IPO Analysis of Entero Healthcare Solutions

What Entero Healthcare Do?

In India, Entero Healthcare Solutions Limited is distributor of medical supplies. Pharmacies, hospitals, & clinics all throughout Indi may get healthcare products through company's technology-driven platform.

What are Company’s Client Base?

Firm serviced over 39,500, 64,200, & 81,400 retail customers in fiscal years 2021, 2022, & 2023, respectively. In addition, over same time period, they provided services to over 1,600, 2,500, & 3,400 hospital customers.
As of March 31, 2023, Entero Healthcare Solutions has over 64,500 product stock-keeping units available to them thanks to its agreements with over 1,900 healthcare product manufacturers.

Entero Healthcare Solutions Limited Financial Analysis

Analysis

Assets   

1.  company's assets have shown consistent growth over past few periods, increasing from 834 crores as of March 31, 2021, to 1506 crores as of September 30, 2023.
2. This steady growth indicates company's expansion & investment in its operations & infrastructure, which could contribute to future revenue generation.

Revenue

1. Revenue has demonstrated substantial increase over period, rising from 1,783.67 crores as of March 31, 2021, to 3,305.72 crores as of March 31, 2023, before declining slightly to 1,898.98 crores as of September 30, 2023.
2.  significant growth in revenue suggests improved sales performance & market expansion strategies implemented by company.
3.  slight decrease in revenue as of September 30, 2023, could indicate seasonality or short-term market fluctuations.

Profit After Tax (PAT)

1.  company reported negative PAT in first two periods, indicating losses of 15.35 crores & 29.44 crores, respectively, as of March 31, 2021, & March 31, 2022.
2. However, there has been turnaround in profitability, with PAT turning positive at 11.64 crores as of September 30, 2023.
3. This improvement in profitability suggests effective cost management measures or enhanced revenue generation strategies implemented by company.

Net Worth    

1. Net worth of company has shown consistent growth over periods, increasing from 487.06 crores as of March 31, 2021, to 660.54 crores as of September 30, 2023.
2. This indicates an overall strengthening of company's financial position & shareholder equity.

Reserves & Surplus

1. Reserves & surplus have also experienced steady growth, rising from 141.7 crores as of March 31, 2021, to 488.68 crores as of March 31, 2023.
2. This growth in reserves & surplus reflects company's retained earnings & accumulated profits, which can be reinvested for future growth opportunities or used to mitigate financial risks.

Entero Healthcare Solutions IPO Peer Comparison

Financial Analysis & Interpretation

1. Earnings Per Share (EPS)
Entero Healthcare has negative EPS, indicating losses per share, while Medplus Health Services has positive EPS, signifying profitability.

2. Net Asset Value (NAV) per Share
Entero Healthcare has higher NAV per share compared to Medplus Health Services, indicating stronger asset backing per share for Entero.

3. Price/Earnings (P/E) Ratio
Entero Healthcare has negative P/E ratio, which could be due to losses. In contrast, Medplus Health Services has significantly high P/E ratio, reflecting high valuation relative to earnings.

4. Return on Net Worth (RoNW)
RoNW for Entero Healthcare is not provided, while Medplus Health Services has RoNW of 3.36%, indicating return generated on shareholders' equity.

Conclusion

Overall, financial analysis indicates positive trends in revenue growth, profitability, asset expansion, & strengthening of financial position over periods analysed. However, it's essential to monitor company's performance consistently & assess factors influencing its financial health, such as market conditions, competition, & operational efficiency.