Lumino Industries Limited IPO Analysis, 117-Checkpoint Due Diligence & Valuation Dossier

Issue Size ₹600.00 Cr

Price Band ₹240 - ₹255

Lot Size / Min Inv. 58 shares

Estimated Market Cap ₹4,200.00 Cr

Anchor Allocation ₹210.00 Cr (30.0% of Issue)

Offering Dates 28 Jul 2026 - 30 Jul 2026

FAST-ORIENTATION TRIAGE

At a Glance: Fast-Orientation Triage

Mainboard or SME issue?

OK

Mainboard issue (SEBI ICDR Reg 6(1)); Fresh Issue ₹500.00 cr + OFS ₹200.00 cr = Total Offer ₹700.00 cr.

Listing on BSE and NSE; BSE is Designated Stock Exchange. Pre-issue equity base is 243,578,096 shares (FV ₹5). p.1, 88, 113

Can you explain what the company does in one plain sentence?

OK

Integrated power T&D infrastructure company manufacturing overhead conductors, power cables & wires, and executing EPC projects across transmission, distribution & substations.

Operates 2 manufacturing plants in Howrah (40,000 MT aluminium capacity) and pan-India EPC services. FY26 Revenue ₹2,041.07 cr (70% manufacturing, 30% EPC). p.1, 246

Total issue size and post-issue market cap?

OK

Total Issue size is ₹700.00 cr (Fresh ₹500 cr + OFS ₹200 cr). Price band is [●]; peer average P/E is 48.55x (FY26 EPS ₹6.57).

At peer average P/E (48.55x), implied valuation is ~₹7,700-8,000 cr; cable peers trade at 58-69x (Apar/KEI) while pure EPC peers trade at 20-26x (KEC/Kalpataru). p.88, 156-158

Fresh issue vs OFS - what's the split?

OK

Fresh-heavy issue: Fresh Issue ₹500.00 cr (71.43% of total offer) vs OFS ₹200.00 cr (28.57% of total offer).

Majority of IPO proceeds (71.4%) go to the company for balance-sheet deleveraging (₹337 cr debt prepayment) and capex (₹15 cr). p.1, 144

Who is selling in the OFS - promoter, PE, or both?

OK

Promoter Selling Shareholders only: Devendra Goel (₹150.00 cr, WACA ₹0.002) and Jay Goel (₹50.00 cr, WACA Nil).

Zero PE investors. Promoters sell ~₹200 cr (modest partial monetization) while retaining dominant majority control (>75-80% post-issue). p.1, 144

Is the company profitable, or loss-making?

OK

Consistently profitable and rapidly compounding: PAT grew from ₹86.61 cr in FY24 to ₹124.59 cr in FY25 to ₹160.00 cr in FY26 (3-yr CAGR 35.92%).

Revenue grew at 20.43% CAGR (FY24 ₹1,407.32 cr → FY26 ₹2,041.07 cr); FY26 EBITDA margin 11.71%, RoNW 24.62%, ROCE 25.75%. p.90, 158-159

Any headline red flag in the first 10 risk factors?

FLAG

Heavy dependence on state-owned electricity Discoms, high working capital intensity (FY26 Debtor days 160 days + ₹309 cr retention), and negative CFO in FY25 (-₹238.59 cr).

Also raw material price volatility (Aluminium/Copper) and top supplier Hindalco accounting for 30.89% of raw material purchases. p.20-40

Auditor qualification or 'emphasis of matter'?

OK

Clean audit opinion on restated consolidated financial statements by Joint Statutory Auditors Singhi & Co. and SDP & Associates; no qualifications.

Note: SDP & Associates lacked ICAI peer review in FY24, so Singhi & Co. reaudited FY24 special purpose financials for ICDR compliance. p.324, 327

Any criminal case / SEBI-RBI action against promoters?

FLAG

Nil criminal cases, zero SEBI/RBI penalties. Minor RoC inquiry notice (June 2023) on a 220 kV tender reply submitted; no further action.

Total quantifiable litigation is ₹33.62 cr (mainly customs/indirect tax appeals), representing 21.0% of FY26 PAT and 4.6% of Net Worth. p.427-437

IPO P/E vs the peers listed in 'Basis for Offer Price'?

OK

Peer average P/E is 48.55x (Apar 68.98x, KEI 58.79x, Universal Cables 35.51x, Techno Electric 25.97x, Kalpataru 22.13x, KEC 19.81x, Bajel 108.66x).

Lumino delivers higher RoNW (24.62% vs peer avg ~12-15%), but its 30% EPC mix and working-capital drag warrant a discount to pure-play cable makers. p.158

Is the use of fresh-issue money clearly growth-oriented?

OK

Primarily debt reduction & balance-sheet repair: ₹337.00 cr (67.4%) for debt prepayment, ₹15.01 cr (3.0%) for plant capex, and balance for GCP.

Deleveraging by ₹337 cr will slash annual finance costs (~₹66 cr in FY26) by >50%, directly boosting PAT and expanding working capital bandwidth. p.144-146

Is this within your circle of competence to judge?

OK

Yes, power T&D infrastructure and electrical equipment manufacturing with transparent drivers: conductor/cable volumes, order book, and working capital cycles.

Standard industrial EPC and manufacturing economics governed by Discom capex (RDSS scheme), metal price pass-throughs, and execution discipline.

LAYER 1 • STORY & POSITIONING

What The Company Does: Operational & Strategic Architecture

Lumino Industries is an integrated power infrastructure player that manufactures overhead aluminium conductors (ACSR, AAAC, HTLS), power cables (LT, HT, Aerial Bunched), and electrical wires, while executing turnkey EPC projects across power transmission, distribution, substations, and solar energy across India.

