1. At a Glance – Yeh Furniture Hai Ya Financial Gymnastics?
Rexpro Enterprises Ltd is that rare SME stock which went from IPO excitement to “bhai price ka kya ho gaya?” in less time than it takes to assemble IKEA furniture without instructions. Current market cap sits at around ₹65 crore with the stock hovering near ₹58, down sharply from its highs of ₹120. In the last three months alone, the stock has corrected more than 30%, clearly indicating that Mr. Market has stopped clapping and started asking tough questions. Despite this, Rexpro is not some loss-making jugaad operation. It clocked ₹97.4 crore in trailing twelve-month sales, delivered an ROCE of 28.3% and ROE of 22.6%, and trades at a P/E of roughly 10.8 — which is dirt cheap if you ignore the recent profit shock. The latest half-yearly results for H1 FY26 (ended Sept 2025) show revenue of ₹45.04 crore, operating margin of 11.35%, but PAT fell sharply to ₹1.86 crore. Working capital has ballooned, debtor days are creeping up, and cash flows are misbehaving like a teenager with a credit card. Yet, valuations remain tempting. So the real question is — is Rexpro just going through a bad quarter, or is the furniture wobbling under its own weight?
2. Introduction – SME IPO Ka Nasha Utar Chuka Hai
Rexpro Enterprises entered the public markets in January 2025 with the confidence of a gym bro on creatine. The IPO raised ₹53.6 crore, promised capex, growth, and expansion into infrastructure products like platform screen doors and noise barriers. Retail investors cheered, listing gains happened, and then reality walked in wearing crocs.
Fast forward to today, and Rexpro finds itself in that awkward phase where numbers are still “good”, but trends are asking uncomfortable questions. Revenue growth over the last three years has been strong at 40% CAGR, profit growth an eye-popping 141% CAGR, but the most recent half-year shows profit contraction. For SME investors, this is where emotions flip — from “next multibagger” to “bas IPO ka maal toh nahi tha na?”
To be fair, Rexpro operates in a very real business. It supplies furniture, fixtures, racks, kiosks, POS materials, and industrial storage systems to serious clients like Shoppers Stop, Samsung, HUL, Lenskart, and Marks & Spencer. This is not a PowerPoint company. But when 73.86% of H1 FY25 revenue comes from the top 10 customers,
dependency risk quietly enters the room.
So before we start chanting valuation mantras, let’s actually understand what Rexpro does, how it makes money, and why its cash flows look like they skipped leg day.
3. Business Model – WTF Do They Even Do?
Rexpro Enterprises is essentially the backstage crew of Indian retail and infrastructure. You don’t notice them, but without them, the show collapses. Their core business is B2B manufacturing of furniture and fixtures used in retail stores, malls, offices, hospitals, warehouses, and now even metro stations.
Their bread and butter is retail furniture and fixtures — floor racks, wall-mounted displays, visual merchandising units — the stuff you see holding shoes, cosmetics, electronics, and apparel. Brands like Nykaa, Samsung, Lenskart, Marks & Spencer, and Shoppers Stop are recurring clients. This segment alone contributes nearly 64% of FY24 revenue.
Then comes POSM and kiosks — those glossy brand stalls at malls trying to emotionally manipulate you into buying lipstick you don’t need. Add to this institutional furniture (offices and hospitals), industrial racks, cabinets, trolleys, and warehousing storage systems. Recently, Rexpro has also entered infrastructure products like noise barriers and platform screen doors — which sounds fancy, looks futuristic, and aligns nicely with government capex themes.
The company operates three manufacturing units in Vasai, Maharashtra, spanning roughly 1,00,000 sq. ft., equipped with cutting, bending, painting, and assembly machinery. It’s not asset-light, but it’s also not drowning in plants. The model is project-driven, working-capital-heavy, and margin-sensitive. Translation: cash is king here, and Rexpro sometimes forgets that.
4. Financials Overview – Numbers Bolte Hain, Kabhi Kabhi Chillate Bhi
