Euro Pratik Sales IPO

Euro Pratik Sales Limited IPO Strengths

• Market Leader in Decorative Wall Panels

Euro Pratik Sales Limited is one of India’s largest organized decorative wall panel brands, with a 15.87% market share by revenue. In Fiscal 2023, it generated ₹1,742.89 million from decorative wall panels. Its market leadership is driven by innovation, strategic expansion, and strong brand positioning.

• Diverse Product Portfolio

With 30+ product categories and 3,000+ designs, Euro Pratik leads in decorative wall panels and laminates. Their exclusive first-to-market products, like Louvers and Chisel, cater to evolving consumer trends. They offer durable, eco-friendly, and innovative solutions that meet varied residential and commercial architectural and design needs.

• Innovative and Trend-Driven Approach in Decorative Wall Panels and Laminates

Euro Pratik Sales Limited stays ahead in Decorative Wall Panels and Laminates through continuous innovation, market analysis, and distributor engagement. With 104+ product catalogues launched in four years, a strong design strategy, and global insights, the company ensures competitive, trend-driven offerings that align with evolving consumer preferences and industry advancements.

• Asset-Light Business Model with Global Partnerships

Euro Pratik Sales Limited follows an asset-light business model, focusing on product design and development while outsourcing manufacturing to global contract partners, including Miga, South Korea. This strategy minimizes capital investment, enhances flexibility, ensures quality, reduces operational costs, and allows the company to focus on branding, merchandising, and market expansion.

• Pan-India Presence with a Strong Distribution Network

Euro Pratik Sales Limited has a well-established distribution network spanning 25 states and five union territories, ensuring strong market presence and operational efficiency. With 172 distributors, the company strategically expands its reach, enhances brand visibility, supports distributors, and fosters consumer engagement, driving seamless product availability across India.

• Experienced Promoters and Management Team

Euro Pratik Sales Limited is led by experienced promoters and a skilled management team with deep expertise in decorative wall panels and laminates. Their strategic leadership, industry knowledge, and operational excellence drive business growth, market expansion, and innovation, ensuring long-term success and a competitive edge in the industry.

• Proven Financial Performance and Strong Balance Sheet

Euro Pratik Sales Limited has demonstrated strong financial growth, with rising EBITDA, improved margins, and increasing profitability. With total equity of ₹2,005.24 million and low leverage, the company maintains financial stability. Its positive cash flows and strategic financial management position it well for sustainable growth and long-term success.

More About Euro Pratik Sales Limited

Euro Pratik Sales Limited operates in the decorative wall panel and laminate industry as a prominent seller and marketer. Recognized as one of India’s leading brands, the company holds a 15.87% market share in the organized Decorative Wall Panels sector, with a total revenue of ₹1,742.89 million from wall panel sales in Fiscal 2023 (Source: Technopak Report).

Product Innovation and Market Positioning

• Develops unique design templates aligned with modern architectural and interior trends.

• Recognized for innovative products like Louvres, Chisel, and Auris at the India Coverings Expo (2019-2022).

• Offers a wide product range, including 30+ categories and 3,000+ designs.

• Operates as a fast-fashion brand with 104 product catalogues introduced in the last four years.

Sustainable and High-Quality Products

• Provides eco-friendly alternatives to traditional materials like wallpaper, wood, and paint.

• Products are anti-bacterial, anti-fungal, and free from lead and mercury.

• Made from recycled and environmentally sustainable materials.

Extensive Distribution Network

• 172 distributors across 25 states and 5 union territories in India.

• Presence in 88 cities, including Metros, Mini-metros, Tier-I, Tier-II, and Tier-III cities.

• Warehouses spanning 143,774 sq. ft. in Bhiwandi, Maharashtra, near Nhava Sheva port.

• Exports to 6 countries, including Singapore, UAE, Australia, Bangladesh, Burkina Faso, and Nepal.

Brand Ambassadors

• Hrithik Roshan represents the Euro Pratik brand.

• Kareena Kapoor Khan endorses the Gloirio brand.

Asset-Light Business Model

• Manufacturing outsourced to 26 contract manufacturers in South Korea, China, and the USA.

• Designs are produced according to strict quality and specification standards.

Experienced Leadership

• Led by Pratik Gunvantraj Singhvi (Chairman & MD) with 19 years of experience.

• Jai Gunvantraj Singhvi (Executive Director & CFO) brings 13 years of expertise.

Recent Acquisitions for Expansion

• Vougue Decor – Acquired by Gloirio for wall cladding and decorative panels.
• Euro Pratik Laminate LLP – Specializing in wall panels, louvers, and designer laminates.
• Millennium Decor – Focused on interior decorative panels.
• EuroPratik Intex LLP – Acquired a 53% stake in exterior wall panels.
• Euro Pratik USA, LLC – 50.10% controlling interest for US market expansion.

