WTI Cabs IPO | Wise Travel IPO Review

WTI Cabs IPO | Wise Travel IPO is coming out with an issue of 6441000 equity shares of Rs. 10 each, worth Rs. 94.68 cr.  WTI Cabs | Wise Travel India Limited is a corporate transport service provider and also has convenient airport counters. •   The company operates on a B2B model and gaining more preference.

IPO opensFeb 02, 2024
IPO ClosesFeb 14, 2024
IPO Size (Rs.)₹94.68 Cr
IPO Size (shares)
6,441,000 shares
BreakupFresh issue only
Face Value:₹ 10
IPO Price in Rs :₹140 to ₹147 per share
Minimum Lot1000 Shares
Listing AtNSE SME
QIB ~50 %
NII Quota~15%
Retail Quota~35%
 Lead ManagerShare India Capital Services
RegistrarBeetal Financial
Market makerShare India Capital Services

About WTI Cabs IPO | Wise Travel India:

  • Wise Travel India Limited (“WTI Cabs” or “WTI”) is engaged in the business of providing online car rental and taxi booking services in India.
  • The operations are carried out with a large fleet of on-road and robust technology platforms.
  • The objective behind the venture is to have presence across the value chain through services in the corporate people transportation which includes Car Rental Services, Employee Transportation Services, Car Leasing, Coach Rentals, Technology, and Mobility Solutions.
  • As on October 31, 2023 Company has 784 employees including Directors on payroll

Financials: WTI Cabs IPO | Wise Travel IPO

Particulars/ Rs. LacsSept 30, 2023202320222021
Total Revenue from Operations18988.524959.878862.44226.8
Profit after Tax1132.911029.36377.74172.85
Share Capital1737.08315.83295295
Net Worth5194.364061.452832.12454.36
Earnings Per Share6.525.932.331.07
Net Asset Value29.923.3817.4615.13
Total Borrowings1627.551674.5216.3256.59
Post issue Share Capital2,381   
FV10   
IPO price147   
EPS Fy234.3   
PE Fy2334.0   
EPS Fy24 (annualized)9.5   
PE Fy24  (annualized)15.4   
Market cap in Lacs35,000.7   
Market Cap/sales1.4   

