Varmora Granito Ltd.
DRHP · filed 22 Sept 2026
This is a draft. SEBI has not cleared it, there is no final price yet, and it may never become an IPO.
Varmora Granito Ltd. is a manufacturer of glazed vitrified tiles and technical products, with a revenue of 1512.464 crore in the latest fiscal year and a revenue CAGR of 2.65%. The offer consists of a fresh issue of 320.0 crore with no offer for sale. The company is not loss-making, has a debt-to-equity ratio of 0.3, and a ROE of 6.8%. The most material risks include a high dependency on in-house manufacturing facilities located in Morbi, Gujarat, which faced disruption from Cyclone Biparjoy, and a significant portion of revenue derived from these facilities.
What stands out
Risk factor. A significant portion of revenue (81.72% in Fiscal 2026) is derived from in-house manufacturing facilities, and any delay, shutdown, or interruption at these facilities may significantly adversely affect the business, financial condition, cash flows, and results of operations.
Risk factor. A substantial portion of revenue (73.98% in Fiscal 2026) is derived from the sale of glazed vitrified tiles (GVT) and technical products, and any slowdown in demand for these products could have a material adverse effect on the business, financial condition, cash flows, and results of operations.
Risk factor. All manufacturing facilities (owned, operated by subsidiaries, or third-party contract manufacturers) are situated in Morbi, Gujarat, India, and any disruption in the Morbi region (due to agitations, accidents, natural disasters, etc.) may significantly adversely affect the business, financial condi
Primarily fresh capital. 100% of the offer is fresh issue, so most proceeds fund the company.
Low leverage. Debt-to-equity of 0.30x.
How the offer is structured
Fresh issue
₹320 Cr
New capital into the company
OFS share
0%
- Repayment/ pre-payment, in full or in part, of all or certain outstanding borrowings and accrued interest thereon availed by: a. our Company; and b. our wholly-owned subsidiaries namely Covertek Ceramica Private Limited and Varmora Sanitarywares Private Limited (formerly, Varmora Sanitarywares LLP), through investment in such Subsidiaries₹245 Cr
- General corporate purposes
Restated financials
Revenue
₹1.51k Cr
Latest fiscal year
Profit after tax
₹55.1 Cr
Revenue CAGR
2.6%
Return on equity
6.8%
Debt / equity
0.30
PAT CAGR
10.7%
| Fiscal year | Revenue | EBITDA | PAT | Net worth |
|---|---|---|---|---|
| 2024 | ₹1.44k Cr | ₹150 Cr | ₹44.9 Cr | ₹703 Cr |
| 2025 | ₹1.45k Cr | ₹198 Cr | ₹30.8 Cr | ₹743 Cr |
| 2026 | ₹1.51k Cr | ₹222 Cr | ₹55.1 Cr | ₹810 Cr |
Promoters, litigation & related parties
Promoter (pre)
25.4%
Promoter (post)
25.3%
Related-party
1.2%
Share of revenue
Except as disclosed in this section, there are no pending criminal proceedings, actions by statutory or regulatory authorities, claims relating to direct and indirect taxes, or other pending litigation involving the Company, Subsidiaries, Directors, or Promoters. There are no pending disciplinary actions imposed by SEBI or a stock exchange against Promoters in the last five Fiscals. There are no pending litigations involving Group Companies that may have a material impact on the Company. There are no outstanding material dues to creditors of the Company.
Risks the company discloses
A significant portion of revenue (81.72% in Fiscal 2026) is derived from in-house manufacturing facilities, and any delay, shutdown, or interruption at these facilities may significantly adversely affect the business, financial condition, cash flows, and results of operations.(Operational)
A substantial portion of revenue (73.98% in Fiscal 2026) is derived from the sale of glazed vitrified tiles (GVT) and technical products, and any slowdown in demand for these products could have a material adverse effect on the business, financial condition, cash flows, and results of operations.(Market)
All manufacturing facilities (owned, operated by subsidiaries, or third-party contract manufacturers) are situated in Morbi, Gujarat, India, and any disruption in the Morbi region (due to agitations, accidents, natural disasters, etc.) may significantly adversely affect the business, financial condition, cash flows, and results of operations.(Operational)
The operations at manufacturing facilities were disrupted for approximately three weeks by Cyclone Biparjoy in Fiscal 2024, which significantly interrupted production activities and increased dependency on third-party contract manufacturers.(Operational)
Certain products, such as IST products (engineered stones), are produced solely at dedicated manufacturing facilities (e.g., Varmora Unit 2 in Morbi), and any delay, shutdown, or interruption at these facilities may significantly adversely affect the business, financial condition, cash flows, and results of operations.(Operational)
A significant portion of revenue (66% in Fiscal 2026) is derived from the B2C retail chain (comprising exclusive brand outlets and multi brand outlets), and any disruption or failure in this network could adversely affect the business, financial condition, cash flows, and results of operations.(Operational)
The Company is subject to a regulatory environment in India which may differ significantly from that in other jurisdictions.(Regulatory)
The Company is subject to a regulatory environment in India which may differ significantly from that in other jurisdictions.(Regulatory)
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.