Yaap Digital Ltd IPO Review | APPLY or AVOID?
Yaap Digital Ltd. started in 2016. It operates in the digital marketing industry. It provides creative content and technology services to its customers across India, the UAE, and Singapore. This business is based in Mumbai. This IPO review covers the main facts of the offer. It helps you decide if the issue fits your portfolio.
Yaap Digital Ltd. shows steady revenue growth, but the sudden jump in profits remains a key concern for investors. This company operates in a very fast-growing digital market, but competition is high.
IPO Details | |
|---|---|
| Issue Type | Book Building |
| IPO Category | SME |
| Face Value | ₹10 Per Share |
| Fresh Issue | ₹80.11 Cr. |
| Offer for Sale | – |
| Listing At | SME |
Reservation & Lot Size | |
|---|---|
| Retail (Min) | 2 Lot | 2,000 Shares | ₹2,90,000 |
| Retail (Max) | 2 Lot | 2,000 Shares | ₹2,90,000 |
| S-HNI (Min) | 3 Lot | 1190 Shares | ₹2,08,250 |
| S-HNI (Max)| 67 Lot | 5695 Shares | ₹9,96,625 |
| B-HNI (Min) | 68 Lot | 5780 Shares | ₹10,11,500 |
| Market Maker | 14.25% |
✅ Strengths
⚠️ Challenges
Financial Update
The company released its restated financial statements for the year ending March 31, 2025. Total revenue was ₹152.54 crore. The net profit for the same period was ₹11.93 crore. Assets increased by 26.78% compared to the previous year. The business turned profitable recently after years of losses. This trend should be carefully studied prior to any investment.
IPO Valuation
The upper price band is ₹145. This price leads to a Price-to-Earnings (P/E) ratio of 24.73. The industry’s average P/E is -. The valuation seems a bit high based on previous earnings.
IPO Objective
The company will use the proceeds of the offer to meet stated objectives:
Promoters & Lead Manager
Peer Comparison
Below is a comparison of the company with its listed peers, based on data from March 2025. Most peers have different service models but operate in the same digital space.
| Company | EPS (Basic) | NAV (₹ per share) | RoNW (%) | P/BV Ratio | Financial Statements |
|---|---|---|---|---|---|
| Yaap Digital Ltd. | 7.95 | 14.83 | 53.63 | - | - |
| Vertoz Limited | 3.01 | 22.34 | 13.48 | 2.32 | Consolidated |
| Digicontent Limited | 4.18 | 4.7 | 88.95 | 7 | Consolidated |
Note: Financial data sourced from annual reports and stock exchange data. We use restated financial statements for 2024-25.
IPO Review & Analyst Rating
Yaap Digital Ltd. provides digital marketing and content services. It operates in India and abroad. The company shows revenue growth. The big jump in profit in FY25 might need further review. The issue price is on the higher side. Risk seekers can think about investing for the medium term.
| Analyst Name | Recommendation |
|---|---|
| Axis Capital Ltd | Not Rated |
| Brokerage Firms | Not Rated |
Disclaimer: The information on the site is informational only. The contents of this blog are not financial advice. You should not invest in any stock market instrument without consulting your Financial advisor.
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