HD Fire Protect Limitedbusiness model
Tap any area to jump to its detail.
Is it a good business, and why? We read the Prospectus through the seven domains of John Mullins' framework: the market, the industry, the company's edge and the team behind it. Every rating follows a stated rule, with the evidence shown.
Each domain has its own score; there is no overall score and no buy or sell verdict. Based on the filing dated 16 Oct 2026. This is not investment advice.
Macro-market
Is the overall market big, growing and supported by trends?
Market domain · macro level
The filing states global GDP is projected to grow 3.0% in CY26 and 3.4% in CY27, with India's growth at 6.4% in 2026.
How it was scored: +9: 12 favourable, 1 neutral and 0 unfavourable among 13 statements and outside facts.
Outside facts: 3 facts found about its market and industry that the filing does not give.
Evidence (10 from the filing, 3 independent)
What the company says
- +Global GDP is projected to grow by 3.0% in CY26 and 3.4% in CY27 according to the IMF.p.148p.214
- 0Global headline inflation is forecast to increase from 4.1% in 2025 to 4.7% in 2026, before moderating to 3.9% in 2027.p.148p.214
- +India's growth in 2026 is projected at 6.4%, supported by strong momentum in private consumption and services activity.p.150
- +India’s population is projected to grow at a CAGR of 0.8% between 2025 and 2030.p.153
- +India's urban population is projected to rise from 35.1% of the total population in 2023 to 38.7% by 2035.p.154
- +India's per capita income grew at a CAGR of 6.6% between FY23 and FY26.p.154
- +Manufacturing GVA recorded a CAGR of 10.9% between FY23 and FY26(PE), rising to ~Rs 47.5 trillion.p.155
- +The Residential segment is expected to grow at 6.5-7.5% CAGR to reach $13-18 billion.p.169
- +The Indian fire protection equipment market is projected to clock a CAGR of 10-12% between fiscal years 2026 and 2031.p.170
- +The demand for residential real estate is expected to have grown at a CAGR of ~6-7% over fiscal years 2019-2026.p.173
What credible outside sources say
Found independently, about India
+FDI equity inflows in India's manufacturing sector increased by 69% from Rs. 8,37,191 crore (US$ 97.7 billion) during 2004-14 to Rs. 14,14,742 crore (US$ 165.1 billion) during 2014-24.
“The government reports indicate a 69% increase in FDI equity inflows in the manufacturing sector from Rs. 8,37,191 crore (US$ 97.7 billion) during 2004-14 to Rs. 14,14,742 crore (US$ 165.1 billion) during 2014-24.”
IBEF · Primary source · checked 2026-10-31Found independently, about India
+India has 133 unicorn startups as of October 2026, with eight new entrants in 2026.
“India has 133 unicorn startups as of October 2026, with eight new entrants in 2026, marking a 25% increase over the same period last year.”
IBEF · Primary source · checked 2026-10-31Found independently, about India
+Indian exports are expected to reach US$ 1 trillion by 2030.
“According to Minister of Commerce and Industry, Consumer Affairs, Food and Public Distribution and Textiles Mr. Piyush Goyal, Indian exports are expected to reach US$ 1 trillion by 2030.”
IBEF · Primary source · checked 2026-10-31
Micro-market
Is the target customer segment attractive, and does the product beat the alternatives?
Market domain · micro level
+4: 7 favourable, 1 neutral and 0 unfavourable among 8 statements and outside facts; measured figures count double: 0 healthy, 2 to watch, 0 weak.
How it was scored: +4: 7 favourable, 1 neutral and 0 unfavourable among 8 statements and outside facts; measured figures count double: 0 healthy, 2 to watch, 0 weak.
Outside facts: No facts about its market and industry have been found from outside sources yet.
