Travels amp Rentals IPO Financial Overview and Market Potential

Travels & Rentals Ltd., established in 1996, is launching an SME IPO worth Rs.12.24 crore. This fixed-price issue highlights the company's extensive range of travel services, including airline tickets, hotel bookings, tour packages, and specialized offerings like visa processing and travel insurance. With a robust global network, Travels & Rentals caters to clients across Europe, the USA, Asia, and more.
Key Details:
IPO Date: August 29 - September 02, 2024
Issue Price: Rs.40 per share
Lot Size: 3000 shares
Total Issue Size: 30.6 lakh shares (Rs.12.24 crore)
The Travels & Rentals financial performance shows a 39% revenue increase and a 97% rise in PAT for the fiscal year ending March 2024. Despite facing negative cash flow in recent years, Travels & Rentals Ltd. is poised to leverage the IPO proceeds for working capital and general corporate purposes.
Financial Highlights (as of March 31, 2024):
Total Assets: Rs.2,469.85 lakh
Total Revenue: Rs.803.54 lakh
PAT: Rs.296.55 lakh
Net Worth: Rs.1,478.48 lakh
EBITDA: Rs.434.79 lakh
Strengths:
Established industry presence with a scalable business model.
Accredited by IATA, member of IATO, TAAI, and Ministry of Tourism.
Weaknesses:
High competition in the travel industry.
Negative cash flow from operating, investing, and financing activities.
GMP Today: Rs.12 (as of August 28, 2024)
Conclusion:
Travels & Rentals Ltd is aiming to capitalize on its IPO to address working capital needs and expand its operations. This overview provides essential insights into the company's financials, strengths, and challenges, helping potential investors make informed decisions.