Euro Pratik Sales Limited continues to scale operations through strategic acquisitions, innovative product designs, and an expanding global presence, solidifying its position as a leader in the decorative wall panel industry.

Industry Outlook

Decorative Wall Panels and Laminates in India

Market Growth and Projections

• The global wall panels market was valued at USD 17.16 billion in 2023 and is projected to reach USD 23.12 billion by 2031, growing at a CAGR of 4.3% from 2024 to 2031.

• India’s interior design market is expected to grow from $31.5 billion in 2023 to $67.4 billion by 2032, indicating a robust demand for decorative wall panels and laminates.

Key Growth Drivers

• Real Estate Expansion: India’s real estate sector is projected to reach USD 1 trillion by 2030, contributing approximately 13% to the country’s GDP. This growth fuels demand for interior decor products, including wall panels and laminates.

• Urbanization: With over 40% of India’s population expected to reside in urban areas by 2030, there’s an increasing need for residential and commercial spaces, boosting the interior decor market.

• Consumer Preferences: Rising disposable incomes and exposure to global design trends have led consumers to seek aesthetic and durable interior solutions, enhancing the demand for decorative laminates.

Market Segmentation

• Residential Sector: This segment holds the largest share in the decorative panels market, driven by renovations and new housing projects.

• Commercial Sector: Growth in retail, hospitality, and corporate spaces contributes to increased adoption of decorative wall panels and laminates

How Will Euro Pratik Sales Limited Benefit

• Market Leadership Growth: With a 15.87% market share in organized decorative wall panels, Euro Pratik Sales Limited is poised to expand its dominance as demand surges in India’s $67.4 billion interior design market by 2032.

• Increased Revenue Opportunities: India’s booming real estate sector, expected to reach $1 trillion by 2030, will drive demand for wall panels and laminates, leading to significant revenue growth for Euro Pratik Sales Limited.

• Consumer-Driven Product Demand: Rising disposable incomes and global design influences will boost demand for aesthetic, durable interior solutions, aligning with Euro Pratik’s innovative designs like Louvres, Chisel, and Auris.

• Sustainability Advantage: As eco-friendly products gain popularity, Euro Pratik’s lead-free, anti-bacterial, and sustainable materials will attract environmentally conscious buyers, strengthening its market position.

• Stronger Distribution Network: With 172 distributors across 25 states and exports to six countries, Euro Pratik is well-positioned to capitalize on growing domestic and international demand for decorative wall panels.

• Asset-Light Manufacturing Edge: By outsourcing production to 26 contract manufacturers, Euro Pratik minimizes capital investment while scaling operations efficiently to meet rising market demand.

• Brand Influence and Market Expansion: Endorsements from Hrithik Roshan and Kareena Kapoor Khan enhance brand recognition, driving consumer preference and aiding penetration into Tier-II and Tier-III cities.

• Strategic Acquisitions for Growth: Recent acquisitions, including Vougue Decor and Euro Pratik USA, expand its portfolio and international presence, increasing market reach and product diversification.

Euro Pratik Sales Limited IPO Overview

Euro Pratik Sales IPO is a complete offer-for-sale (OFS), raising ₹730 crore through equity shares of ₹1 face value. The company won’t receive proceeds, as funds go to selling shareholders. Promoters divesting stakes include Pratik Gunvantraj Singhvi (₹45.7 crore), Jai Gunvantraj Singhvi (₹45.1 crore), Pratik Gunwantraj Singhvi HUF and Jai Gunwantraj Singhvi HUF (₹253.4 crore), along with Dipty Pratik Singhvi and Nisha Jai Singhvi, each selling stakes worth ₹66.2 crore, per the DRHP details.

Euro Pratik Sales Limited Upcoming IPO Details

Category	Details
Issue Type	Book Built Issue IPO
Total Issue Size	Fresh Issue: NA Offer for Sale (OFS): ₹730 crore
IPO Dates	TBA
Price Bands	TBA
Lot Size	TBA
Face Value	₹1 per share
Listing Exchange	BSE, NSE
Shareholding pre-issue	TBA
Shareholding post -issue	TBA

Euro Pratik Sales IPO Lots

Application	Lots	Shares	Amount
Retail (Min)	TBA	TBA	TBA
Retail (Max)	TBA	TBA	TBA
S-HNI (Min)	TBA	TBA	TBA
S-HNI (Max)	TBA	TBA	TBA
B-HNI (Min)	TBA	TBA	TBA

