Studds Accessories IPO

Studds Accessories Limited IPO Strengths

• Largest Domestic Player of Two-Wheeler Helmets

Studds Accessories Limited is India’s largest two-wheeler helmet manufacturer by revenue in FY23 and the global leader by volume in 2024. With nearly five decades of experience, a 9.04 million unit capacity, and strong brands like Studds and SMK, the company blends innovation, safety, and aspirational design.

• Wide Design and Product Catalogue Across Price Points Catering to Diverse Consumer Requirements

Studds Accessories Limited offers a comprehensive range of over 240 helmet designs and 15,060 SKUs across segments, fulfilling both mass commuter and premium customer needs. Its brands, Studds and SMK, are strategically positioned with diverse pricing and features, ensuring relevance across markets, styles, and performance expectations.

• Advanced Manufacturing and D&D Capabilities with Vertically Integrated Operations

Studds Accessories Limited operates a fully vertically integrated model, controlling the entire product journey from design to sales. With four advanced ISO-certified manufacturing facilities and a strong D&D team, the company leverages automation, in-house moulding, and smart technologies to ensure superior quality, faster time-to-market, and enhanced cost-efficiency.

• Strong Pan-India and Global Presence Backed by Robust Distribution and Quality Certifications

Studds Accessories Limited has built a vast and efficient distribution network spanning 348 active distributors across India and operations in over 70 countries. Its strong sales channels—comprising distributors, OEMs, EBOs, e-commerce, and government institutions—are supported by global quality certifications and trusted customer relationships across diverse markets.

• Capital-Efficient and Sustainable Business Model

The company operates a scalable, capital-efficient model leveraging strong brand recall, integrated operations, and an extensive distribution network. This approach minimises advertising costs, reduces expenses, and enables efficient expansion. Backed by effective working capital management, the business has achieved consistent revenue and profit growth from 2022 to 2024.

More About Studds Accessories Limited

Studds Accessories Limited stands as the largest two-wheeler helmet player in India by revenue for Fiscal 2023 and the world’s largest by volume in Calendar Year 2024 (Source: CARE Report). With nearly five decades of manufacturing experience, the company has establisheda strong reputation in the helmet industry.

Manufacturing Capacity and Sales

The company operates multiple manufacturing facilities in Faridabad, India, with a combined annualized capacity of 9.04 million units. In Fiscal 2024, Studds sold approximately 7.10 million helmets.

Brand Portfolio and Global Presence

• Studds Brand: Founded in 1975, this brand targets the mass and mid-market segments within India, offering helmets priced between ₹895 to ₹3,895. In Fiscal 2024, Studds helmets accounted for 6.87 million units sold globally.

• SMK Brand: Launched in 2016, SMK caters to the premium motorcycle segment in India and certain international markets. These helmets, priced between ₹3,000 to ₹12,800, focus on comfort with multiple shell sizes and sold 0.16 million units globally in Fiscal 2024.

• White Label Production: The company manufactures helmets for brands such as Daytona and O’Neal, serving markets in the United States, Europe, and Australia.

Studds and SMK helmets are marketed across more than 70 countries, with key export regions including the Americas, Asia (excluding India), Europe, and others.

Commitment to Safety and Innovation

Safety is at the core of Studds’ product philosophy, with products complying with certifications such as ISO 9001:2015, ISO 14001:2015, IS 4151:2015 (BIS), and ECE 22.06. The company’s design team of 75 employees focuses on integrating advanced safety features, comfort, and technology such as Bluetooth and helmet wear detection systems.

Distribution and Partnerships

Studds maintains a robust distributor network of 348 active distributors in India and collaborations with prominent motorcycle OEMs like Honda, Hero MotoCorp, Suzuki, Royal Enfield, and Yamaha. Products are available through exclusive brand outlets, e-commerce, quick-commerce platforms, and their official website.

Leadership

The company benefits from the leadership of Chairman and Managing Director Madhu Bhushan Khurana, with nearly 40 years of industry experience, and Managing Director Sidhartha Bhushan Khurana, who has been instrumental in strategic and operational growth since 1998.