Worked out from its numbers
- Sales growth
- +13.1%
- Sales CAGR, 2 years
- +14.5%
FY26 on the year before
FY24 to FY26
Evidence (8 from the filing, 0 independent)
What the company says
- +The residential segment is estimated to have a 21% market share as of fiscal 2026, accounting for ₹2,300.00 Crore.p.173
- +HD Fire Protect has export sales in more than 90 countries as of fiscal 2026.p.203
- +The company has export sales in 49 countries as of the three months period ended June 30, 2026.p.215
- +The company has export sales in more than 90 countries as of Fiscal 2026.p.215
- +The company maintains healthy customer concentration levels, with the top 10 customers accounting for 27.57% and 23.69% of revenue from operations in the three months period ended June 30, 2026 and Fiscal 2026.p.221
- +Key export destinations for fire protection products from India include the UAE, Kuwait, Qatar, the Kingdom of Saudi Arabia (KSA), Singapore, Malaysia, and Vietnam.p.174
- 0Key countries from which fire protection equipment is imported into the country include China, the US, Germany, Vietnam, and South Korea.p.174
- +The company uses a targeted and strategic marketing approach to expand its global footprint by building long-term partnerships with distributors and customers in key international markets.p.244
Industry
Is the industry structurally attractive: suppliers, buyers, rivals, new entrants and substitutes?
Industry domain · macro level
The filing states the company faces import concentration risks with 37.11% of raw materials and 45.06% of contract goods sourced from countries including China, Hong Kong, South Korea, Vietnam, and Taiwan.
How it was scored: +2: 5 favourable, 6 neutral and 2 unfavourable among 13 statements and outside facts.
Outside facts: 3 facts found about its market and industry that the filing does not give.
Compared with: HD Fire Protect, Azad Engineering, Ingersoll Rand (India), Kirloskar Pneumatic Company, listed companies the offer document names as its peers. Classified as Industrial Products › Compressors, Pumps & Diesel Engines, 412 listed companies. The model picked Diversified, which is not where those peers sit, so treat the comparison with care.
Worked out from its numbers
- Listed companies in its industry group
- 412
- Operating margin across the industry group
- 9.2% middle
Industrial Products
4.7% to 14.7% for the middle half of 352 companies
What could go wrong
- There is an import concentration of 37.11% and 45.06% with respect to raw materials and contract manufactured goods procured from other countries including China, Hong Kong, South Korea, Vietnam, and
- The company has significant import dependency on China with its imports constituting 24.98%, 30.96%, 29.19%, and 26.30% of total purchases in specified periods.
Evidence (10 from the filing, 3 independent)
What the company says
- +The share of manufacturing GVA in overall industry GVA increased to ~59% from ~56% in FY26(PE).p.155
- 0The Industrial and Infrastructure segment accounted for 39% of the overall fire protection equipment market as of 2025.p.169
- 0The Residential segment accounted for 17% of the overall fire protection equipment market as of 2025.p.169
- −There is an import concentration of 37.11% and 45.06% with respect to raw materials and contract manufactured goods procured from other countries including China, Hong Kong, South Korea, Vietnam, and Taiwan.p.30
- −The company has significant import dependency on China with its imports constituting 24.98%, 30.96%, 29.19%, and 26.30% of total purchases in specified periods.p.30
- 0The Commercial segment accounted for the highest share (44%) in the overall fire protection equipment market as of 2025.p.169
- +The Industrial and Infrastructure sector holds the second-highest share in the fire protection equipment market at 37% and was valued at ₹4,100.00 Crore in fiscal 2026.p.172
- 0Fire suppression products comprised 90% of imports in the last fiscal, valued at ~$188 million.p.174
- +Oil and gas facilities are expected to account for a 50% share of the overall industrial construction sector during FY27 to FY31.p.179
- 0The company has purchased goods from 388 suppliers in Fiscal 2026 and 272 suppliers in the three months period ended June 30, 2026.p.242p.243
What credible outside sources say
Found independently, about Industrial Products
0Apple's India-based vendors exported Rs. 22,094 crore worth of components to China in FY26.