Euro Pratik Sales Limited IPO Valuation Overview

KPI	Value
Earnings Per Share (EPS)	6.19
Price/Earnings (P/E) Ratio	TBD
Return on Net Worth (RoNW)	40.39%
Net Asset Value (NAV)	785.34
Return on Equity	44.03%
Return on Capital Employed (ROCE)	55.17%
EBITDA Margin	40.15%
PAT Margin	20.25%
Debt to Equity Ratio	–

Euro Pratik Sales IPO Peer Group Comparison

Name of Company	Face Value (₹)	EPS (₹) Basic	EPS (₹) Diluted	NAV (₹ per share)	P/E	RoNW (%)
Euro Pratik Sales Limited	1	16.19	6.19	785.34	–	40.39
Listed Peers
Greenlam Industries Limited	1	10.82	10.82	85.34	55.18	12.68
Asian Paints Limited	1	56.95	56.94	194.82	40.47	29.74
Berger Paints India Limited	1	10.02	10.02	46.14	45.75	21.75
Indigo Paints Limited	10	30.95	30.87	189.44	44.69	16.50

Key Insights

• Face Value: Euro Pratik Sales Limited and most of its peers, except Indigo Paints Limited, have a face value of ₹1 per share. Indigo Paints Limited has a face value of ₹10, indicating a different stock structuring approach.

• Earnings Per Share (EPS): Euro Pratik Sales Limited has a basic EPS of ₹16.19 and a diluted EPS of ₹6.19, lower than Asian Paints and Indigo Paints but higher than Greenlam and Berger Paints, reflecting moderate profitability.

• Net Asset Value (NAV): Euro Pratik Sales Limited has the highest NAV at ₹785.34, significantly above its peers. This indicates strong asset backing per share, suggesting higher book value strength than competitors.

• Price-to-Earnings Ratio (P/E): The P/E ratio is unavailable for Euro Pratik Sales Limited. Among listed peers, Greenlam (55.18), Berger Paints (45.75), Indigo Paints (44.69), and Asian Paints (40.47) indicate premium valuations.

• Return on Net Worth (RoNW): Euro Pratik Sales Limited leads with a RoNW of 40.39%, higher than all its listed peers, showcasing superior profitability relative to its net worth, indicating efficient capital utilization and strong financial performance.

Objectives of the IPO Proceeds

The Promoter Selling Shareholder will be entitled to the entire proceeds of the Offer after deducting his portion of the Offer expenses and relevant taxes thereon. The Company will not receive any proceeds from the Offer

Euro Pratik Sales Limited Financials (in million)

Particulars	30 Sept 2024	31 Mar 2024	31 Mar 2023	31 Mar 2022
Assets	2816.49	1744.92	1591.20	1394.57
Revenue	1361.42	2216.98	2635.84	2119.15
Profit After Tax	434.07	629.07	595.65	445.23
Reserves and Surplus	1905.89	1537.50	1295.12	1191.10
Total Borrowings	307.05	–	30.00	–
Total Liabilities	811.25	187.59	291.02	197.41

Key Strategies for Euro Pratik Sales Limited

• Expand into New Markets

Euro Pratik Sales Limited seeks international growth while strengthening its presence in India. By assessing demographics, infrastructure, and demand, the company strategically enters new markets. Subsidiaries in UAE and the USA enhance expansion efforts, diversifying revenue streams globally.

• Enhance Distribution and Inventory Management

The company aims to expand its distribution network beyond metros, targeting small cities and international markets. Strengthening logistics, optimizing inventory systems, and leveraging technology ensure timelyfulfillment, reduced stockouts, and improved supply chain efficiency, enhancing distributor and consumer satisfaction.

• Strengthen Brand Awareness and Market Positioning

Euro Pratik Sales Limited invests in traditional and digital advertising, social media engagement, and industry collaborations. Trade show participation, brand endorsements, and influencer partnerships increase visibility, while targeted campaigns and online platforms enhance product penetration and consumer recall.

• Prioritize Product Innovation and Portfolio Expansion

Consumer preferences drive continuous product innovation at Euro Pratik Sales Limited. The company develops unique designs, introduces new materials, and gathers market feedback before large-scale launches. A pipeline of upcoming products ensures relevance, competitive edge, and sustained growth.

• Leverage Digital Transformation and E-Commerce Growth

Euro Pratik Sales Limited enhances its online presence by integrating digital marketing, e-commerce platforms, and optimized user experiences. Product catalogs, streamlined inquiry systems, and data-driven strategies improve consumer engagement, broadening accessibility while strengthening the company’s market reach and competitiveness.

• Strengthen Strategic Partnerships and Industry Collaborations

The company fosters relationships with architects, interior designers, and construction firms to drive referrals and market influence. Collaborations with distributors, brand ambassadors, and trade professionals amplify brand presence, ensuring greater consumer trust and long-term industry leadership.