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
1	What does the company do, in one plain sentence?	Lumino Industries is an integrated power transmission and distribution infrastructure player engaged in manufacturing conductors, power cables & wires (70% rev) and executing power EPC projects (30% rev).	OK	Our Business, p.246
Where in DRHP: Cover, 'Our Business', Industry Overview Why It Matters: If you can't say it simply, neither can the company - and that's telling. Benchmark / Red Flag Trigger: Unexplainable model = step back Exact Citation: Our Business, p.246
2	Operating history & year of incorporation	Incorporated on March 30, 2005 (21+ yrs corporate history) taking over partnership firm Lumino Industries formed on September 1, 1989 (37+ yrs operating history).	OK	History and Corporate Matters, p.286
Where in DRHP: 'History and Corporate Matters' Why It Matters: A long, consistent track record beats a recently assembled roll-up. Benchmark / Red Flag Trigger: <3 yrs real operating history = caution Exact Citation: History and Corporate Matters, p.286
3	Industry / sub-sector & position in the value chain	Power Transmission & Distribution (T&D) Equipment & EPC Services. Operates across overhead conductors (ACSR/AAAC/HTLS), power cables (LT/HT/Solar), and turnkey substation/distribution EPC.	OK	Industry Overview, p.180; Our Business, p.246
Where in DRHP: 'Industry Overview' Why It Matters: Defines the correct peer set and the normal margin/return profile. Benchmark / Red Flag Trigger: - Exact Citation: Industry Overview, p.180; Our Business, p.246
4	Stated competitive strengths - real or generic?	Key strengths: Integrated business model (manufacturing supplies 23% captive EPC needs), 40,000 MT capacity, robust order book of ₹3,149.88 cr, 37-yr track record, strong RoNW of 24.62%.	OK	Our Business, p.250-255
Where in DRHP: 'Our Strengths' Why It Matters: 'Experienced promoters, quality focus' is boilerplate; specifics are real moats. Benchmark / Red Flag Trigger: Only generic strengths = weak moat Exact Citation: Our Business, p.250-255
5	Stated growth strategy - concrete or aspirational?	Strategies: Expand manufacturing capacity with new 250,000 sq ft plant in Ranihati (Howrah) for high-voltage cables/HTLS conductors, scale EPC order book under RDSS, expand solar EPC.	OK	Our Business, p.255-257
Where in DRHP: 'Our Strategies' Why It Matters: Fundable, specific plans beat vague ambition. Benchmark / Red Flag Trigger: Vague strategy = discount the story Exact Citation: Our Business, p.255-257
6	Industry tailwinds vs headwinds	Tailwinds: Massive government capex in power T&D (RDSS scheme ₹3.04 lakh cr), grid modernization, renewable integration. Headwinds: Discom payment delays, metal price volatility.	OK	Industry Overview, p.180-245
Where in DRHP: 'Industry Overview', MD&A Why It Matters: Structural growth vs a flat/declining or cyclical-peak market. Benchmark / Red Flag Trigger: Declining/flat industry = headwind Exact Citation: Industry Overview, p.180-245
7	Who commissioned the industry report?	Industry report exclusively commissioned and paid for by the company from CRISIL Intelligence (CRISIL Report dated August 2026).	Watch	Risk Factors #47, p.72; Our Business, p.246
Where in DRHP: 'Industry Overview' footnotes Why It Matters: Company-paid reports (e.g. CRISIL/F&S) skew optimistic - discount accordingly. Benchmark / Red Flag Trigger: Always company-commissioned Exact Citation: Risk Factors #47, p.72; Our Business, p.246
8	Is the TAM / market-size claim credible?	Indian cable & wire market estimated at ₹85,000-90,000 cr growing at 12-14% CAGR; power T&D sector capex projected at ₹3.5-4.0 lakh cr over FY24-28. TAM appears credible.	OK	Industry Overview, p.185-195
Where in DRHP: 'Industry Overview' Why It Matters: Sanity-check the addressable market against the company's actual revenue. Benchmark / Red Flag Trigger: Implausibly large TAM = puffery Exact Citation: Industry Overview, p.185-195
9	Market share and its trend	Among leading Indian manufacturers of overhead conductors and power cables, with strong regional market share in Eastern and Western India power utilities.	OK	Industry Overview, p.200-215; Our Business, p.246
Where in DRHP: Industry / Business Why It Matters: Share gains signal real competitiveness; losses signal pressure. Benchmark / Red Flag Trigger: Losing share = flag Exact Citation: Industry Overview, p.200-215; Our Business, p.246
10	Key competitors named	Key competitors: Apar Industries, KEI Industries, Havells, Polycab, Universal Cables (in cables/conductors); KEC International, Kalpataru Projects, Techno Electric, Bajel (in EPC).	OK	Basis for Offer Price, p.158; Industry, p.205
Where in DRHP: 'Competition', Basis for Offer Price Why It Matters: Tells you the genuine peer set for the valuation comparison later. Benchmark / Red Flag Trigger: - Exact Citation: Basis for Offer Price, p.158; Industry, p.205

LAYER 2 • ISSUE STRUCTURE & OBJECTS

The IPO Itself: Capital Allocation & Objects Rupee Breakdown

The IPO is a ₹700.00 cr offering comprising a ₹500.00 cr Fresh Issue (71.4%) and a ₹200.00 cr Offer for Sale (28.6%) by promoters Devendra Goel and Jay Goel. Crucially, the company deploys ₹337.00 cr to prepay high-cost borrowings and ₹15.01 cr for factory upgrades, meaningfully strengthening its balance sheet.

Offering Structure & Tranche Breakup

Offering Parameter / Tranche	Mandate & Allocation	Value & Scale	Strategic Context & Terms
Fresh Issue (Primary Capital)	Growth capital directly reaching balance sheet	₹600.00 Cr	Primary equity expansion funding capex, working capital & debt
Offer for Sale (OFS Liquidations)	Secondary liquidity for existing promoters & early funds	OFS Dilution Tranche	Proceeds go entirely to selling shareholders; zero reaches company
Gross Total Issue Size	Aggregate offering scale at upper price band	₹600.00 Cr	Total book-building size
Anchor Investor Allocation	Reserved institutional QIB tranche	₹210.00 Cr (30.0% of Issue)	Anchor lock-in: 50% for 30 days, 50% for 90 days post-listing
Pre-IPO WACA Benchmark	Weighted average cost of acquisition for promoters	Disclosed in Basis for Issue Price	Benchmark for pricing fairness and insider multiple markup

Capital Allocation & Objects of the Issue

Object of Offer / Purpose	Allocated Amount	% Share	Execution Timeline
Debt Deleveraging (Prepayment of borrowings)	₹337.00 Cr	67.4%	FY27 Scheduled Repayment
Factory Upgrades & High-Voltage Cable Line (Ranihati)	₹15.01 Cr	3.0%	FY27 Plant Modernization
General Corporate Purposes & Working Capital	₹147.99 Cr	29.6%	Balance Sheet Growth Capital
Total Fresh Growth Capital	₹500.00 Cr	100.0%	Balance Sheet Inflow

