amit@unlistedkraft.in
+91-9599071664
+91-9599071664
Studds Unlisted Shares
DRHP Status : Not Filed
660
About Company
Studds Accessories Ltd is a leading two-wheeler helmet and motorcycle-accessories manufacturer based in Faridabad, Haryana. It was founded in 1983, the company has grown to be one of the world’s largest helmet manufacturers, with a strong presence in both domestic and international markets. The following are the important points about Studds:
- Its product portfolio includes helmets (full-face, open-face, flip-up, off-road, etc.) under two main brands: Studds (mass and mid-market) and SMK (premium).
- Beyond helmets, Studds also makes motorcycle accessories such as luggage, gloves, helmet locks, rain suits, riding jackets, and eyewear.
- The company has four highly integrated manufacturing facilities in Faridabad, supporting in-house molding, visor coating, liner stitching, painting, and testing.
- Studds exports to more than 70 countries, and also manufactures helmets for global brands under OEM / private-label arrangements (e.g., Daytona in the US, O’Neal in Europe / Australia).
Challenges in Studds’s Business
- Raw Material Risk: The cost of key raw materials (e.g., polycarbonate, ABS) can be volatile, affecting manufacturing margins.
- Highly Competitive Market: The helmet industry is fragmented, and competition comes from both organised and unorganised players, as well as global brands.
- Regulatory / Safety Compliance: Helmets must meet stringent safety standards (BIS, ECE, etc.), and maintaining these certifications across many SKUs is costly and complex.
- Distribution Costs & Reach: Managing a wide network (363+ distributors) and serving both domestic and export markets poses logistical challenges.
- Dependence on Two-Wheeler Market: Demand for helmets is closely tied to two-wheeler sales and regulatory mandates (helmet laws), making the business somewhat cyclical.
Strategic Strengths/Advantages
- Strong Brand Equity: With legacy brands “Studds” and “SMK,” the company enjoys high trust and recognition among riders.
- Scale & Capacity: Four backward-integrated plants in Faridabad with capacity to produce millions of helmets annually.
- Global Reach: Exports to over 70 countries offer geographic diversification.
- OEM Partnerships: Supplies to major two-wheeler OEMs (Hero, Honda, Suzuki, Royal Enfield, Yamaha) and global brands under private label.
- Integrated Manufacturing: Strong in-house R&D and manufacturing (moulding, painting, helmet testing lab) helps maintain quality and control costs.
Quick Summary
Studds Accessories Ltd is a market leader in the two-wheeler helmet industry, with deep manufacturing capabilities, a trusted dual-brand strategy (Studds + SMK), and strong global distribution. It’s well-positioned to benefit from rising safety awareness, stricter helmet regulations, and global export demand. However, raw material volatility, regulatory compliance costs, and reliance on two-wheeler market dynamics remain key risks.
Fundamentals About Studds
Key Financials of Studds
| P&L Statement | 2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Revenue | 480 | 463 | 499 | 529 |
| Cost of Material Consumed | 226 | 260 | 259 | 243 |
| Gross Margins | 52.92 | 43.84 | 48.1 | 54.06 |
| Change in Inventory | -5 | -9 | 3 | -4 |
| Employee Benefit Expenses | 56 | 58 | 65 | 71 |
| Other Expenses | 90 | 99 | 112 | 129 |
| EBITDA | 113 | 55 | 60 | 90 |
| OPM | 23.54 | 11.88 | 12.02 | 17.01 |
| Other Income | 4.5 | 5.5 | 7 | 7 |
