Yatayat Corporation India Limited IPO

01At a glance

What the company does: road transport and logistics as an Indian Banks' Association-approved goods transport agency, with 34 branches and one warehouse across 12 states, operating for 14 years, alongside a wholly owned subsidiary for allied services (DRHP p.31).

Who pays it: industrial shippers: agriculture and agri-inputs were 26.99% of revenue in the three months to June 2025, energy and power 19.38% and building materials 14.82% (DRHP p.42). The top ten customers were 58.87% (DRHP p.42).

Why it is raising money: ₹670.27 million for working capital, and the rest for general purposes (DRHP p.32). Converted from ₹ lakh.

How fast it has grown: revenue from ₹2,691 million in FY23 to ₹3,483 million in FY24 and ₹4,481 million in FY25, and ₹1,197 million in the three months to June 2025 (DRHP p.43).

The one thing to understand: profits have grown faster than cash. Profit rose almost fivefold from FY23 to FY25, while operating cash flow over FY23 to June 2025 totalled negative ₹31.17 million against ₹591.91 million of profit (DRHP p.33, DRHP p.335, our arithmetic).

02The business, in plain words

A goods transport agency takes a shipper's cargo under its own consignment note, arranges a truck, mostly from independent fleet owners, to carry it, and bills the shipper, earning the difference between the freight it charges and the hire it pays.

A fertiliser maker needs 500 tonnes moved to depots in three states → Yatayat books the loads and hires trucks from fleet owners → the trucks deliver under Yatayat's consignment notes → Yatayat bills the fertiliser maker on credit and pays the truck owners.

The document describes an asset-light model dependent on third-party fleet owners, drivers and cargo handlers (DRHP p.45).

Earnings equation: Profit ≈ freight billed − truck hire and handling cost − overheads − interest on working capital. EBITDA margin was 9.76% in the three months (DRHP p.113).

03Where the money comes from

Source: DRHP p.42, DRHP p.43. Q1 FY26 is three months.

04The growth record

Source: DRHP p.33, DRHP p.43, DRHP p.113, DRHP p.335. Converted from ₹ lakh. Q1 FY26 is three months.

05What the growth is made of

Margin and the energy sector. Revenue rose 67% from FY23 to FY25 while EBITDA grew 4.5 times, as margin rose from 3.44% to 9.23% (our arithmetic, DRHP p.113). Revenue from energy and power customers rose from ₹184 million in FY23 to ₹1,132 million in FY25 (DRHP p.42). The pages read do not explain the margin gain.

06Earnings quality

Working capital has absorbed the profits: operating cash flow was negative in FY24 and FY25 although profit doubled each year (DRHP p.33, DRHP p.335). Cash and cash equivalents were ₹4.09 million at June 2025 (DRHP p.335). Return on equity of 190.16% in FY23 and 133.12% in FY24 reflects a very small equity base, net worth of ₹37.92 million in March 2023 (DRHP p.33, DRHP p.113). There are no auditor reservations, qualifications or adverse remarks not given effect in the restated accounts (DRHP p.34).

07The balance sheet

Source: DRHP p.33, DRHP p.113. Converted from ₹ lakh.

Net worth grew by roughly the profit each year; share capital rose from ₹2 million to ₹200 million in FY25 and to ₹450 million after a bonus issue in December 2025 (DRHP p.33, our arithmetic).

08What the money is for

Source: DRHP p.32. Converted from ₹ lakh.

09Who is selling

Source: DRHP p.31, DRHP p.32. Meena Praveen Aggarwal holds 29,420,325 shares; the last column is our arithmetic.

10Promoters

The promoters are Shreyan Aggarwal, Meena Praveen Aggarwal and Sonakshi Aggarwal (DRHP p.31). No proceedings are listed against the promoters or directors (DRHP p.34).

11Who already owns it

Source: DRHP p.32, DRHP p.33. The last row is our arithmetic.

12What changed just before the IPO

• Bonus issue: five bonus shares for every four held, on 1 December 2025 (DRHP p.33).
• Margins: EBITDA margin up from 3.44% in FY23 to 9.76% (DRHP p.113).
• Customer mix: energy and power rose to a quarter of FY25 revenue (DRHP p.42).

13Capacity and expansion

Capacity is branches, hired trucks and working capital. The proceeds fund working capital (DRHP p.32).

14Market size and industry structure

The CareEdge report cited in the offer document puts India's logistics market at USD 347.5 billion in 2024 and projects USD 637.14 billion by 2030 (DRHP p.31). Those projections are CareEdge's, and newboard has not tested them.

15Competitive position

What the document claims, and what it rests on:

• A national branch network: 34 branches in 12 states (DRHP p.31).
• IBA approval as a goods transport agency (DRHP p.31).

Against that: an asset-light model that depends on third-party truckers, customer and sector concentration, contracts terminable at short notice, and working-capital needs (DRHP p.42, DRHP p.45).

16Peers the company named

The document gives the listed peers' P/E range as 17.88 to 25.87, average 21.93, using prices on 19 December 2025 (DRHP p.110). The peer names were not read for this study.

No P/E is possible for the company until a price band is set.

17Risks, in plain words

• Customers. Ten customers were 59% of recent revenue, on non-exclusive contracts (DRHP p.42).
• Sectors. Agriculture and energy customers were nearly half of revenue (DRHP p.42).
• Third-party truckers. Theft, delay or mishandling by others (DRHP p.45).
• Working capital. Cash flow has lagged profit (DRHP p.335).

18Litigation and regulatory matters

Source: DRHP p.34. Converted from ₹ lakh.

19Related-party transactions

Not read in detail for this study.

20What the offer document does not say

In the sections read for this study, the document does not give:

• Who the largest customers are, which the document withholds for confidentiality (DRHP p.42).
• Why EBITDA margin nearly tripled between FY23 and FY25, in the pages read.
• How long customers take to pay, in the pages read.
• What the subsidiary does and how much revenue it contributes, in the pages read.
• The price band, lot size or issue dates, which is normal at DRHP stage.

21Five questions for management

1. What raised EBITDA margin from 3% to 9%, and is that level sustainable in trucking?
2. Who are the energy and power customers that grew to a quarter of revenue?
3. How many days do customers take to pay, and how quickly are truck owners paid?
4. How much of the fleet is owned rather than hired?
5. Why is Meena Praveen Aggarwal offering shares now?

1Sources and cited facts

This study was read from 1 document the company filed. The 35 figures it cites are listed under the document each came from, with the page and the sentence as printed.