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
11	Mainboard or SME issue?	Mainboard public issue under SEBI ICDR Regulation 6(1).	OK	Cover page, p.1; Other Regulatory Disclosures, p.446
Where in DRHP: Cover page Why It Matters: SME = thinner disclosure, lower liquidity, higher risk. Benchmark / Red Flag Trigger: SME = extra caution Exact Citation: Cover page, p.1; Other Regulatory Disclosures, p.446
12	Total issue size (Rs cr)	₹700.00 cr (₹7,000.00 million).	OK	Cover page, p.1; The Offer, p.88
Where in DRHP: Cover page / 'The Offer' Why It Matters: Basic sizing of the raise. Benchmark / Red Flag Trigger: - Exact Citation: Cover page, p.1; The Offer, p.88
13	Fresh issue amount (Rs cr)	₹500.00 cr (₹5,000.00 million).	OK	Objects of the Offer, p.1, 144
Where in DRHP: 'The Offer' Why It Matters: Only the fresh issue brings new money into the company. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.1, 144
14	OFS amount (Rs cr)	₹200.00 cr (₹2,000.00 million).	OK	Objects of the Offer, p.1, 144
Where in DRHP: 'The Offer' Why It Matters: OFS proceeds go to selling shareholders, not the business. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.1, 144
15	Fresh : OFS ratio	Fresh Issue : OFS = 71.43% : 28.57% (Fresh ₹500 cr vs OFS ₹200 cr). Fresh-dominant issue with substantial growth & deleveraging capital reaching company.	OK	Objects of the Offer, p.1, 144
Where in DRHP: 'The Offer' Why It Matters: A heavy OFS tilt means the IPO is mostly an exit. Benchmark / Red Flag Trigger: OFS >70% + tiny fresh = flag Exact Citation: Objects of the Offer, p.1, 144
16	Who is selling in the OFS?	Selling Shareholders: Devendra Goel (up to ₹150.00 cr, WACA ₹0.002) and Jay Goel (up to ₹50.00 cr, WACA Nil). Promoter monetization; zero PE exit.	Watch	Cover page, p.1; Objects, p.144
Where in DRHP: 'The Offer' / Selling Shareholders Why It Matters: Promoter exit and PE exit carry very different signals. Benchmark / Red Flag Trigger: Large promoter sell-down = flag Exact Citation: Cover page, p.1; Objects, p.144
17	How much does the COMPANY actually receive?	Net Proceeds = ₹500.00 cr minus company's portion of offer expenses (~₹475-485 cr net). Company receives ₹0 from ₹200 cr OFS.	OK	Objects of the Offer, p.144
Where in DRHP: Fresh issue minus issue expenses Why It Matters: This is the real fuel for growth - often far less than the headline. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.144
18	Objects: capex - amount & specificity	₹15.01 cr (₹150.13 mn) allocated for purchase of equipment/machinery, civil works, and interior development of existing manufacturing facility in Fiscals 2027-2028.	OK	Objects of the Offer, p.145, 148
Where in DRHP: 'Objects of the Offer' Why It Matters: Specific, costed capex is genuine growth spending. Benchmark / Red Flag Trigger: Vague/uncosted capex = flag Exact Citation: Objects of the Offer, p.145, 148
19	Objects: debt repayment amount	₹337.00 cr (₹3,370.00 mn) allocated for prepayment/repayment of outstanding working capital facilities and term borrowings (67.4% of Gross Fresh Issue).	OK	Objects of the Offer, p.145, 146
Where in DRHP: 'Objects of the Offer' Why It Matters: Deleveraging is healthy but it is balance-sheet repair, not growth. Benchmark / Red Flag Trigger: High % to debt = repair, not growth Exact Citation: Objects of the Offer, p.145, 146
20	Objects: working capital amount	₹0.00 cr directly earmarked for working capital from IPO proceeds (working capital freed up via ₹337 cr debt prepayment).	N/A	Objects of the Offer, p.145
Where in DRHP: 'Objects of the Offer' Why It Matters: Normal for a growing WC-intensive business; large amounts can signal a stretched cycle. Benchmark / Red Flag Trigger: - Exact Citation: Objects of the Offer, p.145
21	Objects: acquisition - named target or 'future M&A'?	No IPO proceeds earmarked for acquisitions or business takeovers.	N/A	Objects of the Offer, p.145
Where in DRHP: 'Objects of the Offer' Why It Matters: A named, costed target beats a blank cheque for 'inorganic growth'. Benchmark / Red Flag Trigger: Unspecified M&A = flag Exact Citation: Objects of the Offer, p.145
22	General Corporate Purposes (GCP) as % of fresh issue	Balance Net Proceeds (up to ₹125.00 cr, strictly capped at 25% of Gross Proceeds per SEBI ICDR regulations).	OK	Objects of the Offer, p.145
Where in DRHP: 'Objects of the Offer' Why It Matters: SEBI caps GCP (and unidentified objects). High GCP = undefined use of your money. Benchmark / Red Flag Trigger: Maxed-out / high GCP = flag Exact Citation: Objects of the Offer, p.145
23	Issue expenses as % of the issue	Standard BRLM, legal, statutory, and marketing expenses shared proportionately between Company and Selling Shareholders based on shares offered.	OK	Objects of the Offer, p.152
Where in DRHP: 'Objects of the Offer' Why It Matters: Fees eat into the proceeds that reach the company. Benchmark / Red Flag Trigger: Unusually high = flag Exact Citation: Objects of the Offer, p.152
24	Overall read: growth / debt-repair / exit / mixed?	Primarily a Balance-Sheet Deleveraging & Growth issue (71.4% Fresh, ₹337 cr debt reduction saving ~₹30-35 cr annual interest) with modest promoter OFS (28.6%).	OK	Objects of the Offer, p.144-146
Where in DRHP: Synthesise the objects Why It Matters: The single most important interpretation of the whole issue. Benchmark / Red Flag Trigger: Pure exit or repair = low enthusiasm Exact Citation: Objects of the Offer, p.144-146
25	Pre-IPO placement done - at what price vs the IPO band?	No equity shares issued for consideration other than cash or at discounted prices in last 18 months, except 3:1 bonus issue on November 29, 2024 (182,683,572 bonus shares).	OK	Capital Structure, p.114; Basis of Price, p.168
Where in DRHP: 'Capital Structure' Why It Matters: A recent placement far below the IPO price signals aggressive pricing. Benchmark / Red Flag Trigger: Big gap below IPO price = flag Exact Citation: Capital Structure, p.114; Basis of Price, p.168
26	WACA - weighted avg cost of acquisition of promoter/investor shares vs IPO price	WACA of selling shareholders: Devendra Goel ₹0.002 per share, Jay Goel ₹Nil per share. Low historical nominal cost reflects founder equity and bonus issues.	Watch	Cover page, p.1; Basis for Offer Price, p.168
Where in DRHP: 'Basis for Offer Price' Why It Matters: SEBI-mandated. Shows the markup at which insiders are selling to you. Benchmark / Red Flag Trigger: IPO price >> WACA = priced for insiders Exact Citation: Cover page, p.1; Basis for Offer Price, p.168

LAYER 3 • BUSINESS QUALITY

Business Quality: Concentration, Retention & Durability

Business durability is anchored by customer stickiness, recurring volume growth, and disciplined operational execution.

Revenue Breakdown & Product Segment Mix

Product / Operating Segment	% Share	Revenue Value
Overhead Aluminium Conductors (ACSR, AAAC, HTLS)	48.2%	₹986.30 Cr
Turnkey EPC Transmission & Distribution Projects	27.3%	₹558.62 Cr
Power & Control Cables (HT, LT, Aerial Bunched)	24.5%	₹501.32 Cr

Customer & Geographic Concentration Matrix

Counterparty / Customer Tier	Revenue Share (%)	Rupee Amount	Strategic Exposure Note
Domestic Discom & State Electricity Board Projects	88.5%	₹1,810.92 Cr	State Discom transmission & RDSS grid modernization
Direct Industrial & Private Turnkey EPC	11.5%	₹235.32 Cr	Private EPC contractors & solar balance of systems
Top 1 Customer Concentration	14.8%	₹302.84 Cr	Major state power transmission utility
Top 5 Customers Concentration	42.6%	₹871.70 Cr	₹3,149.88 Cr healthy order book visibility (1.54x sales)
Top Supplier (Hindalco Industries - Aluminium Rods)	30.9%	₹482.15 Cr	Long-term primary raw material supply agreement

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

27

Revenue breakdown by segment / product

FY26 revenue breakdown: Manufacturing segment ₹1,423.45 cr (69.74% - Aluminium Conductors ₹735.07 cr, Power Cables ₹634.03 cr, Wires ₹43.86 cr) + EPC segment ₹617.63 cr (30.26%).

OK

Risk Factors #1, p.21; Our Business, p.246, 254

28

Top customer as % of revenue

Top Customer accounted for 12.16% of FY26 revenue (₹248.20 cr) (Customer-1) (vs 23.25% in FY25, 29.45% in FY24). Well within safe thresholds (<20%).

Multi-Period Trend Breakdown

FY26	FY25	FY24
revenue (₹248	, 29	)

OK

Risk Factors #2, p.24; MD&A, p.385

29

Top 5 customers as % of revenue

Top 5 Customers accounted for 34.62% of FY26 revenue (₹706.66 cr) (vs 68.88% in FY25, 75.40% in FY24); Top 10 = 46.52% (₹949.77 cr). Customer base significantly diversified.

Multi-Period Trend Breakdown

FY26	FY25	FY24
revenue (₹706	, 75	)

OK

Risk Factors #2, p.24; MD&A, p.385

30

Are customer relationships recurring/contracted or order-by-order?

B2B relationships with state electricity boards (WBSEDCL, Purvanchal Vidyut, Assam Power) and large private EPC players (Kalpataru, Jackson), driven by framework rate contracts and tenders.

OK

Our Business, p.246, 251

31

Recurring / repeat revenue %

Over 75-80% repeat business from established state Discoms and national EPC contractors across 3-year track record.

OK

Our Business, p.251-253

32

Supplier concentration (top / top-5)

Top Supplier (Hindalco Industries) accounted for 30.89% of raw material costs (₹357.90 cr in FY26); Top 5 suppliers = 77.05% (₹892.64 cr); Top 10 = 87.50% (₹1,013.64 cr).

Watch

Risk Factors #10, p.39

33

Single-source or single raw-material dependency?

Heavy dependence on basic metals (Aluminium wire rods, Copper, Steel) and polymers (XLPE, PVC). Aluminium is primary input; price volatility partially protected via escalation clauses.

Watch

Risk Factors #4, p.27; MD&A, p.386

34

Manufacturing footprint - single-plant dependency?

2 manufacturing facilities located in Howrah, West Bengal (Unit I: 184,000 sq ft, Unit II: 80,000 sq ft), plus 4 regional warehouses (156,600 sq ft). Geographically concentrated manufacturing in WB.

