S Chand and Company, a 70 year old publishing house printing books and study material for K-12 and higher education segments, accounting for 73% and 24% of revenues respectively, has 2 printing facilities in UP and Uttarkhand which meet 85% of its printing requirement.

The company announced its Q1FY18 performance and it remained disappointing. Though revenue was up 86% (YoY) at Rs.29 crore, it ended with a net loss of Rs.8 crore v/s loss of Rs.11 crore in previous Q1. EBITDA was a loss at Rs.11 crore, albeit it had come down from Rs.15 crore.

The company has blamed it all on seasonal factor as Q1 is always its weakest.

The stock got listed on the BSE on 9^th May this year at Rs.689 v/s IPO price of Rs.670. Today, post this Q1 show, it is down in the red at Rs.482 and this is after having hit an intra day low at Rs.476.85.

In our IPO Analysis, we had very clearly stated that it was priced very high, “on expensive valuations, investors can give this IPO a miss.”  Today, all those who invested must be ruing their fate.