operations is derived from repeat orders from existing customers, with a Customer Continuity Rate of 93.75%, 94.40%, and 95.35% for the Fiscals 2026, 2025, and 2024, respectively. Any decline in this rate could adversely impact the business.(Customer Concentration)
The Company does not have long-term contracts with its key suppliers and purchases raw materials on a spot order basis. The loss of all or a significant number of its top ten suppliers could adversely impact its business, financial condition, results of operations, and cash flows.(Supply Chain)
The Company does not have contractual arrangements with its top 10 customers. The inability to retain these customers may have an adverse impact on the business, results of operations, and financial performance.(Customer Concentration)
The Company is exposed to risks associated with a decline in customer continuity rate, which could result from changes in customer requirements, deterioration in customer financial health, entrance of new competitors, disruptions in operations, or adverse macroeconomic factors.(Customer Concentration)
The Company's largest customer accounts for 16.73%, 19.03%, and 22.33% of revenue from operations for the Fiscals 2026, 2025, and 2024, respectively. While no individual customer accounts to more than 25.00% of revenue, the overall business remains sensitive to changes in the behaviour of its recurring customer base.(Customer Concentration)
The Company's top 5 suppliers account for 73.49%, 58.92%, and 62.55% of total raw materials purchased for the Fiscals 2026, 2025, and 2024, respectively. The names of the top 5 suppliers are not included in the Prospectus due to non-receipt of consent from such suppliers.(Supply Chain)
How this document reads, dimension by dimension
Each bar is a fixed formula applied to the figures shown above, scored 0–100. This is a reading of what the company disclosed — not a recommendation to apply or avoid, not a price target, and not a prediction of listing performance. Dimensions that could not be extracted are excluded rather than assumed, so coverage varies between documents.