At a Glance
Once just a distributor of Nokia phones, Optiemus Infracom is now rubbing shoulders with the likes of OnePlus, Realme, and even the defense drone mafia. With ₹1,890 Cr revenue and ₹63 Cr PAT in FY25, the company has turned around big time. But is its P/E of 84 a sign of visionary growth or valuation overdose?
1. 📢 Introduction with Hook
From selling Samsung handsets to assembling OnePlus gadgets, Optiemus is on a full “make-in-India” steroid cycle. Investors are excited, tech brands are signing deals, and drones are taking off (literally). But beneath the glitzy partnerships — does the stock justify ₹612 price or is this another AIoT FOMO bubble?
2. 🏭 Business Model – WTF Do They Even Do?
Optiemus Infracom started life as a pure handset distributor in the ‘90s — Nokia phones, general trade, Delhi kirana-level grind. Fast forward to 2025:
- 📦 Trading & Distribution (42% of revenue)
Still distributes Nokia, Samsung, HTC handsets — 650 distributors and 10,000+ retail outlets. - 🏭 Manufacturing (via Optiemus Electronics)
Local assembly of smart devices, routers, motherboards, and now even defense drones. - 🤝 Joint Ventures
BIGTech, ASRock, TP-Link, OnePlus, Realme, KunWay Tech — it’s like Tinder for hardware tie-ups. - 🛰️ Emerging Bets
AIoT, gaming motherboards, and defense-grade UAVs.
This isn’t just a distributor anymore. It’s an Indian Foxconn… with startup vibes and SME-scale chaos.
3. 📊 Financials Overview – Profit, Margins, ROE, Growth
Let’s talk real numbers — because vibes don’t pay dividends.
| Metric | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue (₹ Cr) | 1,174 | 1,528 | 1,890 |
| Net Profit (₹ Cr) | 42 | 57 | 63 |
| OPM % | 2% | 5% | 6% |
| ROE % | 11.6% | 12.4% | 11.6% |
| 3-Year Sales CAGR | 59% | ||
| 3-Year PAT CAGR | 314% |
- 📈 Profits have improved despite wafer-thin margins.
- 🚀 Operating leverage is kicking in — FY25 OPM up to 6%.
- 💡 Still no dividends though, because cash is being ploughed into BIGTech and drones.
4. 💸 Valuation – Is It Cheap, Meh, or Crack?
- CMP: ₹612
- P/E: 84x
- P/B: 8x
- ROE: ~12%
Compare that to:
- Tejas Networks: 27x P/E
- Valiant Comm: 71x P/E
- Birla Cable: 106x P/E (LOL but true)
🧠 Fair Value Estimate
Assume 20% PAT growth for 3 years → FY28E EPS ~₹15.5
Assigning 30–35x forward P/E → Fair Value Range = ₹465 – ₹545
Yes, current price is “fully loaded”, unless drones start printing money.
5. 🍿 What’s Cooking – News, Triggers, Drama
2025 has been spicy:
- ✅ OnePlus JV: Starting with wireless earbuds, expanding to other IoT
- ✅ ASRock Deal: Gaming motherboard manufacturing – hardcore nerd goldmine
- ✅ Realme Tie-Up: AIoT contract for 5 million units annually
- ✅ Drone Blitz: 4 defense drones + JV with Avix + LS Spectrum
- ✅ Preferential Allotment: Raised capital for scale-up
- ✅ Corporate Guarantee: ₹447 Cr given to BIGTech (joint venture)
📦 Every month, a new press release drops. But market wants execution, not headlines.
6. 🧾 Balance Sheet – How Much Debt, How Many Dreams?
| Metric | FY25 |
|---|---|
| Equity + Reserves | ₹665 Cr |
| Borrowings | ₹198 Cr |
| Total Assets | ₹1,551 Cr |
| D/E Ratio | 0.30 |
| Corporate Guarantees | ₹447 Cr (off-balance) |
✅ Debt is manageable
⚠️ BIGTech exposure is chunky and off-balance sheet
Optiemus is not “overleveraged” — but it’s definitely over-guaranteed.
7. 💵 Cash Flow – Sab Number Game Hai
| FY | CFO (₹ Cr) | CFI (₹ Cr) | CFF (₹ Cr) | Net |
|---|---|---|---|---|
| FY23 | ₹1 Cr | -₹82 Cr | ₹70 Cr | -₹11 Cr |
| FY24 | ₹40 Cr | -₹51 Cr | ₹25 Cr | ₹15 Cr |
| FY25 | -₹13 Cr | -₹51 Cr | ₹178 Cr | ₹115 Cr |
- 🔻 FY25 CFO negative — working capital eating cash
- 🏗️ Capex-heavy phase — JV investments and equipment
- 🪙 Raised ₹178 Cr from financing activities to plug gaps
8. 📐 Ratios – Sexy or Stressy?
| Metric | Value |
|---|---|
| ROCE | 14.4% |
| ROE | 11.6% |
| Debt/Equity | 0.30 |
| OPM | 6% |
| NPM | 3.3% |
| P/E | 84x |
| Inventory Days | 54 |
| Debtor Days | 116 |
🧮 Verdict: Not stressy, but not sexy either. These are growth-phase metrics, not cash-cow metrics.
9. 🧾 P&L Breakdown – Show Me the Money
| Line Item | FY25 (₹ Cr) |
|---|---|
| Sales | 1,890 |
| COGS + OpEx | 1,782 |
| EBITDA | 108 |
| Depreciation | 22 |
| Interest | 30 |
| Other Income | 21 |
| PBT | 77 |
| PAT | 63 |
Net margins are ~3.3%. Need AIoT + drone biz to push this to at least 6–7% for serious rerating.
10. ⚔️ Peer Comparison – Who Else in the Game?
| Company | P/E | ROE | OPM | Sales (₹ Cr) | Market Cap |
|---|---|---|---|---|---|
| Optiemus | 84x | 11.6% | 6% | 1,890 | ₹5,344 Cr |
| Tejas Networks | 27x | 12.7% | 14% | 8,923 | ₹12,325 Cr |
| Valiant Comm | 71x | 16.9% | 11% | 27.1 | ₹684 Cr |
| ADC India | 24x | 34.7% | 15% | 187 | ₹583 Cr |
💥 Optiemus is the “most expensive” on P/E, yet nowhere near Tejas in scale. That’s where drone + motherboard dreams better convert fast.
11. 🧪 Miscellaneous – Shareholding, Promoters
- 👨👩👧 Promoters: 73.7% (no recent dilution)
- 🧳 FIIs + DIIs: Combined up to 2.8% (from 0.1% a year ago)
- 🧠 KMP Consultant: Lt Gen Anil Chandra Chait (defense credibility boost)
- 👥 Public Shareholders: 37K+
No major red flags in shareholding. And general Chait’s presence means they’re serious about UAVs, not just PR.
12. 🧑⚖️ EduInvesting Verdict™
🎯 Optiemus is riding the Make in India megatrend like a well-funded startup with political connects, tech JV Tinder swipes, and plenty of margin expansion room. BUT…
- P/E of 84 is NOT justified by current profitability.
- Execution needs to catch up to excitement.
- High growth, low margins = boom-bust potential.
👻 Verdict: If optimism was a currency, this stock would be in RBI’s FX reserves. For now, stay curious, not carried away.
✍️ Written by Prashant | 📅 9 July 2025
Tags: Optiemus Infracom, AIoT, drones, OnePlus India, electronics manufacturing, Make in India, Indian Foxconn, stock valuation, SME tech, defense JV, EduInvesting