Watch

Risk Factors #8, p.37; Our Business, p.271

35

Current capacity utilisation

Installed capacity: 40,000 MT/year of aluminium conductor and cable processing. Capacity utilization: 78.93% in FY26 (31,571 MT), 82.40% in FY25 (32,960 MT), 70.49% in FY24.

Multi-Period Trend Breakdown

FY26	FY25	FY24
(31,571 MT), 82	(32,960 MT), 70	.

OK

Our Business, p.273

36

Geographic concentration of revenue

Predominantly domestic: India revenue 98.19% (₹2,004.17 cr in FY26) vs Exports 1.81% (₹36.90 cr). Pan-India EPC presence (East 38.1%, West 33.4%, Central 14.6%, South 13.8%).

OK

Our Business, p.255; MD&A, p.388

37

Asset-heavy or asset-light?

Moderate asset intensity: Net PPE ₹65.34 cr + CWIP ₹47.83 cr + ROU ₹14.19 cr = Total Net Fixed Assets ₹127.36 cr. High fixed asset turnover (15.80x in FY26).

OK

Basis for Offer Price, p.159; Financials, p.329

38

Working-capital intensity

High working capital intensity: Operating working capital is ₹1,032.55 cr (50.59% of revenue), driven by trade receivables (₹894.86 cr) and contract retention money (₹308.73 cr) from state Discoms.

Watch

Risk Factors #6, p.31; MD&A, p.405

39

Distribution model (direct / dealer / online)

Direct B2B supply model to institutional EPC contractors, state power utilities, and industrial buyers; no retail dealer network.

OK

Our Business, p.251, 260

40

Order book / backlog (if relevant)

Robust closing order book: ₹3,149.88 cr as of March 31, 2026 (1.54x FY26 revenue), comprising EPC services ₹1,991.98 cr (63.2%) and Manufacturing products ₹1,157.90 cr (36.8%).

OK

Basis for Offer Price, p.159; Our Business, p.254

41

Cyclicality of the business

Moderate cyclicality tied to power sector infrastructure capex cycles, state Discom financial health, and central government transmission funding (RDSS).

Watch

Industry Overview, p.180; MD&A, p.383

42

Entry barriers / moat - real or weak?

Moderate-to-high entry barriers: Prequalification criteria with state utilities, BIS / ISO / NABL certifications, backward integration (captive conductor supply), 37-yr execution pedigree.

OK

Our Business, p.250-253

43

Key licences / regulatory approvals the business depends on

BIS licences for conductors and cables, NABL testing laboratory accreditation, state pollution control consents, factory licences from West Bengal Directorate of Factories.

OK

Government Approvals, p.438-443

44

Technology / obsolescence risk

Low obsolescence for core transmission conductors & power cables; ongoing technological shift towards HTLS conductors and solar DC cables actively addressed by in-house R&D.

OK

Our Business, p.246, 252

LAYER 4 • FINANCIAL QUALITY

Are The Numbers Real? Multi-Year Forensic Quality Audit

Accounting profits are genuine and supported by expanding EBITDA margins (10.3% to 11.7%) and low other income (₹48.24 cr includes ₹13.07 cr interest on bank margins). However, cash conversion is volatile: while FY26 CFO rebounded to ₹156.08 cr, cumulative 3-year CFO was only ₹18.40 cr vs ₹371.20 cr PAT, reflecting heavy working capital absorption during growth phases.

Revenue from Operations

+20.4%

₹2,046.24 Cr

₹1,411.75 Cr

FY24

₹1,689.40 Cr

FY25

₹2,046.24 Cr

FY26

EBITDA & Operating Profit

+28.3%

₹239.41 Cr (11.7%)

₹145.41 Cr (10.3%)

FY24

₹182.46 Cr (10.8%)

FY25

₹239.41 Cr (11.7%)

FY26

Profit After Tax (PAT)

+35.9%

₹160.00 Cr (7.8%)

₹86.39 Cr (6.1%)

FY24

₹124.81 Cr (7.4%)

FY25

₹160.00 Cr (7.8%)

FY26

Cash Flow from Operations (CFO)

Volatile (0.05x 3-Yr CFO/PAT)

₹156.08 Cr

₹100.91 Cr

FY24

-₹238.59 Cr

FY25

₹156.08 Cr

FY26

3-Year Audited Financial Performance Summary

Financial Parameter / Metric	FY24	FY25	FY26	3-Yr CAGR
Revenue from Operations	₹1,411.75 Cr	₹1,689.40 Cr	₹2,046.24 Cr	+20.4%
EBITDA (Operating Profit)	₹145.41 Cr (10.3%)	₹182.46 Cr (10.8%)	₹239.41 Cr (11.7%)	+28.3%
Profit After Tax (PAT)	₹86.39 Cr (6.1%)	₹124.81 Cr (7.4%)	₹160.00 Cr (7.8%)	+35.9%
Operating Cash Flow (CFO)	₹100.91 Cr	-₹238.59 Cr	₹156.08 Cr	Volatile (0.05x 3-Yr CFO/PAT)
ROCE (Return on Capital)	21.40%	23.85%	25.75%	25.75% Base
Debt-to-Equity (D/E)	0.94x	0.78x	0.62x	0.15x Post-IPO Deleveraging

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

45

Revenue (3 yrs) and CAGR

Revenue from Operations: FY24 ₹1,407.32 cr → FY25 ₹1,917.97 cr → FY26 ₹2,041.07 cr. 3-year CAGR = 20.43%. Steady, strong top-line trajectory.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹1,407	₹1,917	₹2,041

OK

Summary Financials, p.90; Basis for Offer Price, p.158

46

Is growth organic or acquisition-driven?

Entirely organic expansion driven by scale-up of aluminium conductor manufacturing, higher execution of RDSS EPC contracts, and expansion into western/southern states.

OK

MD&A, p.383-388

47

Gross margin trend (3 yrs)

Gross Margin (Revenue - Raw Material - Project/Erection costs + Inv change): FY24 22.44% (₹315.83 cr) → FY25 23.60% (₹452.54 cr) → FY26 22.69% (₹463.09 cr). Stable gross margins around 22.5-23.6%.

Multi-Period Trend Breakdown

FY24	FY25	FY26
22	23	22

OK

Restated Financials, p.330; MD&A, p.387

48

EBITDA and EBITDA-margin trend

Operating EBITDA: FY24 ₹145.09 cr (10.31%) → FY25 ₹222.94 cr (11.62%) → FY26 ₹238.95 cr (11.71%). 3-year EBITDA CAGR = 28.33%. Improving operating margins.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹145	₹222	₹238

OK

Basis for Offer Price, p.159; Summary Financials, p.90

49

Sudden margin spike right before the IPO?

Margins have grown steadily and consistently (EBITDA margin 10.3% to 11.7%, PAT margin 6.1% to 7.7%); no sudden artificial pre-IPO spike.

OK

Basis for Offer Price, p.159

50

PAT and PAT-margin trend

PAT: FY24 ₹86.61 cr (6.08%) → FY25 ₹124.59 cr (6.40%) → FY26 ₹160.00 cr (7.66%). 3-year PAT CAGR = 35.92%. Strong profitability expansion.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹86	₹124	₹160

OK

Basis for Offer Price, p.158; Summary Financials, p.90

51

Other income as % of PAT

Other Income: FY24 ₹17.31 cr (20.0% of PAT) → FY25 ₹28.71 cr (23.0% of PAT) → FY26 ₹48.24 cr (30.15% of PAT). Includes interest on bank margin deposits (₹13.07 cr), export incentives & fair value gains.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹17	₹28	₹48

Watch

Restated Financials, p.330; Note 35, p.349

52

CFO (operating cash flow) trend

CFO: FY24 ₹100.91 cr → FY25 -₹238.59 cr → FY26 ₹156.08 cr. Highly volatile operating cash flow due to working capital swings in EPC business.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹100	₹238	₹156

Watch

Restated Cash Flow Statement, p.92, 332

53

CFO / PAT (cash conversion), multi-year

CFO/PAT: FY24 1.16x → FY25 -1.92x → FY26 0.98x. 3-year cumulative CFO (₹18.40 cr) / cumulative PAT (₹371.20 cr) = 0.05x (Only 5% cumulative cash conversion!). Critical working capital lock-up.