“Apple's India-based vendors exporting Rs. 22,094 crore (US$ 2.50 billion) worth of components to China in FY26, expected to reach Rs. 30,931 crore (US$ 3.50 billion) by the end of the year.”
IBEF · Primary source · checked 2026-10-31Found independently, about Industrial Products
+India's automotive industry is worth more than US$ 222 billion and accounts for 8% of the country's total export.
“India's automotive industry is worth more than US$ 222 billion, contributes 8% of the country's total export”
IBEF · Primary source · checked 2026-10-31Found independently, about Industrial Products
+India's fasteners market size reached Rs. 1,008.00 billion (US$ 11.20 billion) in 2025 and is projected to reach Rs. 1,530.00 billion (US$ 17.00 billion) by 2034.
“India's fasteners market size reached Rs. 1,008.00 billion (US$ 11.20 billion) in 2025 and is projected to reach Rs. 1,530.00 billion (US$ 17.00 billion) by 2034, registering a CAGR of 4.67% during 2026-2034.”
IBEF · Primary source · checked 2026-10-31
Competitive advantage
Can the company keep an edge, and does the business model make economic sense?
Industry domain · micro level
The filing states the company claims highest operating and net profit margins in fiscal 2025 and second-highest operating EBITDA among peers, with computed figures showing top-tier performance relative to named competitors.
How it was scored: +9: 7 favourable, 3 neutral and 0 unfavourable among 10 statements and outside facts; measured figures count double: 5 healthy, 0 to watch, 0 weak.
Compared with: HD Fire Protect, Azad Engineering, Ingersoll Rand (India), Kirloskar Pneumatic Company, listed companies the offer document names as its peers. Classified as Industrial Products › Compressors, Pumps & Diesel Engines, 412 listed companies. The model picked Diversified, which is not where those peers sit, so treat the comparison with care.
Worked out from its numbers
- Operating margin
- 30.8%
- Net profit margin
- 23.9%
- Return on equity
- 31.0%
- Debt to equity
- 0.00x
- Cash conversion
- 79% of profit
- Operating margin against listed peers
- 30.8%
- Net profit margin against listed peers
- 23.9%
- Debt to equity against listed peers
- 0.00x
- Cash conversion against listed peers
- 0.79x
FY26; -1.1 points on the year before
FY26
FY26
FY26
operating cash flow ₹92.5 Cr against net profit ₹117 Cr, FY26
2 of 4 against named peers (HD Fire Protect, Azad Engineering, Ingersoll Rand (India), Kirloskar Pneumatic Company); their middle value is 23.9%
1 of 4 against named peers (HD Fire Protect, Azad Engineering, Ingersoll Rand (India), Kirloskar Pneumatic Company); their middle value is 18.4%
2 of 4 against named peers (HD Fire Protect, Azad Engineering, Ingersoll Rand (India), Kirloskar Pneumatic Company); their middle value is 0.00x
3 of 4 against named peers (HD Fire Protect, Azad Engineering, Ingersoll Rand (India), Kirloskar Pneumatic Company); their middle value is 0.91x
Evidence (10 from the filing, 0 independent)
What the company says
- +HD Fire Protect had the highest PAT of ₹109.20 Crore in fiscal 2025 among fire-protection-equipment-focused peers.p.209
- +HD Fire Protect had the highest operating margin (32.56%) and net profit margin (24.58%) for fiscal 2025.p.209
- +HD Fire Protect had the highest operating margin (28.62%) and net profit margin (20.95%) for fiscal 2023.p.209
- 0Trademark applications for the logo with tagline under class 1, 9, 37 have been made by the company on August 11, 2025.p.248
- +The Commercial segment is estimated to hold the highest share in the fire protection equipment market at 42% and be valued at ₹4,500.00 Crore in fiscal 2026.p.172
- +Construction capex in the industrial segment is estimated to have increased to ₹88,600.00 Crore in fiscal 2026, from around ₹61,700.00 Crore in fiscal 2022, showing a CAGR of 9.5%.p.173
- +HD Fire Protect had the second highest Operating EBITDA of ₹141.02 Crore in fiscal 2025 and the second highest CAGR (FY2023-2025) of 23.26% among fire-protection-equipment-focused peers.p.208
- +Among the fire-protection-equipment-focused peer set, HD Fire Protect had the second highest RoE (29.50%) and RoCE (39.39%) for fiscal 2025.p.209
- 0Trademark applications for the logo without tagline under class 1, 9, 37, 36, and 41 have been filed by the company on June 23, 2026 and July 8, 2026.p.248
- 0Trademark applications for the logo in the Kingdom of Saudi Arabia under class 1 and 9 have been filed on December 21, 2025.p.248
Team: aspirations
What do the promoters want from this IPO: to sell down or to grow the company?
