Om Freight Forwarders IPO: Complete Overview & Financials
Om Freight Forwarders Ltd, a Mumbai-based third-generation logistics & freight forwarding company, is launching its IPO between 29 September 2025 and 03 October 2025. With rising demand for logistics services, Om Freight hopes to leverage its legacy, reach, and operational capacity. Here’s everything prospective investors should understand — from the IPO structure and financials, to strengths, risks, valuation, and whether the IPO makes sense. Get complete details on Om Freight Forwarders IPO — price band ₹128 to ₹135 , issue size ₹₹122.31cr, financials (revenue growth, profit, margins), use of proceeds, strengths, risks, and investment verdict.
IPO Snapshot & Key Dates
| Item | Detail |
|---|---|
| IPO Open Date | 29 September 2025 |
| IPO Close Date | 3 October 2025 |
| Price Band | ₹128 to ₹135 per equity share, face value ₹10 |
| Issue Size | ~ ₹122.31 crore total |
| Fresh Issue Component | ~ ₹24.44 crore |
| Offer For Sale (OFS) | ~ 72.5 lakh shares; ~ ₹97.88 crore at upper band |
| Lot Size (Retail) | Minimum 111 shares; then in multiples of 111 |
| Reservation of Shares | 50% QIBs, 35% Retail, 15% Non-Institutional Investors (NIIs) |
| Expected Listing Date | 8 October 2025 on BSE & NSE |
Business Description & Operations
- Legacy & Reach: Incorporated since 1995, Om Freight Forwarders is a third-generation logistics company headquartered in Mumbai. It operates through 28 branches in India and serves 800+ international destinations via tie-ups and partnerships.
- Services Offered: Freight forwarding (sea, air), customs clearance, multi-modal transportation (road, rail), vessel agency, project charter and cargo handling, warehousing, distribution, bonded trucking, cross-trade, etc.
- Asset Base: The company owns a fleet of heavy equipment (commercial vehicles, trailers, cranes, forklifts, etc.). It emphasizes own fleet + partnerships.
Financial Performance
Here are the key financials (restated, consolidated) and metrics over recent years:
| Metric / Fiscal Year Ending 31 March | FY2023 | FY2024 | FY2025* |
|---|---|---|---|
| Revenue from Operations | ~ ₹ 493.35 Cr | ~ ₹ 421.32 Cr | ~ ₹ 494.05 Cr |
| Profit After Tax (PAT) | ~ ₹ 27.16 Cr | ~ ₹ 10.35 Cr | ~ ₹ 21.99 Cr |
| EBITDA Margin | ~ 7.0% | ~ 2.9% | ~ 7.7% |
| PAT Margin | ~ 5.76% | ~ 2.52% | ~ 4.49% |
| Net Worth / Equity | ₹139.2 Cr | ~ ₹151.6 Cr | ~ ₹173.5 Cr |
| Debt to Equity Ratio | ~ 0.07x | ~ 0.17x | ~ 0.17x |
| Return on Net Worth (RoNW) | ~ 19.5% | ~ 6.8% | ~ 12.7% |
* FY2025 figures are final or latest full-year numbers reported.
IPO Objectives (Use of Fresh Issue Proceeds)
The net proceeds from the fresh issue component are proposed to be utilized for:
- Capital Expenditure: Funding the acquisition of commercial vehicles and heavy equipment (Approx. ₹17.15 crore).
- General Corporate Purposes: For various corporate needs.
Use of Proceeds
Proceeds from the fresh issue (~₹24.44 Cr) will be used mainly for:
- Acquisition of commercial vehicles & heavy equipment (~₹17.14–17.15 Cr)
- General corporate purposes (working capital, etc.)
The OFS portion (by promoters) is a sale of existing shares; the company doesn’t receive those proceeds.
Valuation & Pricing Insights
- At upper end of the price band (₹135), the IPO values the company at ~ ₹454.62 crore market capitalization.
- Based on FY2025 profits (~₹21.99 Cr), implied P/E ratio would be in the range of ~ 20-21× (depending on how shares outstanding adjust post-IPO).
- Margins improved in FY2025 compared to FY2024, which is a positive sign.
Strengths & Competitive Advantages
- Legacy & Brand: Over 40 years in logistics, experienced promoter group.
- Integrated, End-to-End Services: From forwarding, clearing, warehousing to project cargo – clients prefer single-window solutions.
- Own Fleet and Assets: Reduces dependency on third-party transport.
- Global Reach via Tie-Ups: 800+ destinations, 28 branches in India.
- Improving Margins: After a drop in FY2024, the rebound in FY2025 suggests operational hygiene and flexibility.
Risks & What Investors Should Be Cautious About
- Profit Volatility: PAT dropped significantly in FY2024 before recovering — indicates susceptibility to external factors (fuel costs, freight demand, global trade conditions).
- Client / Revenue Concentration: If a few large clients contribute a big share of revenues, the loss of one may hit performance.
- Competition: The logistics sector is competitive and fragmented. Strong competition from large national & international players, along with price pressures.
- Asset-heavy risk: Investing in vehicles and heavy equipment ties up capital; underutilization or slower demand can hurt returns.
- Regulatory & Operational Risks: Customs, trade policies, import/export duties, delays, infrastructure bottlenecks can adversely affect operations.
Who It’s Good For & Verdict
Who might benefit:
- Investors looking for exposure to the logistics / supply chain sector in India, especially with global trade rebound.
- Those willing to hold medium term (2-3 years) for growth, rather than fast listing gains.
- Investors who believe Om Freight’s improvements post-FY2024 are sustainable.
Consider avoiding or being cautious if:
- You are risk-averse or need short-term, low volatility returns.
- You dislike asset-intensive businesses or sectors with regulatory sensitivity.
- You anticipate macroeconomic headwinds: weak export/import, rising fuel or transportation costs, infrastructure delays.
The Om Freight Forwarders IPO appears reasonably priced given its FY2025 performance and nature of business. Its recovery in margins, diversified logistics offerings, and use of fresh funds for expansion are positives. However, the risk remains in sustaining profitability, competition, and managing costs.
(Disclaimer: Recommendations, suggestions, views and opinions expressed by experts are their own. Investors are advised to consult certified financial advisors before making any investment decisions.)
