Vans Electroengineerings Limited

Vans Electroengineerings Limited is an ISO 9001:2015 certified engineering company engaged in the business of manufacturing and supplying components for traction power supply and overhead equipment (OHE) systems. The company’s core value proposition centers on designing, engineering, assembling, and testing heavy-duty switchgear equipment utilized across Indian Railways electrification infrastructure, metro rail systems, traction substations, feeding posts, and sectioning posts. The company operates a focused manufacturing model approved by the Research Designs and Standards Organisation (RDSO), Ministry of Railways, which validates its single and double pole vacuum circuit breakers (VCBs) and vacuum interrupters (VIs) in compliance with stringent technical specifications and railway safety benchmarks.

The company caters to two primary customer segments: Business-to-Business (B2B) private EPC contractors/vendors and direct Business-to-Government (B2G) public railway entities. In FY26, B2B sales generated 86.76% (₹19.82 Cr) of operational revenue, while B2G sales accounted for the remaining 13.24% (₹3.02 Cr). Geographically, Vans Electroengineerings Limited maintains a nationwide operational footprint across India, supplying equipment to Northern (49.62% of FY26 sales), Southern (39.01%), Central (4.31%), Eastern (2.83%), and Western (4.23%) railway zones and project sites.

The company’s operations are centralized at a single manufacturing facility situated at Plot 15, 16, 17, SIDCO Women's Industrial Estate, Karuppur, Salem – 636011, Tamil Nadu. The facility is equipped with specialized plant and machinery, including busbar multi-processing machines, horizontal bandsaw cutters, high-voltage test setups, and dedicated assembly bays. As certified by Er. Sabariraja Natarajan, Chartered Engineer (certificate dated July 16, 2026), the annual installed capacity (based on a single shift of 8 hours) and capacity utilization metrics across product lines are:

FY 2023-24: Installed Capacity of 1,800 units | Actual Production of 57 units (3.17% capacity utilization).

FY 2024-25: Installed Capacity of 1,800 units | Actual Production of 387 units (21.50% capacity utilization).

FY 2025-26: Installed Capacity of 1,800 units | Actual Production of 478 units (26.56% capacity utilization).
(Note: FY26 product-wise utilization breaks down as Double Pole VCB at 16.66% [75 units], Single Pole VCB at 23.11% [104 units], Double Pole VI at 23.55% [106 units], and Single Pole VI at 42.88% [193 units]).

R&D and operational capabilities feature a disciplined 5-stage manufacturing process spanning structural foundation assembly, mechanism housing integration, high-voltage pole part integration, control circuitry wiring, and final enclosure validation. In-house quality assurance labs perform electrical validation under RDSO testing protocols, including Contact Resistance measurements (in μΩ), high-voltage dielectric strength testing, and motor/control logic testing. The company is actively expanding its R&D division to develop higher-rated switchgear apparatus, permanent magnet actuators (PMAs), single bottle circuit breakers, and earthing switches to broaden its product line.

Based on its historical financial data, Vans Electroengineerings Limited posted total income and net profits of ₹2.76 Cr / ₹0.02 Cr in FY24, ₹13.82 Cr / ₹1.73 Cr in FY25, and ₹23.19 Cr / ₹5.39 Cr in FY26. The company has demonstrated robust top-line and bottom-line expansion, with Total Income growing at a 2-year CAGR of 189.87% and PAT expanding at a 2-year CAGR of 1,487%. Total borrowings (short-term debt) increased moderately from ₹0.11 Cr in FY24 to ₹1.00 Cr in FY25 and ₹2.55 Cr in FY26 to finance working capital needs, keeping leverage low at a Debt-to-Equity ratio of 0.28x. It boasts an average EPS of ₹4.58 and an average RoNW of 44.99% for the last three fiscals. Based on the pre-issue book value, the issue is priced at a Pre-Issue P/BV of 10.30 against a NAV of ₹11.46 (as of March 31, 2026). Factoring in the fresh issue proceeds, the Post-Issue P/BV stands at 2.97. Attributing the latest earnings to the expanded post-issue equity base, the asking price translates to a Post-Issue P/E of approximately 5900.00x (FY24), 74.21x (FY25), and 23.79x (FY26). According to the RHP, there are no direct listed peers in India engaged in manufacturing vacuum circuit breakers and vacuum interrupters of a comparable size, scale, and business model.

On the Book Running Lead Manager (BRLM) front, the issue is managed by Hem Securities Limited, which has handled 53 public issues to date. Out of its last 10 managed IPOs, all 10 listed at or above their issue price. As of September 24, 2026, four of these recent issues are currently trading below their issue price, while the remaining six are trading at or above it.

• 1 Balakrishnan Srinivasan
• 2 Viraj Bansal
• 3 Abhishek Saraff
• 4 Nitin Jain
• 5 Pooja Bansal
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