Xtranet Technologiesis an IT solutions provider offering end-to-end services such as enterprise applications, digital transformation, managed services, proprietary platforms, and strategic technology partnerships. The company serves customers across industries.

Xtranet services offerings are enterprise applications, managed services, digital services and proprietary platforms & products. The company provides end-to-end enterprise resource planning (ERP) services across global platforms as well as its proprietary X-ERP system. It also provides IT system integration services that combine hardware, software, and networking components into complete solutions for enterprises and government organizations.

Xtranetbuilds and manages data centres and command centers for clients. Data centre services include site assessment and preparation for data center, server virtualization and cloud computing setup, 24x7 monitoring and support of IT infrastructure, backup and disaster recovery solutions, and network operations center and security operations center establishment.

The company also provide application development and maintenance services that focus on designing, deploying, and supporting custom-built enterprise applications for industry-specific requirements. Within this integrated structure, the synergy low-code digital transformation (Synergy) platform enables process automation and enterprise-scale digital solutions, while XtraTrust a licensed certifying authority (CA) and eSign service provider (ESP), authorized to issue and manage digital signature certificates, and to provide public key infrastructure (PKI) based solutions including e-sign, time stamping and authentication services.

It derives revenue from fixed-price projects, time-and-materials contracts, and recurring service agreements, with a significant share from government and public sector undertakings (PSU) clients.

The company earned majority of its revenues from domestic markets. In FY2026, the company earned around 50.9% of its revenues from the state of Maharashtra, 28.1% from Madhya Pradesh, 6.7% from Delhi, and the balance from other states including the state of Karnataka, Uttar Pradesh, Haryana and others.

The company has offices in New Delhi, Mumbai, Ahmedabad, Jaipur, and Bangalore, with its corporate headquarters located in Bhopal, Madhya Pradesh. As on June 30, 2026, the company employed 504 permanent employees and in addition had 370 contractual workers.

Object of the offer

The IPO is entirely a fresh issue of shares worth Rs 170 crore at upper price band of Rs 127. The fresh issuance is of 1,33,85,827 shares. There is no offer for sale (OFS) component. At the upper end of the price band, the company is expected to be valued at Rs 667 crore post listing.

The funds raised to the tune of Rs 102.0 crore will be used towards funding working capital requirements, Rs 20.20 crore will be utilised towards repayment of part of the borrowings.Rs 8.50 crore will be utilised towards funding capital expenditure and the balance to be used for general corporate purposes.

Strengths

Deep domain expertise delivered through comprehensive solutions across industries. Xtranet provides comprehensive services and solutions to customers across industries across government, public sectorundertakings, and private enterprises in industries such as law enforcement, defense, railways, transportation, food & beverages, engineering, financial services and insurance, telecom and utilities, healthcare and agriculture, automotive, wholesale and retail and education.

The company has a proven track record in executing projects for government and PSU clients. During FY 2026, FY 2025 and FY 2024, it has serviced and completed an aggregate of 143 projects under the direct category and 32 projects under the indirect category, respectively, for government and PSU clients.Further, the company had an order book of Rs 356.95 crore as on April 30,2026.

Has long-term relationship with clients.

Incorporated in 2002 by Sukhbir Singh Kukreja and Jogendrapal Singh Alagh, who have experience of more than two decades in the IT sector. The promoters are supported by qualified and experienced functional teams, which aids in smooth day-to-day operations

Weaknesses

The company derived around 47% of its revenues from government/public sector enterprises in FY2026. The loss of or inability to qualify for such orders may adversely affect the company’s business. Further, these are tender-based nature of contracts and are highly price competitive which may constrain profitability of the company.

The company depends on suppliers for hardware and software products, and supplier concentration could disrupt its ability to deliver client projects.

The company faces customer concentration risk as the company derived more than 80% of its revenues from its top 10 customers in FY2026. Also, the company faces geographical concentration risk as it derives more than 50% of its revenues from the state of Maharashtra.

The company faces stiff competition from several small and mid-sized players in the highly competitive IT services industry.

The business is subject to evolving laws regarding privacy, data protection, cyber security and other related matters. Many of these laws are subject to change and could result in claims, changes in business practices, monetary penalties, increased cost of operations, or declines in customer growth or engagement.

The business is working-capital intensive, and any failure to arrange adequate working capital could constrain operations and growth.

The loss of, or the inability to hire, retain, train, and motivate qualified personnel could affect operations.

Contingent liabilities and commitments as on March 31,2026,stood at Rs 47.5 crore.

Valuation

Consolidated sales were up by 32.3% to Rs 365.29 crore in FY2026. Operating profit margin (OPM) expanded from 16.63% to 17.26%, leading to a 37.4% increase in operating profit to Rs 63.05 crore. Other income inclined 61.5% to Rs 0.72 crore. Interest cost inclined 12.0% to Rs 5.89 crore and depreciationcost inclined by154.2% to Rs 5.89crore. PBT stood at Rs 52.13crore up 30.1%.PAT stood at Rs 40.73 crore as against Rs 30.03 crore in FY2025.

At the higher price band of Rs 127, the offer is made at a P/E of 16 times FY2026EPS (of Rs 7.8).

Listed near comparable peers are Trigyn Technologies, Allied Digital Services, Silver Touch Technologies, CSM Technologiesand Dev Information Technology. Trigyn Technologies trades at 81.0 times its P/ FY2026 EPS, Allied Digital Services trades at 18.8 times its P/FY2026EPS, Silver Touch Technologies trades at 70.2 times P/FY2026 EPS, CSM Technologies trades at 33.2 times P/FY2026 EPSand Dev Information Technology 135 times its P/FY2026 EPS.