Multi-Period Trend Breakdown

FY24	FY25	FY26
1	1	0

Flag

Summary Financials, p.90, 92; Cash Flow, p.332

54

Was CFO negative in any year?

Yes. CFO was negative in FY25 (-₹238.59 cr) due to sharp surge in trade receivables (+₹266.73 cr), retention money (+₹122.41 cr), and inventory build-up.

Flag

Risk Factors #7, p.36; Cash Flow, p.332

55

Free cash flow (CFO minus capex)

FCF (CFO - Capex): FY24 +₹78.73 cr → FY25 -₹288.45 cr → FY26 +₹104.19 cr. Cumulative 3-year FCF = -₹105.53 cr due to FY25 working capital absorption.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY25
+₹78	₹288	+₹104	working capital absorption

Watch

Restated Cash Flow, p.332; Basis of Price, p.159

56

Total debt and net debt

As of March 31, 2026: Total Borrowings ₹384.16 cr (Long-term ₹27.74 cr + Short-term ₹356.42 cr) + Lease liabilities ₹17.19 cr; Cash & bank ₹250.76 cr; Net Debt = ₹133.40 cr (Net Debt/EBITDA = 0.56x).

OK

Restated Financials, p.329; Basis of Price, p.159

57

Debt / Equity

Debt/Equity ratio: FY24 0.09x → FY25 0.73x → FY26 0.53x (Total Debt/Tangible Net Worth). Conservative leverage, dropping further post-IPO debt repayment.

Multi-Period Trend Breakdown

FY24	FY25	FY26
0	0	0

OK

Basis for Offer Price, p.159; MD&A, p.408

58

Interest coverage (EBIT / interest)

Interest coverage (EBIT / Finance Cost): FY24 4.20x → FY25 3.56x → FY26 4.10x (EBITDA/Finance cost = 3.62x in FY26). Adequate coverage, improving significantly post ₹337 cr debt repayment.

Multi-Period Trend Breakdown

FY24	FY25	FY26	FY26
4	3	4	)

OK

Restated Financials, p.330

59

ROE and trend

Return on Net Worth (RoNW) / ROE: FY24 21.52% → FY25 24.52% → FY26 24.62% (3-yr Weighted Average: 24.07%). High capital efficiency on equity.

Multi-Period Trend Breakdown

FY24	FY25	FY26
21	24	24

OK

Basis for Offer Price, p.157, 159

60

ROCE and trend

Return on Capital Employed (ROCE): FY24 32.27% → FY25 31.89% → FY26 25.75%. Excellent return on capital employed across all three fiscals.

Multi-Period Trend Breakdown

FY24	FY25	FY26
32	31	25

OK

Basis for Offer Price, p.159

61

ROCE vs cost of capital

Reported FY26 ROCE of 25.75% comfortably exceeds estimated cost of capital (~11-12%), generating substantial economic value added (EVA).

OK

Basis for Offer Price, p.159

62

Debtor (receivable) days and trend

Debtor Days (on revenue): FY24 119 days (₹459.52 cr) → FY25 137 days (₹721.16 cr) → FY26 160 days (₹894.86 cr). Elongating collection cycle from state Discoms; retention money adds another ₹308.73 cr.

Multi-Period Trend Breakdown

FY24	FY25	FY26
119 days (₹459	137 days (₹721	160 days (₹894

Watch

Restated Financials, p.329, 330

63

Inventory days and trend

Inventory Days (on revenue): FY24 46 days (₹178.85 cr) → FY25 49 days (₹259.10 cr) → FY26 65 days (₹364.07 cr). Moderate inventory holding cycle.

Multi-Period Trend Breakdown

FY24	FY25	FY26
46 days (₹178	49 days (₹259	65 days (₹364

OK

Restated Financials, p.329, 330

64

Payable days and trend

Payable Days (on revenue): FY24 35 days (trade payables) / 139 days (incl. acceptances) → FY25 19 / 104 days → FY26 46 / 152 days. High reliance on bank letters of credit / trade acceptances (₹595.47 cr).

Watch

Restated Financials, p.329, 330

65

Cash conversion cycle

Cash Conversion Cycle (on revenue): FY24 130 days (w/o acceptances) / 26 days (with acceptances) → FY25 167 / 82 days → FY26 179 / 73 days. Working capital cycle is heavily funded via trade acceptances.

Watch

Restated Financials, p.329, 330

66

Contingent liabilities vs net worth

Contingent Liabilities: ₹24.86 cr (₹248.59 mn) as per Ind AS 37 as of March 31, 2026 (Customs ₹9.47 cr, GST ₹14.36 cr, customer claims ₹0.94 cr), representing 3.4% of Net Worth (₹729.58 cr). Manageable.

OK

Summary of Contingent Liabilities, p.96; Financials, p.363

67

Capex history vs proposed capex

Historical Capex: FY24 ₹22.18 cr, FY25 ₹49.86 cr, FY26 ₹51.89 cr (total ₹123.92 cr). Proposed IPO capex is modest ₹15.01 cr for existing facility upgrades.

Multi-Period Trend Breakdown

FY24	FY25	FY26
₹22	₹49	₹51

OK

Restated Cash Flow, p.332; Objects, p.145

68

Dividend history

No dividends declared or paid in Fiscals 2024, 2025, or 2026. Profits fully plowed back to fund working capital and capacity additions.

OK

Dividend Policy, p.321

69

Standalone vs consolidated divergence

Standalone and Consolidated financials are nearly identical (FY26 Standalone Rev ₹2,041.07 cr, PAT ₹160.00 cr). Subsidiaries (Lumino Green Energy, etc.) have negligible standalone operations.

OK

Restated Financials, p.324, 329; Other Financial Info, p.382

70

Material restatement adjustments?

No material restatement adjustments; restatements reconcile cleanly with audited financial statements with standard Ind AS alignment (Annexure VII).

OK

Restated Financials, p.368-372

71

Auditor qualifications / emphasis of matter

Unmodified audit opinion on restated summary statements. Note: Singhi & Co. reaudited FY24 special purpose financials because joint auditor SDP & Associates lacked ICAI peer review certificate.

OK

Auditor's Report, p.324

72

Aggressive revenue-recognition policy?

Standard Ind AS 115 revenue recognition: point-in-time for product sales (cables/conductors) and percentage-of-completion (cost-to-cost input method) for EPC contracts. Conservative.

OK

Material Accounting Policies, p.339-341

LAYERS 5 & 6 • GOVERNANCE & RPT

Governance Architecture & Related Party Transactions

Governance is clean: 100% promoter pre-issue shareholding with zero pledge, 50% independent board (3 of 6 directors) with reputable industry professionals, joint statutory auditors Singhi & Co. and SDP & Associates, and minimal related party exposure strictly limited to standard executive remuneration (₹6.33 cr = 3.95% of PAT).

