Systematic Industries IPO

Incorporated in March 2000, Systematic Industries Limited operates in the steel wire industry, manufacturing and supplying a diverse range of steel wires and cables used in power transmission, infrastructure, telecommunications, and agro-based sectors. The company is certified under ISO 9001:2015, ISO 14001:2015, and ISO 45001:2018, reflecting its commitment to quality, environmental management, and workplace safety. Its product portfolio includes carbon steel wire, high carbon wire, mild steel wire, galvanized iron wire, cable armour wire, aluminium conductor steel-reinforced cable, aluminium clad steel wire, optical ground wires, and optical fibre cables. These products are designed to meet the electrical and mechanical demands of power generation, data transmission, and distribution systems.

Systematic Industries operates four manufacturing facilities, three located in Daman and Diu and one in Valsad, Gujarat, with a combined installed capacity of 100,000 metric tons per annum. The company serves customers across approximately 25 Indian states and Union Territories and exports to over 30 international markets including Sri Lanka, Japan, Bhutan, Canada, and Brazil. As of July 31, 2025, the company employed around 413 people across its factories, including 17 in the Quality Department and 15 in Research and Development, supporting its focus on consistent quality and innovation.

Systematic Industries IPO Strengths

• Over 25 years of experience in steel wire transformation and coatings, serving diverse sectors including power transmission, infrastructure, agriculture, telecom, and automobile industries.
• Operates four advanced manufacturing plants with a combined annual production capacity of 100,000 metric tons, ensuring scale and operational efficiency.
• Offers a diversified range of products including galvanized wires, high carbon and mild steel wires, cable armor wires, optical ground wires, and optical fiber cables, catering to multiple industry needs.
• Serves clients in more than 25 states across India and exports to over 30 countries worldwide including Japan, Canada, Brazil, and Sri Lanka, demonstrating a strong international presence.
• Maintains dedicated teams for research and development, quality control, and sales & marketing to support product innovation and market expansion.
• Maintains long-term relationships with major customers, with top 10 clients contributing around 34% of revenue, signaling reliability and trust.
• Positioned well to capitalize on growth in power transmission, infrastructure development, digital transformation, and agriculture sectors driven by government initiatives.

Systematic Industries IPO Risks

• Expansion plans require significant capital investments, and depends on debt or equity financing may increase interest costs and affect profitability.
• The company needs multiple licenses and approvals; delays or failure in obtaining or renewing these could disrupt operations and financial performance.
• A considerable portion of revenue comes from sectors like power, infrastructure, agriculture, and telecom; any slowdown or reduced demand in these sectors could impact sales and profitability.
• Relies on a limited number of suppliers for critical raw materials such as steel wire rods, aluminium rods, and zinc ingots. Disruptions or price volatility may increase costs and affect production timelines.
• Failure to maintain stringent quality standards may lead to order cancellations, replacement costs, reputational damage, and customer loss.
• Machinery breakdowns, power outages, labor strikes, or natural disasters could disrupt production, increase costs, and cause temporary business interruptions.
• Heavy depends on a few key clients can impact revenue significantly if business relationships weaken or are lost.