Sham Foam IPO

Sham Foam makes polyurethane foam and foam-based home comfort goods at a single plant at Village Rajpura, Ambala City, Haryana, covering 2,04,460 sq ft. Its output is mattresses, pillows and furniture cushions sold to households under the Featherfresh and Restivia brands, plus PU foam cores and industrial-grade foam sold on to other manufacturers. Mattresses range from plain foam to hybrid builds combining springs and rebonded foam, made to a buyer's specification. The company does not sell direct to consumers: retail dealers resell at their own stores, and that network reached more than 1,300 dealers across 13 states by the time of the issue. Installed foam capacity is 15,000 tonnes a year. Incorporated in June 2020, it converted to a public limited company in September 2024.

Revenue is product sales through dealers, so earnings track foam volume and spread rather than contract value. Raw material — diisocyanates, polyols and additives — dominates cost: materials consumed, including inventory change and purchases, were Rs 3,008.96 lakh in the six months to 30 September 2025, or 79.46% of revenue from operations. Buying is concentrated where selling is not: the top ten suppliers were 88.34% of purchases that half, while the top ten customers were only 25.51% of revenue. The constraint is plant, not demand — against 15,000 TPA installed, available capacity was 6,000 TPA and FY25 production 4,779 TPA, an 80% use of what was available. Proceeds fund up to Rs 1,371.65 lakh of civil construction and machinery and Rs 1,425.00 lakh of working capital.