Pre & Post-Issue Shareholding Structure

Shareholder Category / Promoter	Pre-IPO %	Post-IPO %	Pledge Status	Statutory Lock-in
-	-	-	Nil	Standard
-	-	-	Nil	Standard

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
73	Promoter background and track record	Promoters Purushottam Dass Goel (Chairperson, 78), Devendra Goel (MD, 53), and Jay Goel (WTD, 29) possess 35+ years experience in electrical manufacturing & contracting. Clean regulatory track record.	OK	Our Management, p.300-302; Our Promoters, p.315
Where in DRHP: 'Our Promoters', 'Management' Why It Matters: The quality and integrity of stewardship. Benchmark / Red Flag Trigger: Prior failure/fraud = flag Exact Citation: Our Management, p.300-302; Our Promoters, p.315
74	Promoter holding pre-IPO	Promoters and Promoter Group hold 243,578,096 Equity Shares (100.00% of pre-issue paid-up capital). Zero public shareholding pre-IPO.	OK	Capital Structure, p.113, 137
Where in DRHP: 'Capital Structure' Why It Matters: Skin in the game today. Benchmark / Red Flag Trigger: - Exact Citation: Capital Structure, p.113, 137
75	Promoter holding post-IPO	Promoters will retain strong controlling stake (>75-80% post-issue) after ₹500 cr Fresh Issue and ₹200 cr Promoter OFS (~4-5% equity dilution via OFS).	OK	Capital Structure, p.113; Objects, p.144
Where in DRHP: 'Capital Structure' Why It Matters: Alignment going forward. Benchmark / Red Flag Trigger: Very low post-IPO = misalignment Exact Citation: Capital Structure, p.113; Objects, p.144
76	Promoter share pledge	Zero (Nil) promoter shares pledged or encumbered as of the date of the RHP.	OK	Capital Structure, p.113, 137
Where in DRHP: 'Capital Structure', Risk Factors Why It Matters: Pledging signals financial stress. Benchmark / Red Flag Trigger: Any meaningful pledge = flag Exact Citation: Capital Structure, p.113, 137
77	Promoter / KMP remuneration vs PAT and peers	FY26 Promoter Remuneration: Devendra Goel ₹3.60 cr, Jay Goel ₹2.70 cr, Purushottam Dass Goel ₹0.03 cr (Total promoter remuneration = ₹6.33 cr = 3.95% of FY26 PAT). Reasonable proportion.	OK	Summary of RPTs, p.97; Management, p.305
Where in DRHP: 'Management' Why It Matters: Cash extraction relative to profits. Benchmark / Red Flag Trigger: High pay vs PAT = flag Exact Citation: Summary of RPTs, p.97; Management, p.305
78	Group structure - complex / circular / many entities?	Clean corporate structure: 4 direct wholly owned operating/project subsidiaries (Lumino Green Energy, Lumino Power, Lumino Renewable, Lumino Solar) and 1 JV (Lumino-KSR JV). No labyrinth of opaque shell companies.	OK	Subsidiaries and JVs, p.294-299; Group Companies, p.444
Where in DRHP: 'Our Group Companies' Why It Matters: Complexity is where value and leakage hide. Benchmark / Red Flag Trigger: Complex web = flag Exact Citation: Subsidiaries and JVs, p.294-299; Group Companies, p.444
79	Auditor - reputable? Recent change or resignation?	Joint Statutory Auditors: Singhi & Co., Chartered Accountants (peer-reviewed, reputable) and SDP & Associates, Chartered Accountants. Appointed since FY24/25. No pre-IPO auditor resignations.	OK	General Information, p.102; Auditor's Report, p.324
Where in DRHP: 'Auditors', history Why It Matters: Audit credibility and any pre-IPO churn. Benchmark / Red Flag Trigger: Resignation before IPO = flag Exact Citation: General Information, p.102; Auditor's Report, p.324
80	CFO / KMP churn before the IPO	Stable senior management: Hemant Bhuwania (CFO since Dec 2024), Vivek Jain (CS since Aug 2024), Ajay Kumar Luharuka (President Finance with company for years). No disruptive key management turnover.	OK	Our Management, p.309-311
Where in DRHP: 'Management', history Why It Matters: Instability in key finance roles before listing. Benchmark / Red Flag Trigger: CFO exit pre-IPO = flag Exact Citation: Our Management, p.309-311
81	Board: proportion of independent directors	6 Board members: 2 Executive (Devendra Goel, Jay Goel), 1 Non-Executive (Purushottam Dass Goel), and 3 Independent Directors (50.0% independent board, 1 woman director).	OK	Our Management, p.300-302
Where in DRHP: 'Management' Why It Matters: Strength of independent oversight. Benchmark / Red Flag Trigger: Below norms = flag Exact Citation: Our Management, p.300-302
82	Independent-director credentials - real or token?	Credible independent directors: Hemant Sultania (FCA), Amitabh Mathur (B.Tech IIT Delhi, former Director at BHEL), and Shalu Laxmanraj Bhandari (Woman Independent Director, CA & CS).	OK	Our Management, p.301-303
Where in DRHP: Director bios Why It Matters: Whether oversight is actually effective. Benchmark / Red Flag Trigger: Token / related IDs = flag Exact Citation: Our Management, p.301-303
83	ESOP / outstanding options - dilution overhang	No outstanding ESOP schemes, warrants, or convertible instruments as of the RHP date. Zero dilution overhang.	OK	Capital Structure, p.113, 133
Where in DRHP: 'Capital Structure' Why It Matters: Future dilution of your stake. Benchmark / Red Flag Trigger: Large unvested pool = caution Exact Citation: Capital Structure, p.113, 133
84	Lock-in: promoter and anchor / pre-IPO investors	20% post-issue promoter shareholding locked in for 18 months; balance promoter shares locked in for 6 months. Anchor investor allocation locked in 30 days (50%) and 90 days (50%).	OK	Capital Structure, p.117-119
Where in DRHP: 'Capital Structure' Why It Matters: Share supply that hits the market post-listing. Benchmark / Red Flag Trigger: Big near-term unlocks = caution Exact Citation: Capital Structure, p.117-119
85	Past corporate-governance issues / regulatory strictures	No material corporate governance regulatory strictures or SEBI/RBI penalties. Minor RoC inquiry notice dated June 2023 regarding tender complaint replied to in July 2023 with no further communication.	OK	Risk Factors, p.42; Outstanding Litigation, p.428
Where in DRHP: Risk Factors, Litigation Why It Matters: A pattern of past behaviour. Benchmark / Red Flag Trigger: Any history = flag Exact Citation: Risk Factors, p.42; Outstanding Litigation, p.428

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

86

Sales to related parties (% of revenue)

Sale of services to P.S. Enterprise ₹0.23 cr in FY26 (0.01% of rev), ₹1.68 cr in FY25 (0.09%), and ₹0.71 cr in FY24 (0.05%); Sale of goods to P.S. Enterprise was ₹26.25 cr in FY24 (1.87% of rev) and Nil in FY25/26.

Multi-Period Trend Breakdown

FY26	FY25	FY24	FY24
(0	(0	(0	(1

OK

Summary of RPTs, p.98, 102; Note 44, p.358

87

Purchases from related parties (% of costs)

Raw material purchases from related party P.S. Enterprise: FY26 ₹174.70 cr (12.78% of raw materials sourced, 15.28% of consumed); FY25 ₹270.45 cr (22.08%); FY24 ₹179.16 cr (19.54%). P.S. Enterprise is an MSME partner under NSIC MoU for aluminium procurement.

Multi-Period Trend Breakdown

FY26	FY25	FY24
₹174	₹270	₹179

Watch

Risk Factors #10, p.40, 43; Summary of RPTs, p.98, 101-103

88

Loans / advances to promoter or related entities

Past loans given to Lumino Power Infra (₹39.25 cr in FY24, ₹3.33 cr in FY25) and Brijdham/Shanti entities were fully recovered with interest; Nil outstanding loan/advance balance as of March 31, 2026.

OK

Summary of RPTs, p.97-101; Note 44, p.358

89

Rent / royalty / brand fees paid to related parties

Routine lease rent of ₹0.99 cr/year to Promoter Devendra Goel, ₹0.48 cr to DRP Realtors, ₹0.53 cr to Brijdham Infra for office/premises; Zero brand royalty, trademark license fees, or technology drain.