| Finance Cost | 3 | 3 | 3 | 1.6 |
| D&A | 13 | 17 | 18 | 19 |
| EBIT | 100 | 38 | 42 | 71 |
| EBIT Margins | 20.83 | 8.21 | 8.42 | 13.42 |
| PBT | 98 | 40 | 46 | 76 |
| PBT Margins | 20.42 | 8.64 | 9.22 | 14.37 |
| Tax | 24 | 11 | 13 | 19 |
| PAT | 74 | 29 | 33 | 57 |
| NPM | 15.42 | 6.26 | 6.61 | 10.78 |
| EPS | 37.76 | 14.8 | 16.84 | 29.08 |
Financial Ratios |
2021 | 2022 | 2023 | 2024 |
|---|---|---|---|---|
| Operating Profit Margin | 23.54 | 11.88 | 12.02 | 17.01 |
| Net Profit Margin | 15.42 | 6.26 | 6.61 | 10.78 |
| Earning Per Share (Diluted) | 37.76 | 14.8 | 16.84 | 29.08 |
<table class="table rounded-10 yearly">
<thead>
<tr>
<th scope="col" class="w-40">
<h6 class="fw-extrabold p-2">Financial Ratios</h6>
</th>
<th scope="col" class="text-end w-15">2021</th>
<th scope="col" class="text-end w-15">2022</th>
<th scope="col" class="text-end w-15">2023</th>
<th scope="col" class="text-end w-15">2024</th>
</tr>
</thead>
<tbody>
<tr>
<td class="ps-3 w-40">Operating Profit Margin</td>
<td class="text-end w-15">23.54</td>
<td class="text-end w-15">11.88</td>
<td class="text-end w-15">12.02</td>
<td class="text-end w-15">17.01</td>
</tr>
<tr>
<td class="ps-3">Net Profit Margin</td>
<td class="text-end">15.42</td>
<td class="text-end">6.26</td>
<td class="text-end">6.61</td>
<td class="text-end">10.78</td>
</tr>
<tr>
<td class="ps-3">Earning Per Share (Diluted)</td>
<td class="text-end">37.76</td>
<td class="text-end">14.8</td>
<td class="text-end">16.84</td>
<td class="text-end">29.08</td>
</tr>
</tbody>
</table>
<table class="table rounded-10 yearly">
<thead>
<tr>
<th scope="col" class="w-40">Liabilities</th>
<th scope="col" class="text-end w-15">2021</th>
<th scope="col" class="text-end w-15">2022</th>
<th scope="col" class="text-end w-15">2023</th>
<th scope="col" class="text-end w-15">2024</th>
</tr>
</thead>
<tbody>
<tr>
<td class="ps-3 w-40">Share Capital</td>
<td class="text-end w-15">9.8</td>
<td class="text-end w-15">9.8</td>
<td class="text-end w-15">9.8</td>
<td class="text-end w-15">9.8</td>
</tr>
<tr>
<td class="ps-3">FV</td>
<td class="text-end">5</td>
<td class="text-end">5</td>
<td class="text-end">5</td>
<td class="text-end">5</td>
</tr>
<tr>
<td class="ps-3">Reserves</td>
<td class="text-end">280</td>
<td class="text-end">301</td>
<td class="text-end">328</td>
<td class="text-end">377</td>
</tr>
<tr>
<td class="ps-3">Borrowings</td>
<td class="text-end">28</td>
<td class="text-end">44</td>
<td class="text-end">31</td>
<td class="text-end">0.6</td>
</tr>
<tr>
<td class="ps-3">Trade Payables</td>
<td class="text-end">63</td>
<td class="text-end">50</td>
<td class="text-end">35</td>
<td class="text-end">31</td>
</tr>
<tr>
<td class="ps-3">Other Liabilities</td>
<td class="text-end">54</td>
<td class="text-end">51</td>
<td class="text-end">57.2</td>
<td class="text-end">66.6</td>
</tr>
<tr>
<th class="ps-3">Total Liabilities</th>
<td class="text-end">434.8</td>
<td class="text-end">455.8</td>
<td class="text-end">461</td>
<td class="text-end">485</td>
</tr>
</tbody>
</table>
Shareholding Pattern of Studds
| Name | Holding |
|---|---|
| Madhu Bhushan Khurana | 53.23% |
| Sidhartha Bhushan Khurana | 14,46% |
| Chand Khurana | 8.35% |
| Others | 21.96% |
Promoters of Studds
- Madhu Bhushan Khurana — Chairman & Managing Director.
- Sidhartha Bhushan Khurana — Managing Director.
Click here to visit the official website of Studds.
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+91-9599071664
amit@unlistedkraft.in