IPO update: Sansera Engineering

Sansera Engineering came out with its IPO five months ago. You can read our detailed analysis about the issue here. In this update, we will look at the company's market performance and business performance post-IPO. Our analysis of the IPO Sansera Engineering is involved in the business of manufacturing complex and critical precision engineering components. These components are used in both automotive and non-automotive industries. For the automotive segment, the company manufactures connecting rod, which generates 39.6 per cent of revenue, rocker arm, which generates 19.5 per cent of revenue, the gear shifter, which generates 6.6 per cent of revenue, and stem comp and aluminium forged parts which generate 3.8 per cent of revenue. In the non-automotive segment, they manufacture precision components for aerospace, off-road, agriculture, etc. As of FY21, the automotive segment contributes 88 per cent of revenue (83 per cent from Auto-ICE and 5 per cent from auto-tech agnostic & EV), and the non-automotive segment contributes 12 per cent of revenue. Based on Sansera Engineering's long-standing relationship with customers, leadership in manufacturing connecting rods and integrated operations, we gave it a rating of 17 out of 27. Some of our major concerns regarding the issue were its customer and product concentration. It derives 45 per cent of reve