Courtesy: https://www.chittorgarh.com/
Review By Dilip Davda on September 25, 2025
- The company is engaged in the manufacturing of electric vehicles and spare parts as well as other related services.
• It posted inconsistency in its financial performance for the reported periods.
• The company is operating in a highly competitive and fragmented segment.
• Based on its recent financial data, the RI appears aggressively priced.
• Declining promoter’s holding raises alarm.
• Only well-informed/cash surplus/risk seekers may park funds for medium term.
ABOUT COMPANY:
Wardwizard Innovations & Mobility Ltd. (WIML) is engaged in the manufacturing of electric vehicles, trading of spare parts and other related services. It is a pioneer in the Indian EV market, having Electric Vehicles under its flagship brand Joy E bikes and Joy e-Rik. In the year 2016, it has introduced first e-bike under bicycle in the Joy E bikes brand. Since then, it has expanded product range to over 10+ models under the Joy e-bike & Joy-E-Rik brand in two-wheeler and three-wheeler segment with a network of 750 dealers across 400+ cities.
The automotive manufacturing industry comprises the production of commercial vehicles, passenger vehicles, three-wheelers, and two-wheelers. In April-June FY25, the total production of passenger vehicles, commercial vehicles, three-wheelers, two-wheelers, and quadricycles was 75,48,668 units. India accomplished a significant milestone, with the sale 16,77,491 EVs in FY24. A report by India Energy Storage Alliance estimated that the EV market in India is likely to increase at a CAGR of 36% until 2026. In addition, a projection for the EV battery market is forecast to expand at a CAGR of 30% during the same period. Two-wheelers and passenger vehicles dominate the domestic Indian auto market. Passenger car sales are dominated by small and midsized cars. Two-wheelers and passenger cars accounted for 77.89% and 16.03% of market shares, respectively, in FY25. As of August 31, 2025, it had 143 employees on its payroll.
ISSUE DETAILS:
The company is coming out with its Rights Issue (RI) of 44317963 equity shares of Re. 1 each at a fixed price of Rs. 11 per share to mobilize Rs. 48.75 cr. The RI opens for subscription on September 26, 2025, and will close on October 07, 2025. The company is offering RI in the ratio of 17 for 100 to its eligible stakeholders as of the record date of September 19, 2025. The company is asking for full money on application for the number of shares applied. Post allotment, RI shares will be listed on BSE. The company is spending Rs. 0.50 cr. for this RI process, and from the net proceeds, it will utilize Rs. 42.00 cr. for working capital, and Rs. 6.25 cr. for general corporate purposes.
The RI is self-managed by the company itself, and Purva Sharegistry (India) Pvt. Ltd. is the registrar to the issue.
Post-RI, company’s current paid-up equity capital of Rs. 26.07 cr. will stand enhanced to Rs. 30.50 cr. Based on the RI pricing, the company is looking for a market cap of Rs. 335.51 cr.
FINANCIAL PERFORMANCE:
On the financial performance front, for the last two fiscals, the company has posted total income / net profit, of Rs. 321.42 cr. / Rs. 13.44 cr. (FY24), and Rs. 302.41 cr. / Rs. 6.79 cr. (FY25). For Q1 of FY26 ended on June 30, 2025, it marked net profit of Rs. 1.12 cr. on a total income of 32.27 cr. Thus, it posted inconsistency in top and bottom lines for the reported periods.
DIVIDEND POLICY:
The company has paid a dividend of 15% for FY24 and 10% for FY25. It will adopt a prudent dividend policy, based on its financial performance and future prospects.
SCRIP PERFORMANCE: BASED ON BSE WEBSITE DATA: SCRIP CODE: 538970 (FV Re. 1).
The scrip last closed on cum-right basis at Rs. 13.37 on September 18, 2025, and opened on an ex-right basis at Rs. 13.30 on September 19, 2025. Since then, it has marked a high/low of Rs. 14.57 / Rs. 12.11. The scrip last closed at Rs. 12.88 as of September 25, 2025. For the last 52 weeks’ it has posted a high/low of Rs. 49.19 / Rs. 9.76. The counter is currently under ASM LT: Stage1.
The promoters’ holding has declined to 40.02% for the quarter ended with June 30, 2025, against 47.14% for the quarter ended March 31, 2025, and 51.49% for the quarter ended December 31, 2024.Sliding promoter’s holding raises a major concern. The counter is well managed above the RI price to tempt investors.
Conclusion / Investment Strategy
WIML is engaged in the manufacturing of electric vehicles and spare parts as well as other related services. It posted inconsistency in its financial performance for the reported periods. The company is operating in a highly competitive and fragmented segment. Based on its recent financial data, the RI appears aggressively priced. Declining promoter’s holding raises alarm. Only well-informed/cash surplus/risk seekers may park funds for medium term.
Review By Dilip Davda on September 25, 2025
Review Author
DISCLAIMER: No financial information whatsoever published anywhere here should be construed as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matter published here is purely for educational and information purposes only and under no circumstances should be used for making investment decisions. My reviews do not cover GMP market and operators game plans. Readers must consult a qualified financial advisor before making any actual investment decisions, based the on information published here. With entry barriers, SEBI wants only well-informed investors to participate in such offers. With crazy listings in the recent past, SME IPOs drew the attention of investors across the board and lead to seer madness. However, as SME issues have entry barriers and continued low preference from the broking community, any reader taking decisions based on any information published here does so entirely at their own risk. The above information is based on information available as of date coupled with market perceptions. The Author has no plans to invest in this offer.
About Dilip Davda
Dilip Davda is veteran journalist associated with stock market since 1978. He is contributing to print and electronic media on stock markets/insurance/finance since 1985.
Dilip Davda is a leading reviewer of public issues and NCDs in the primary stock market in India. The knowledge he gained over 3 decades while working in the stock market and a strong relationship with popular lead managers makes his reviews unique. His detailed fundamental and financial analysis of companies coming up with IPOs helps investors in the primary stock market. Dilip Davda has a special interest in analyzing the SME companies and writing reviews about their public issues. His reviews are regularly published online and in news papers.
(Dilip Davda -SEBI registered Research Analyst-Mumbai,
Registration no. INH000003127 (Perpetual)
Email id: dilip_davda@rediffmail.com ).
Courtesy: https://www.chittorgarh.com/
