Purple Wave Infocom Limited

Started in 2007, Purple Wave Infocom Limited is engaged in the business of digital PRO AV (professional audio-video) integration, post-sales support and distribution. Audio video (AV) integration involves the combination of audio, video, and control systems into a unified solution. They provide end-to-end customised digital PRO AV and automation solutions which includes designs, integration, management & on site support including cloud-based communication and automation solution for organizations across the country and in overseas market. They excel in designing and implementing customized AV solutions for corporate boardroom, organised retail digital branding, indoor & outdoor advertising, smart classroom, government projects, place of worship, home theatre, experience centre and other industries. They also offer value added services such as content management service – in Software as a service (SaaS) model, a cloud-based tool that helps users create, store, edit and publish digital content on their screens. They are offering live streaming and content management services through 'Streampurple'. In addition to integration, the Company is also engaged in direct selling and distribution of PRO AV products including but not limited to active LED screens (indoor/outdoor), professional display screens (touch / non-touch screens), digital signage screens, electronics shelf labels (ESL), digital podium, video conferencing cameras, processors, media players, speakers, mics, amplifiers, unified communication (UC) devices, hearing assistive device, mounts, cables and accessories. As per financial performance, Purple Wave Infocom Limited has posted total income / net profits of Rs 70.43 /0.65 Cr (FY23), Rs 90.03 / Rs 5.43 Cr (FY24), Rs 126.14 Cr / 9.11 Cr (FY25) and Rs 35.90 Cr / 3.57 Cr (upto Q1 FY26). So as per previous financials data, company has shown good growth, but sudden rise in net-profit just before IPO raises doubts. Also trade receivable is around 27% of FY25 total revenue. Company has an average EPS of Rs 9.60 and average RoNW of 52.50% for last three fiscals. Issue is priced at a P/BV of 4.07 as per NAV of Rs 30.93/- as on 30.06.25. If we attribute latest earnings of FY24, FY25 and annualised FY26 on equity post issue, then asking price is at a P/E of around 21.42, 12.78 and 8.14 respectively. As per RHP, comparison between listed peers is shown in above table. On BRLM's front, Smart Horizon Capital Advisors Private Limited is associated with this SME IPO, and has handled 16 IPOs in last three fiscal years. From last 10 IPOs, two opened below issue price and remaining all above issue price or at par, on the day of listing. As of now, from last 10 IPOs, two are trading below issue price and remaining all are trading above issue price or at par. ( As on 24.11.25 ) As per financials, Purple Wave Infocom Limited has shown good growth, RoNW is 52.69% and P/E is 21.42, 12.78 and 8.14 respectively as per FY24, FY25 and annualised FY26 earnings. So issue looks fairly priced, but sudden rise in net profit just before IPO raises doubts. Also trade receivable is around 27% of FY25 total revenue. Company is engaged in the business of digital PRO AV (professional audio-video) integration, post-sales support and distribution, which is highly competitive business segment. Performance of BRLM is good. So, we give NEUTRAL rating for this IPO. Readers must consult a qualified financial advisor prior to making any actual investment decisions.

• 1 Manoj Kumar Singh
• 2 Sandhya Singh
• 3 Ananya Singh