Team domain
-2: 0 favourable, 10 neutral and 0 unfavourable among 10 statements and outside facts; measured figures count double: 0 healthy, 0 to watch, 1 weak (Offer for sale share).
How it was scored: -2: 0 favourable, 10 neutral and 0 unfavourable among 10 statements and outside facts; measured figures count double: 0 healthy, 0 to watch, 1 weak (Offer for sale share).
Worked out from its numbers
- Offer for sale share
- 100% of the issue
- Promoter holding before the IPO
- 100.0%
₹712 Cr goes to selling shareholders; the company receives nothing
Evidence (10 from the filing, 0 independent)
What the company says
- 0The Offer is to carry out the Offer for Sale of 2,62,84,500 Equity Shares of face value of ₹5 each by the Promoter Selling Shareholders aggregating to ₹712.13 Crore.p.123
- 0Equity Shares held by Harish Narshi Dharamshi as of the prospectus date are 9,83,51,000, representing 56.13% of the pre-Offer paid up share capital.p.268
- 0A Resolution of the Board dated June 19, 2025 took on record the participation of Promoter Selling Shareholders in the Offer for Sale.p.447
- 0Harish Narshi Dharamshi holds 56.13% of the pre-Offer issued, subscribed and paid-up Equity Share capital.p.280
- 0Kusum Harish Dharamshi holds 17.83% of the pre-Offer issued, subscribed and paid-up Equity Share capital.p.280
- 0Miheer Sadanand Ghotikar holds 10.49% of the pre-Offer issued, subscribed and paid-up Equity Share capital.p.280
- 0Parika Miheer Ghotikar holds 6.62% of the pre-Offer issued, subscribed and paid-up Equity Share capital.p.280
- 0Anik Narendra Dharamshi holds 4.26% of the pre-Offer issued, subscribed and paid-up Equity Share capital.p.280
- 0Consent letters were obtained from Promoter Selling Shareholders for participation in the Offer for Sale.p.447
- 0The Offer Proceeds will be received by the Promoter Selling Shareholders after deduction of Offer related expenses and relevant taxes thereon, to be borne by the Promoter Selling Shareholders.p.123
Team: execution
Can the team deliver what the industry demands?
Team domain
The filing states that key leaders like Jitendra Appasaheb Khanvilkar (34 years) and Sudhir Ekanathrao Patil (29 years) have extensive experience, while others like Hitesh Dedhia (22 years) have significant tenure.
How it was scored: +2: 2 favourable, 8 neutral and 0 unfavourable among 10 statements and outside facts.
