Indo Farm Equipment Limited is a fully integrated manufacturer of agricultural and industrial equipment under the brand name 'Indo Farm & Indo Power'. Incorporated in 1994, Indo Farm Equipment Limited is engaged in manufacturing Tractors, Pick & Carry Cranes, and other harvesting equipment. The company has established itself as a significant player in the agricultural machinery sector, serving both domestic and international markets.
Its key products include tractors (16–110 HP), pick-and-carry cranes (9–30 tons), and other farm machinery like harvester combines and rotavators. The company operates through a comprehensive business model that encompasses manufacturing, marketing, and distribution of agricultural and industrial equipment, positioning itself as a one-stop solution for farmers and industrial users.
The company's product range is strategically divided into three main segments: Tractor, Pick & Carry Cranes, and Other Farm Equipment & Components.
- Tractor Segment: Provides end-to-end services, including power steering or manual steering, power brakes or disc brakes, and reverse PTO with a variety of speeds suitable for various implements.
- Pick & Carry Cranes Segment: Includes basic material handling equipment used extensively throughout the engineering, construction, and infrastructure industries. It currently manufactures hydraulic mobile cranes from 9 tons to 30 tons in capacity.
- Other Farm Equipment and Components Segment: Manufactures and sells other farming-related products such as Harvester Combines, Rotavators, and other Foundry Components.
The company's facilities are equipped with induction furnaces, pneumatic molding machines, automatic molding lines, sand plants, fully equipped metallurgy and sand testing laboratories, machining centers, gear shops, press shops, fabrication shops, paint shops, assembly units, quality rooms, and utility rooms. This comprehensive infrastructure enables the company to maintain quality standards while ensuring efficient production processes.
Indo Farm Equipment has established a strong presence in both domestic and international markets. It exports its products to multiple countries, including Afghanistan, Algeria, Bangladesh, Belgium, Bhutan, Brazil, Chile, Ethiopia, Gabon, Germany, Ghana, Hungary, Italy, Jordan, Kenya, Kuwait, Mauritius, Myanmar, Nepal, Sudan, and Syria.
The company operates two brands: Indo Farm and Indo Power. Its global footprint demonstrates its ability to meet international quality standards and adapt its products to diverse market requirements. This international presence also provides the company with revenue diversification and reduces dependency on domestic market conditions.
Indo Farm Equipment Ltd has a market capitalization of ₹875 crore as of recent trading sessions. The company's financial performance shows mixed results with both strengths and challenges.
On a consolidated basis, Indo Farm Equipment Ltd reported a profit of ₹13.51 crore on a total income of ₹131.58 crore for the quarter ended 2025. For the year ended 2024, Indo Farm Equipment Ltd had posted a profit of ₹15.60 crore on a total income of ₹375.23 crore.
- Current Price: ₹182 (as of recent trading sessions)
- High / Low: ₹293 / ₹133
- Stock P/E: 37.1
- Book Value: ₹111
- ROCE (Return on Capital Employed): 7.74 %
- ROE (Return on Equity): 5.55 %
- Market Capitalization: ₹875 crore (as of recent trading sessions)
- Promoter Holding: 69.44% (as of June 2025)
The company recently completed its initial public offering, marking a significant milestone in its corporate journey. The shares got listed on BSE and NSE on January 7, 2025.
- IPO Price Band: ₹215 per share
- IPO Size: 1,21,00,000 equity shares (face value ₹10) aggregating up to ₹260.15 Crores.
- Issue Structure: Combination of fresh issue (0.86 crore shares, ₹184.90 crores) and offer for sale (0.35 crore shares, ₹75.25 crores).
- Listing Performance: The scrip was listed at ₹258.40, exhibiting a premium of 20.19% to the issue price.
The company maintains a balanced shareholding structure with significant promoter participation. Promoter holding in Indo Farm Equipment Ltd has remained at 69.44 per cent as of June 2025. Ranbir Singh Khadwalia and Sunita Saini are the promoters of the company.
This stable promoter holding indicates strong management commitment and provides confidence to investors regarding the company's long-term strategic direction and governance practices.
The company demonstrates several operational strengths while facing certain challenges:
Strengths:
- Reduced Debt: Indicates improved financial management.
- Diversified Product Portfolio: Across tractors, cranes, and other farm equipment.
- International Presence: Provides revenue diversification and reduces dependency on domestic markets.
Challenges:
- Poor Sales Growth: Delivered a sales growth of 9.58% over the past five years.
- Low Return on Equity (ROE): 5.59% over the last 3 years.
- No Dividend Payouts: The company is reporting repeated profits but does not pay out dividends, which may be a consideration for income-focused investors.
Indo Farm Equipment Ltd represents a specialized player in the agricultural equipment sector with a diversified product portfolio and international presence. While facing growth challenges, the company's recent IPO and established market position provide a foundation for future development in India's evolving agricultural mechanization landscape.
