Laxmi Dental is India’s only fully-integrated dental products company offering customised crowns, bridges, aligner solutions and paediatric products. It is the second-largest domestic lab (68% of revenue) with a 22,000-plus dental network and is the largest exports lab in India.
India has a high oral disease burden, but remains an underpenetrated and fragmented dental care market with organised market share in a mere single digit. We believe Laxmi is poised to capture a meaningful share of the pie given its wide portfolio and scale aided by tailwinds such as preference for aesthetics, digitalisation and rising income. We forecast a revenue/adjusted PAT CAGR of ~26%/59% with RoCE rising from 19% to ~29% over FY25E–28E. Initiate at ‘BUY’ with TP of INR570.