Evidence (10 from the filing, 0 independent)
What the company says
- +The variable pay for Whole-Time Directors is up to 40% of the yearly fixed remuneration for Fiscal 2027 onwards.p.265p.266p.267
- +As of June 30, 2026, sales and marketing functions are managed entirely in-house by a dedicated team of 46 employees operating across India and major international markets.p.244
- 0The Board approved the appointment of Miheer Sadanand Ghotikar as the Whole-Time Director with effect from June 19, 2025.p.265p.266
- 0Hitesh Dedhia is the Chief Financial Officer of the Company and has been associated with the Company since May 2, 2025.p.277
- 0Hitesh Dedhia has 22 years of experience in accounting, statutory audit, and reporting and received a remuneration of ₹81.80 Lakh in Fiscal 2026.p.277
- 0Sundaram Balasubramanian Iyer has 5 years of experience in secretarial and legal functions and received a remuneration of ₹9.40 Lakh in Fiscal 2026.p.277
- 0Cresenciano Angelito Nguyen Nosa is the International Sales Director – Asia of the Company and has received a remuneration of ₹97.00 Lakh in Fiscal 2026.p.277
- 0Jose Marcos Codesal Garcia is the International Sales Director-EMEA & LATAM of the Company and received a remuneration of ₹1.30 Crore in Fiscal 2026.p.277
- 0Sudhir Ekanathrao Patil is the General Manager – plant operations of the Company and has 29 years of experience in operations and management functions, receiving a remuneration of ₹37.10 Lakh in Fiscal 2026.p.277
- 0Jitendra Appasaheb Khanvilkar is the General Manager – Sales of the Company and has 34 years of experience in sales management, receiving a remuneration of ₹39.90 Lakh in Fiscal 2026.p.277
Team: connections
Does the team have the ties across the value chain: customers, suppliers, partners?
Team domain
The filing states the company supplies fire protection equipment to major clients like India's largest refinery, Saudi Aramco, and Oman's Integrated Power & Water Plant.
How it was scored: +8: 6 favourable, 2 neutral and 0 unfavourable among 8 statements and outside facts.
What could go wrong
- The Company enters into various transactions with related parties.
Evidence (8 from the filing, 0 independent)
What the company says
- +The company has supplied fire protection equipment to India's largest refinery at Jamnagar.p.219
- 0Sourcing and procurement discussions in B2B segments are often influenced by long-standing vendor relationships and vendor empanelment lists.p.199
- +HD Fire Protect's Jalgaon facility holds a 9COM number for valves and sprinkler fire protection systems, enabling RFQ's for Saudi Aramco projects.p.201
- +Fire protection systems have been supplied at key sites including Saudi Aramco’s Ras Tanura Sea Island project.p.219
- +The company has supplied fire protection equipment for the new Indian parliament building.p.219
- +The company has supplied deluge valves to Saudi Aramco's Ras Tanura Sea Island site.p.219
- +The company has supplied fire protection equipment for Oman's Integrated Power & Water Plant Project.p.219
- 0The Company enters into various transactions with related parties.p.356
How to read this
What the ratings mean, where the evidence comes from, and what this page is not.
Three kinds of evidence, always labelled
What the company says comes from its own offer document, with the page it came from. It is a claim, not a finding. Worked out from its numbers is arithmetic on the filing's own financial statements and issue terms. Independent sources are outside publications we trust, with the name, tier and date.
How a rating is set
- Every piece of evidence points one way: favourable (+1), neutral (0) or unfavourable (-1). The score is the average of those, times ten, so it runs from -10 to +10.
- It is an average, not a total: twelve favourable facts score the same as four. Only their balance counts.
- Figures worked out from the filing's numbers count double: healthy is +1, to watch is -0.5, weak is -1. A figure and its peer comparison count once.
- The company's own statements and the outside facts about its market and industry are each read by the model, which only says which way a sentence points; every sentence stays visible.
- “Not enough evidence” appears only when nothing at all was found for the domain.
Which outside sources count
Facts about a company's market and industry come from a fixed list: regulators and exchanges (SEBI, NSE, BSE, MCA, RBI), government and industry bodies, credit-rating agencies, and established business press. Blogs, forums, social media and Wikipedia are excluded. Each is kept with the exact sentence it rests on. We do not check what the offer document itself says against the web: that is SEBI's job.
About the framework
The seven domains come from John Mullins' The New Business Road Test, written for new ventures. We adapt each domain to what an IPO document can show. The author has not reviewed or endorsed this analysis. Read it with the filing, not instead of it.