Vijaypd Ceutical IPO Debuts on NSE SME at ₹35.90, Up 2.57% After Modest Listing

Main Pointers
1. Vijaypd Ceutical lists on NSE SME on Oct 7, 2025 amid a weak IPO response (1.37x subscription).
2. Opened at ₹35 and closed near ₹35.90, a 2.57% gain that reflects cautious market sentiment in pharma distribution.
3. IPO proceeds are earmarked for a manufacturing plant, debt reduction, and general corporate purposes.

Listing snapshot and what it means

Vijaypd Ceutical Limited made a modest debut on the NSE SME platform on October 7, 2025. The stock opened at ₹35, matching the issue price, and later traded up to ₹35.90, finishing the day with a 2.57% gain. The move comes amid a tepid reception to the IPO, which was priced at ₹35 per share and subscribed a modest 1.37 times overall (individuals 0.89x; non-institutional investors 1.86x).

Company profile: what Vijaypd Ceutical does

Vijaypd Ceutical is a pharmaceutical products and consumer goods distributor. It serves more than 2,109 pharmacies, clinics, and nursing homes and provides access to 19,000 SKUs from 170 manufacturers. The company operates through a broad network that spans four districts and 20 locations, underpinning its reach in the pharma distribution space.

IPO details and use of proceeds

– IPO price: ₹35 per share; minimum lot: 8,000 shares (₹2,80,000).
– Listing day: opened at ₹35; closed at ₹35.90 (+2.57%).
– Subscription pattern: weak overall, with NIIs at 1.86x and retail at 0.89x.
– Intended use of proceeds:
• Manufacturing plant setup: ₹10.83 crore for API/intermediates and chemicals manufacturing.
• Debt reduction: ₹5.10 crore to repay borrowings and lower interest costs.
• General corporate purposes: ₹0.74 crore to support operations and growth initiatives.

Financial performance snapshot (FY25)

– Revenue rose 98% year-on-year to ₹107.59 crore from ₹54.34 crore in FY24, signaling strong scaling in distribution.
– Net profit surged 191% to ₹4.80 crore from ₹1.65 crore a year earlier, though the margin profile warrants careful monitoring.
– Key ratios: ROE 28.91%, ROCE 17.30%, PAT margin 4.49%, EBITDA margin 8.04%, debt-to-equity 0.68.
– Market capitalization: around ₹70.11 crore based on current estimates.

Growth drivers and near-term challenges

– Growth drivers: A Comprehensive product portfolio spanning medicines (injections, tablets, capsules, ointments, ophthalmic), vitamins, hormones, enzymes, wellness tonics, diagnostic kits, personal care, ayurvedic and cosmetic products, and dental products. An extensive distribution network of 2,109 outlets and 19,000+ SKUs across 170 manufacturers supports broad market reach.
– Challenges: While FY25 showcased robust top-line growth, the sharp jump in PAT amid flat to thin margins raises questions about sustainability in a highly competitive, fragmented distribution segment. With a debt level of 0.68x, the company will need to maintain pricing power and control costs to sustain profitability.

Outlook and final take

Investors will notice that Vijaypd Ceutical’s story hinges on scaling its distribution footprint and converting volume into steady profitability. The stock’s modest first-day performance mirrors cautious sentiment toward pharma distribution plays, rather than any dramatic market upside. If the company can shore up margins, complete its plant capex, and reduce debt further, it stands a credible path toward more durable earnings growth ahead.