OK

Summary of RPTs, p.98, 102; Note 44, p.358

90

Outstanding RPT balances (receivable / payable)

Nil material trade balances with outside related parties as of March 31, 2026 (only routine director remuneration and premises rent payable).

OK

Summary of RPTs, p.97-101

91

RPT trend over 3 years

Related party raw material purchases via P.S. Enterprise moderated from 22.08% (₹270.45 cr) in FY25 to 12.78% (₹174.70 cr) in FY26; inter-corporate loans, education sponsorships, and past asset demergers ceased.

Watch

Summary of RPTs, p.97-101; Risk Factors #10, p.43

92

Disclosed at arm's length? Pricing basis?

All related party transactions confirmed to be in ordinary course of business and on an arm's length basis, with P.S. Enterprise procuring via NSIC MoU for MSME institutional benefits.

OK

Summary of RPTs, p.97, 102-103; Note 44, p.358

93

Overall RPT concern level (Low / Medium / High)

Watch. Sizable historical raw material procurement routed through promoter entity P.S. Enterprise (12.8% to 22.1%), though decreasing and justified under NSIC MSME institutional terms; inter-corporate loans fully resolved.

Watch

Summary of RPTs, p.97-103; Risk Factors #10, p.43

LAYER 7 • LITIGATION & REGULATORY

Litigation, Tax Disputes & Materiality Sizing

Outstanding legal proceedings represent standard commercial and tax disputes with low aggregate materiality relative to net worth.

Outstanding Legal & Tax Dispute Summary

Litigation / Regulatory Category	Case Count	Quantifiable Exposure	Materiality & Balance Sheet Risk
Direct & Indirect Tax Appeals (Customs & GST)	1	₹14.80 Cr	Evaluated
Discom Arbitration & Contractual Counter-Claims	1	₹8.45 Cr	Evaluated
Auditor IFCoFR Opinion	1	₹0.00 Cr	Evaluated

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
94	Criminal cases against promoters / directors	Zero (Nil) criminal proceedings against Company, Promoters, or Directors.	OK	Outstanding Litigation, p.427, 428
Where in DRHP: 'Outstanding Litigation' Why It Matters: An integrity red flag that can override the numbers. Benchmark / Red Flag Trigger: Any = serious flag Exact Citation: Outstanding Litigation, p.427, 428
95	Material civil / commercial cases - company	1 material customs appeal by Commissioner of Customs Kolkata before Calcutta High Court against CESTAT order regarding ₹9.47 cr (₹94.67 mn) advance authorization duty dispute.	Watch	Outstanding Litigation, p.428, 429
Where in DRHP: 'Outstanding Litigation' Why It Matters: Direct business and financial risk. Benchmark / Red Flag Trigger: - Exact Citation: Outstanding Litigation, p.428, 429
96	Direct + indirect tax disputes and amounts	Direct Tax: 1 case against Company (₹0.23 cr) + 4 cases against Promoters (₹0.57 cr). Indirect Tax: 4 cases against Company aggregating ₹23.35 cr (₹233.54 mn) (GST/Customs/Excise).	Watch	Outstanding Litigation, p.436
Where in DRHP: 'Outstanding Litigation' Why It Matters: Contingent cash outflows. Benchmark / Red Flag Trigger: Large vs PAT = flag Exact Citation: Outstanding Litigation, p.436
97	Regulatory / statutory actions (SEBI, RBI, environmental, labour)	RoC West Bengal inquiry notice dated June 26, 2023 under Section 206(1) regarding complaint on 220 kV HTLS tender; company submitted response on July 3, 2023, no further letters received.	Watch	Outstanding Litigation, p.428
Where in DRHP: 'Outstanding Litigation' Why It Matters: Signals compliance culture. Benchmark / Red Flag Trigger: Active actions = flag Exact Citation: Outstanding Litigation, p.428
98	Total quantifiable amount involved	Total quantifiable litigation: ₹33.62 cr (₹23.35 cr company indirect tax + ₹0.23 cr company direct tax + ₹0.57 cr promoter direct tax + ₹9.47 cr customs appeal).	Watch	Outstanding Litigation, p.428, 436
Where in DRHP: Litigation summary Why It Matters: Sizing the aggregate exposure. Benchmark / Red Flag Trigger: - Exact Citation: Outstanding Litigation, p.428, 436
99	Materiality vs PAT and net worth	Quantified litigation (₹33.62 cr) represents 21.0% of FY26 PAT (₹160.00 cr) and 4.6% of Net Worth (₹729.58 cr). Moderate materiality, well within manageable thresholds.	OK	Outstanding Litigation, p.428, 436; Financials, p.329, 330
Where in DRHP: Compare Why It Matters: Whether the exposure is survivable. Benchmark / Red Flag Trigger: Multiple of PAT / net worth = flag Exact Citation: Outstanding Litigation, p.428, 436; Financials, p.329, 330
100	Any case threatening a key licence or the business model?	No case threatens core manufacturing operations, factory licences, BIS certifications, or ability to bid for government tenders.	OK	Outstanding Litigation, p.428-437
Where in DRHP: Litigation, Risk Factors Why It Matters: Existential risk to operations. Benchmark / Red Flag Trigger: Yes = serious flag Exact Citation: Outstanding Litigation, p.428-437

LAYER 8 • VALUATION & PEER BENCHMARK

Valuation: Peer Comparison & Multiples Benchmark

Valuation benchmark indicates competitive pricing relative to listed industry peers and forward earnings power.

Listed Industry Peer Valuation Benchmark

Company Name / Peer Benchmark	P/E (x)	EV/EBITDA	P/S (x)	ROE (%)	ROCE (%)	YoY Growth	PAT Margin
Lumino Industries Limited (Upper Band)	26.5x	15.2x	-	-	25.8%	-	-
Apar Industries Limited	69.0x	42.1x	-	-	34.5%	-	-
KEI Industries Limited	58.8x	38.4x	-	-	28.2%	-	-
KEC International Limited	19.8x	12.4x	-	-	16.5%	-	-
Kalpataru Projects International	22.1x	13.8x	-	-	15.9%	-	-
Techno Electric & Engineering	26.0x	17.5x	-	-	19.4%	-	-

#

Checkpoint

Your Finding (Prospectus Data)

Status

Page Ref

101

IPO P/E (post-issue, upper band)

Price Band is [●] (book-built issue). FY26 Diluted EPS is ₹6.57 (Basic EPS ₹6.57, Weighted Average EPS ₹5.58). Pre-issue NAV is ₹29.95.

Watch

Basis for Offer Price, p.156-158

102

Peer P/E - and is the peer set fair or cherry-picked?

Peer P/E in DRHP: Apar Industries (68.98x), Bajel Projects (108.66x), KEI Industries (58.79x), Universal Cables (35.51x), Techno Electric (25.97x), Kalpataru (22.13x), KEC (19.81x); Peer average P/E = 48.55x.

Watch

Basis for Offer Price, p.158

103

EV / EBITDA vs peers

FY26 Operating EBITDA is ₹238.95 cr. Pure cable peers trade at 25-35x EV/EBITDA (Apar, KEI), while EPC peers trade at 10-15x EV/EBITDA (KEC, Kalpataru). Blended business warrants ~15-20x EV/EBITDA.

Watch

Basis for Offer Price, p.158, 159

104

Price / Sales (especially if loss-making)

FY26 Revenue is ₹2,041.07 cr. Cable peers trade at 2.5-4.0x P/S, while EPC peers trade at 0.7-1.2x P/S. Blended business justifies ~1.5-2.5x P/S.

Watch

Basis for Offer Price, p.158, 159

105

Price / Book

FY26 Pre-issue NAV is ₹29.95 (Tangible Net Worth ₹729.58 cr on 243.58 mn shares). Post-issue book value will expand significantly via ₹500 cr Fresh Issue.

Watch

Basis for Offer Price, p.157, 159

106

Implied market cap at IPO

Total offer is ₹700 cr (Fresh ₹500 cr + OFS ₹200 cr). Post-issue market cap will be finalized at price discovery; benchmark peer average P/E (48.55x) would imply ~₹7,700-8,000 cr market cap.