Anchors: WTI Cabs IPO | Wise Travel IPO

Salient Points

  • The Indian car rental industry has rebounded from setbacks caused by the pandemic and is now driving towards innovation, with a projected CAGR of 9.38% and a $2.03 billion valuation by 2026.
  • In 2010 , they managed entire transportation for common wealth games in its entirety.
  • WTI Cabs | Wise Travel India Limited is spending from the net proceeds it will utilize, Rs. 73.00 cr. for working capital, and Rs. 8.00 cr. for general corporate purposes.
  • Took initiatives like Women Drivers and early introduction of e-vehicles.
  • In Car Rental Services, Company provide Car Rental Services for Corporates – provides chauffeur driven cabs to help them to transport employees, guests or VIP’s to airport, conferences, a sales call, intra city travel, hotel pickup & drop, outstation or for their long term or daily car rentals needs.
  • They provide Employee Transportation Services strive to provide SLA-based, bespoke Mobility Solutions for the corporate daily (Home-Office-Home) pickup & drop services for their employees.
  • They provide Monthly/Fixed Rental Plans is a great option for those who need to rent a car for the entire month. Under this service, they provide you with a vehicle of your choice and the driver for an entire month. This will be absolutely exclusive for you, the vehicle and driver will be available at your service 24×7.
  • Their airport counters are strategically located in 12 airports throughout India.
  • The Company provides mobility services for Meetings, Conferences Exhibitions to corporates. Providing Mobility Solutions to corporates helps to improve safety and operational efficiencies.
  • They offer comprehensive mobility services for individuals and enterprises across major cities in India.
  • Segment wise revenue details
    Sl. No    Segment  Revenue Bifurcation    FY21  FY 22  FY 23  H1Fy24
1CRD (Spot Rental)B2B1,708.633,116.906,278.364,961.92
2CRD (Spot Rental)B2C19.6915.2849.4042.24
  3ETS (Employee Transportation)  B2B  1,049.97  2,196.94  10,302.82  7,011.24
  4MSP (Manage Service Provider)  B2B  326.29  559.50  2,776.29  3,565.71
  5Projects (Long term Rentals)  B2B  636.28  2,021.81  2,941.98  1,957.04
  6Airport (Airport Counters)  B2C  477.63  951.99  2,582.33  1,450.35
  7Other (Individual, Consultancy, etc…)  B2B  8.31  –  28.70  –
Total  4,226.808,862.4124,959.8718,988.50
  • Key Performance Indicators of Company
Key Financial PerformanceSeptember 30, 2023March 31, 2023March 31, 2022March 31, 20201
Revenue from Operations 18988.5024959.878862.414226.80
EBITDA 2166.261858.18612.48300.47
EBITDA Margin 11.41%7.44%6.91%7.11%
PAT1136.481026.87375.33177.59
PAT Margin 5.99%4.11%4.24%4.20%
Net Worth5192.744062.212831.832456.48
RoE(%)24.56%29.79%14.19%7.52%
RoCE (%)21.46%22.90%17.57%8.96%
  • WTI is all geared up to provide Sustainable Mobility by inducting electric vehicles for staff transportation and Corporate Car Rental services across the country.
  • WTI provides transportation services for empowering workforce mobility in Tier 2 & Tier 3 cities.. The expansion plan was fortified when the company acquired India Fleet, a subsidiary of Tranzlease India Pvt. Ltd. From 2013 to 2014.
  • The company was lauded in Dubai as the World’s Greatest Leaders 2015 in the Ground Transport Category for Asia & GCC. By 2017 and World’s Greatest Leader event held in Singapore.
  • The period from 2018 to 2020 Electric vehicles became a significant part of its fleet, mirroring global aspirations for greener transportation.
  • In 2021, acknowledging the increasing demand in smaller cities, WTI ventured into tier 2, 3, and 4 cities, ensuring that premium mobility services in smaller cities.
  • Recognizing the global potential of its services, 2022 saw the brand- WTI preparing to go international. It has started its operations in Dubai. 
  • Peers
Company/₹ crCMP (₹)Revenue(cr)Net Profit(₹ cr)NPM %PEMcap (cr)Macp/salesRONW%
WTI Cabs147249.610.34.1%34(15.4)350.01.429.8
Shree OSFM E-Mobility93.482.113.093.8%43.21331.615.11%
Mahindra Logistics3875,128250.5% –2,7890.59.84%
  • WTI Cabs IPO | Wise Travel IPO is coming at a PE ratio of 34x(fy23 earnings) and 14x (fy24 annualized earnings)
  • I intend to apply in WTI Cabs IPO | Wise Travel IPO subject to availability of funds. The company has posted growth both in revenues and profits and growth seems to be accelerating.
  • GMP as reported on social media has been Rs. 135 .
  • Share India Securities is the market maker. Past issues handled by them include Drone Destination, Quicktouch Technologies, Maiden Forgings, De Neers Tools, Krishca Strapping Solutions, A G Universal etc.
  • SME IPO are much more risky and volatile than mainboard IPOs.
  • Standard disclaimer: I am not a SEBI registered analyst and above analysis is for educational purpose only. Iam a postgraduate in engineering & Management . I have in the past cleared some exams like NISM-Series-V-A: Mutual Fund Distributors Certification, NISM-Series-X-A: Investment Adviser (Level 1) Certification and NISM-Series-X-B: Investment Adviser (Level 2) Examination. This post is my view on the subject matter and is only academic and exploratory in nature. It is not meant to influence investment decisions of investors. I may have bias/vested interest in covered Stock/Mutual Funds/NCD etc. due to my own investment or leaning. Further my understanding of the areas on which I write may be imperfect or incomplete and data could be wrong due to limited time and resources at my disposal. Do check the data from company’s RHP and exchanges before making any decision. Please do your own due diligence as stock market/MF investments have high degree of inherent risk.

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