Industry Outlook

Two-Wheeler Helmet Market: Robust Growth Ahead

• Market Size & Growth: Valued at USD 2.12 billion in 2024, the Indian two-wheeler helmet market is projected to reach USD 3.08 billion by 2030, growing at a CAGR of 6.48%.

• Segment Insights:

• Full-face helmets: Dominated revenue in 2024.

• Open-face helmets: Expected to register the fastest growth during the forecast period.

• Growth Drivers:

• Government regulations mandating helmet use.

• Increasing road safety awareness.

• Rising two-wheeler sales in urban and rural areas.

Two-Wheeler Accessories Market: Expanding Horizons

• Market Size & Growth: The Indian two-wheeler accessories market reached USD 380 million in 2024 and is expected to grow at a CAGR of 3.4% to reach USD 500 million by 2033

• Key Trends:

• Growing demand for performance parts and premium safety gear.

• Increasing consumer interest in customization and aesthetic enhancements.

Strategic Outlook

The convergence of regulatory support, consumer awareness, and technological advancements positions the Indian two-wheeler helmet and accessories industry for sustained growth. Companies focusing on innovation, quality, and compliance are well-placed to capitalize on emerging opportunities in this dynamic market.

How Will Studds Accessories Limited Benefit

• Studds Accessories Limited is poised to benefit significantly from the growing helmet and accessories market in India.

• As the largest two-wheeler helmet player by revenue and global volume leader, it is well-positioned to capture expanding demand.

• Its manufacturing capacity of 9.04 million units and 7.10 million helmets sold in FY24 ensures readiness for increased consumption.

• With strong brand portfolios—Studds for mass and mid-market, SMK for premium—Studds addresses varied consumer segments.

• Its global footprint in over 70 countries supports revenue diversification and export growth.

• Advanced in-house design and safety certifications align with rising safety awareness and regulatory compliance.

• Integration of technology like Bluetooth and helmet detection enhances product appeal.

• Its partnerships with major OEMs like Hero, Honda, and Royal Enfield strengthen its distribution ecosystem.

• Widespread availability through exclusive outlets, online, and quick-commerce platforms boosts reach.

• Veteran leadership and nearly five decades of experience position the company to capitalise on future growth trends.

Peer Group Comparison

• There are no comparable listed companies in India that engage in a business similar to that of the company. Accordingly, it is not possible to provide an industry comparison as per DRHP.

Key Strategies for Studds Accessories Limited

• Expand and Strengthen Production Capacity with Vertical Integration

Studds Accessories Limited leverages nearly five decades of expertise and advanced automated facilities to scale production capacity. With multiple manufacturing units, including a new facility under construction, they integrate cutting-edge robotics and IoT for efficiency, ensuring high-quality helmets at competitive costs to meet growing global demand.

• Strategic Expansion into New Markets and Geographies

The company plans to grow its global footprint by strengthening presence in North America, South America, and ASEAN regions. Through acquisitions like Bikerz US Inc. and a planned European subsidiary with direct distribution and warehousing, Studds aims to enhance market reach and streamline international operations.

• Enhance Premium Helmet Offerings under Studds and SMK Brands

Studds aims to broaden its premium helmet portfolio by expanding the SMK brand internationally and launching premium products under the Studds brand at competitive price points. This strategy targets rising demand fueled by premium motorcycle sales and growing consumer income, increasing market share globally.

• Diversify Product Portfolio with Niche and Lifestyle Offerings

The company intends to expand beyond helmets by developing niche products such as bicycle helmets, luggage, and apparel. Studds plans to enter aspirational product segments targeting niche consumers, leveraging its manufacturing capabilities to increase product diversity and improve margins through lifestyle-oriented offerings.

• Strengthen Domestic Online Sales and Digital Infrastructure

Studds focuses on growing its online presence by expanding sales via e-commerce platforms and its website. The company invests in digital infrastructure to integrate online and offline channels seamlessly, aiming to enhance customer experience and consider launching a dedicated mobile app for improved shopping engagement.