Zetwerk FY26 Revenue Jumps 24% YoY To ₹15,900 Cr

IPO-bound manufacturing startup Zetwerk reported an estimated operating revenue of ₹15,900 Cr in FY26, according to a recent rating rationale from CRISIL Ratings. The estimate marks a 24% jump from ₹12,800 Cr revenue reported in FY25.

While revenue rebounded in FY26, profitability remained under pressure. Crisil estimates Zetwerk’s operating margin at about 2.6% during the fiscal, an improvement over previous years but still relatively thin.

Notably, the revenue growth is supported by an order book of more than ₹12,000 Cr as of March 2026, which is expected to be executed over the next 12-18 months.

Apart from a robust order pipeline, Crisil also highlighted acquisitions as a key growth lever for Zetwerk in the future. The company has acquired nine firms, including joint ventures, and plans to continue pursuing inorganic growth to expand its product offerings and customer base.

At the same time, the ratings agency assigned an ‘A-/Negative’ rating to Zetwerk’s proposed ₹500 Cr non-convertible debenture (NCD) issue and reaffirmed the same rating on its existing ₹200 Cr NCDs and ₹2,500 Cr worth of bank facilities. 

“The short-term rating derives comfort from adequate liquidity profile with ₹3,200 Cr of total cash and equivalents out of which ₹1,900 Cr remains unencumbered as on March 31, 2026. The Zetwerk management remains committed to maintain unencumbered cash of over ₹ 800 Cr on a sustained basis,” it noted.

The rating agency said the negative outlook reflects risks associated with Zetwerk’s ongoing exit from its civil infrastructure engineering, procurement and construction (EPC) business.

“Crisil Ratings believes the credit profile of the group could be affected in case of any higher-than-expected provisions or losses arising from the exit from the civil EPC business segment,” the agency said.

The development comes at a time when Zetwerk is enroute to a public market debut soon. In March, the startup filed its draft IPO papers for a $450 Mn (about ₹4,200 Cr) IPO via the confidential route. The issue is expected to comprise a fresh issue of nearly $300 Mn and an offer for sale component of $150 Mn.

Ahead of the listing, Zetwerk is also said to be eyeing the raise of $50-60 Mn in a pre-IPO funding round. The company had appointed Mahindra Capital, JM Financial, Avendus Capital, and the Indian units of HSBC, Morgan Stanley and Goldman Sachs to manage the proposed public issue.

Founded in 2018 by Amrit Acharya, Srinath Ramakkrushnan, Vishal Chaudhary, and Rahul Sharma, Zetwerk operates a full-stack manufacturing platform serving sectors such as industrials, electronics, renewable energy, and consumer products. 

The startup manages the entire manufacturing value chain, including sourcing, production, quality control, logistics, and fulfilment.

Zetwerk attained unicorn status in 2021 following a $150 Mn funding round. To date, it has raised more than $700 Mn from investors including Peak XV Partners, Lightspeed, and Mars Growth Capital.

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