Incredible Industries Ltd: ₹181 Cr Market Cap, 68% Promoter Pledge & Still Called “Incredible”?

1. At a Glance

Incredible Industries Ltd (IIL), formerly Adhunik Industries, is one of those companies whose name sounds like a Bollywood superhero flick but the balance sheet reads like a B-grade soap opera. Incorporated in 1979, they make TMT bars, rods, nails, stirrups – basically the unglamorous backbone of real estate. But here’s the kicker: promoters have pledged 68% of their holding – which is like a groom pledging his gold chain to pay for his own wedding buffet. Sales are ₹793 Cr, profits a wafer-thin ₹15 Cr, and yet the company wants to raise another ₹200 Cr through NCDs. Incredible? More like “Incredulous.”

2. Introduction

Picture this: Kolkata, late 70s. Disco was in, Maruti 800 hadn’t yet hit Indian roads, and Adhunik Industries (now Incredible) was born. Four decades later, instead of being a steel giant, it’s still a mini-mill player trying to look big by flexing certifications — ISO 9001, 14001, OHSAS. Sure, boss, stamp laga diya toh credibility aa jaata hai kya?

The company makes earthquake-resistant bars and corrosion-proof steel. Noble intent. But truth is, most of their customers probably buy whichever rod the contractor pushes while sipping chai at the thela. Meanwhile, the promoters were busy pledging their shares, shifting funds with related parties, and facing SEBI proceedings for it. If steel has “strength,” this company has “stretch” — stretching patience of investors.

Market cap? ₹181 Cr. That’s the size of a mid-level Bollywood movie’s budget. And yet, IIL dreams big: issuing NCDs worth ₹200 Cr. Raising debt double your size is like a gym bro trying to deadlift twice his bodyweight on the first day. Snap guaranteed.

3. Business Model (WTF Do They Even Do?)

IIL is basically a steel reroller. They take raw billets and make:

TMT Bars (the bread and butter of India’s construction mafia).
Adhunik Nails (no, not the parlor kind – literal nails).
Link EDGE Stirrups (rings that hold buildings together, because builders sure as hell don’t).
Wire Rods, HB Wire, Annaling, Wire Nails – the unsung heroes of your balcony grill.

Installed capacity? 1.70 lakh MTPA – decent, but peanuts compared to the APL Apollos and Jindal Saws of the world. Add a 1.5 MW windmill (which generates more virtue-signalling than actual revenue).

Revenue breakup FY23: 95% steel sales, 5% “other income.” Translation: they sell steel, sometimes collect rent/interest. Bas.

So if you thought this company was diversified like a buffet, sorry. It’s just rice and dal with one papad.

Question to you: Would you trust a company named Incredible if its main product is nails?

4. Financials Overview

Quarterly Snapshot

Metric	Jun 2025	Jun 2024	Mar 2025	YoY %	QoQ %
Revenue	₹219.8 Cr	₹182.9 Cr	₹230.2 Cr	+20.1%	-4.5%
EBITDA	₹6.5 Cr	₹5.1 Cr	₹9.4 Cr	+28.9%	-30.8%
PAT	₹3.7 Cr	₹1.6 Cr	₹5.8 Cr	+129.6%	-36.3%
EPS (₹)	0.80	0.35	1.25	+129.6%	-36.0%

Commentary:
Margins are thinner than the ketchup packet at McDonald’s. EBITDA margin ~3%. One quarter they look alive, next quarter semi-dead. YoY profit growth looks “incredible” only because last year’s base was pathetic. This is like bragging about scoring 40 marks this year when last year you got 17.

5. Valuation (Fair Value RANGE only)

P/E Method: EPS TTM = ₹3.12. Assign a reasonable P/E band 10x–15x (industry median is 25x, but let’s not kid ourselves).
- FV range = ₹31–₹47.
EV/EBITDA Method: EBITDA TTM ~₹23 Cr, EV = ₹184 Cr → EV/EBITDA = 7.8x. Fair band for such mini-rolling mills? 6–9x.
- FV range = ₹30–₹45.
DCF (approx): Assume FCF ~₹20 Cr/year growing 5%, 12% discount. Rough FV = ₹35–₹40.

👉 Consolidated FV Range: ₹31–₹47

Disclaimer: This FV range is for educational purposes only and is not investment advice.

6. What’s Cooking – News, Triggers, Drama

₹200 Cr NCD issue approved (Aug 2025): More debt, more chai-paani for bankers.
68% promoter pledge: Basically a sword over investors’ heads. If banks

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