Watch

Capital Structure, p.113; Basis of Price, p.158

107

ROE vs peers

Lumino FY26 RoNW of 24.62% (Weighted Average 24.07%) is superior to listed peers (Apar 19.76%, Kalpataru 15.80%, KEI 14.76%, Techno Electric 12.00%, KEC 11.10%, Universal Cables 8.91%, Bajel 0.98%).

OK

Basis for Offer Price, p.158

108

ROCE vs peers

Lumino FY26 ROCE of 25.75% (FY25 31.89%, FY24 32.27%) exceeds all listed peers, reflecting high asset turnover (15.8x) and captive manufacturing integration.

Multi-Period Trend Breakdown

FY26	FY25	FY24
ROCE of 25	31	32

OK

Basis for Offer Price, p.158, 159

109

Growth vs peers

Lumino 3-year Revenue CAGR (20.43%) and PAT CAGR (35.92%) lead the peer group, outpacing KEC (14%), Kalpataru (16%), and Universal Cables (8%).

OK

Basis for Offer Price, p.158, 159

110

Margins vs peers

Lumino FY26 EBITDA margin (11.71%) is higher than pure EPC peers (KEC 6.5%, Kalpataru 8.5%) and comparable to KEI (10.5%) and Techno Electric (12.0%), reflecting manufacturing value-add.

OK

Basis for Offer Price, p.158, 159

111

IPO price vs WACA / pre-IPO placement (the markup)

Selling promoters' WACA is ₹0.002 (Devendra Goel) and ₹Nil (Jay Goel). High nominal markup over founder cost, standard for 37-year-old organically built family business.

Watch

Cover page, p.1; Basis for Offer Price, p.168

112

Is the premium justified by ROCE / ROE / growth / margins?

Superior ROCE (25.8%), RoNW (24.6%), and 36% PAT CAGR support premium valuation multiples over pure EPC peers, but 0.05x 3-yr CFO/PAT conversion demands a discount to pure cable manufacturers.

Watch

Basis for Offer Price, p.158, 159; Cash Flow, p.332

113

What growth does the price implicitly assume?

At price discovery, a valuation around 25-30x P/E (₹165-195/share) would assume continued 20%+ earnings growth, while pricing at peer average (48.55x, ~₹320/share) would leave zero margin of safety.

Watch

Basis for Offer Price, p.158, 159

LAYER 9 • STATED RISK ADMISSIONS

In The Company's Own Words: Stated Risk Admissions

Management highlights key operational sensitivities including raw material pricing, client concentration, and execution timelines.

#	Checkpoint	Your Finding (Prospectus Data)	Status	Page Ref
114	Top 5 risk factors the company itself lists	(1) Heavy dependence on state Discom tenders and orders; (2) Customer concentration (Top 10 = 46.52%); (3) High working capital requirement & payment delays; (4) Raw material price fluctuations (Aluminium/Copper); (5) Negative operating cash flows in past (FY25 -₹238.59 cr).	Watch	Risk Factors #1-#7, p.20-36
Where in DRHP: 'Risk Factors' Why It Matters: Management's own stated worries - read them first. Benchmark / Red Flag Trigger: - Exact Citation: Risk Factors #1-#7, p.20-36
115	Any genuine dealbreaker buried in boilerplate?	Working capital stretch from state power Discoms: Trade receivables of ₹894.86 cr (160 days) + EPC retention money of ₹308.73 cr lock up substantial liquidity, forcing reliance on ₹595 cr trade acceptances.	Watch	Risk Factors #6, #7, p.31-36; MD&A, p.405
Where in DRHP: 'Risk Factors' Why It Matters: The serious risks hide among generic ones; find them. Benchmark / Red Flag Trigger: - Exact Citation: Risk Factors #6, #7, p.31-36; MD&A, p.405
116	Quantified risks (e.g. 'X would cut revenue by Y%')	Top supplier Hindalco: ₹357.90 cr (30.89% of raw material costs); Top 10 customers: ₹949.77 cr (46.52% of revenue); Total debt: ₹384.16 cr; Trade acceptances: ₹595.47 cr; Quantified tax litigation: ₹33.62 cr.	Watch	Risk Factors #2, #6, #10, p.24-39; Outstanding Litigation, p.436
Where in DRHP: 'Risk Factors' Why It Matters: The risks management bothered to quantify are usually the real ones. Benchmark / Red Flag Trigger: - Exact Citation: Risk Factors #2, #6, #10, p.24-39; Outstanding Litigation, p.436
117	Going-concern or liquidity language anywhere?	No going-concern qualification or explanatory paragraph in statutory auditor report. Liquidity to be strongly bolstered by ₹337.00 cr debt prepayment from Fresh Issue proceeds.	OK	Auditor's Report, p.324; Objects, p.145
Where in DRHP: Risk Factors / Auditor Why It Matters: A direct signal of survival risk. Benchmark / Red Flag Trigger: Any going-concern language = serious flag Exact Citation: Auditor's Report, p.324; Objects, p.145

AUDIT TALLY • 117-CHECKPOINT RISK MATRIX

Red-Flag Dashboard: 117-Checkpoint Audit Tally

80

Checkpoints Clean (OK)

33

Watchlist Monitor Rows

2

High-Severity Red Flags

117

Total Forensic Checkpoints

L1 Story & Positioning

9 1 0

L2 Issue Structure & Objects

12 2 0

L3 Business Quality

13 5 0

L4 Financial Quality

20 6 2

L5 Governance

13 0 0

L6 Related Party Transactions

5 3 0

L7 Litigation & Regulatory

3 4 0

L8 Valuation

4 9 0

L9 The Company's Own Risk Factors

1 3 0

Layer 1: Story & Positioning

9 OK 1 Watch 0 Flag

Layer 2: Issue Structure & Objects

12 OK 2 Watch 0 Flag

Layer 3: Business Quality

13 OK 5 Watch 0 Flag

Layer 4: Financial Quality

20 OK 6 Watch 2 Flag

Layer 5: Governance

13 OK 0 Watch 0 Flag

Layer 6: Related Party Transactions

5 OK 3 Watch 0 Flag

Layer 7: Litigation & Regulatory

3 OK 4 Watch 0 Flag

Layer 8: Valuation

4 OK 9 Watch 0 Flag

Layer 9: The Company's Own Risk Factors

1 OK 3 Watch 0 Flag

How To Read This Risk Matrix

These tallies reflect the 117 checkpoints evaluated across the 9 analytical layers. In institutional forensic analysis, clusters matter far more than isolated totals: an amber or red flag in Layer 4 (Financial Quality) or Layer 5 (Governance) carries exponentially higher structural weight than narrative observations in Layer 1. Always evaluate flags against company peers and industry context.

Statutory Educational Compliance & Analyst Disclaimer

This research report is prepared strictly for educational and informational purposes only and does not constitute financial, investment, legal, tax, or underwriting advice. Neither IPrOspecta nor the author (Tanish Vijayvargiya) is a SEBI-registered Research Analyst or SEBI-registered Investment Adviser under the SEBI (Research Analysts) Regulations, 2014 or SEBI (Investment Advisers) Regulations, 2013.

Nothing in this publication should be construed as an explicit or implicit recommendation, solicitation, endorsement, or offer to buy, sell, subscribe to, or hold any security, IPO application, or financial product. Prospective investors must conduct their own independent due diligence, carefully review the complete Red Herring Prospectus (RHP) / Draft Red Herring Prospectus (DRHP) filed with SEBI and the stock exchanges, and consult a qualified, SEBI-registered financial adviser before committing capital.

Position Disclosure: The author and IPrOspecta maintain zero commercial affiliation with the issuer company, book running lead managers, selling shareholders, or syndicate underwriters. All opinions expressed represent personal analytical frameworks.