To power its B2B manufacturing arm, the startup is investing ₹150-200 Cr to build 1.5 Lakh sq ft manufacturing facility in Pune
Atomberg is projected to report a 25-30% growth in its operating revenue in FY26 on the back of increased sales and improving margins
The startup is eyeing to file for a $220 Mn IPO soon and s in talks with its board to iron out the details of the public listing
Home appliance startup Atomberg has forayed into manufacturing components for large appliances in a bid to diversify its revenue stream ahead of a potential IPO.
Through its subsidiary, Atomberg Innovation Private Limited, the Mumbai-based startup has expanded into designing and manufacturing motors and controllers for air conditioners, refrigerators, and washing machines sold by original equipment manufacturers (OEMs).
To power its B2B manufacturing arm, the startup is investing ₹150-200 Cr to build 1.5 Lakh sq ft manufacturing facility in Pune. It already operates an 85,000 sq ft manufacturing unit for consumer electronics business in the same area.
Atomberg’s founder and CEO Manoj Meena told Inc42 that the B2B venture is gaining initial traction. While it has been onboarded by major OEMs like Godrej and Voltas as a component provider, it is in talks with other OEMs to expand its client base. Meena claims that the startup has designed India’s first indigenous compressors for air conditioners, leading to the initial traction.
Besides, Atomberg will look to tap into sectors like automobiles, industrial applications, medical, defense and space to strengthen its B2B play. The startup claims to have already signed a deal to deploy its motor technology for drones. It has also tied up with two unnamed European companies to build industrial scale AC motors as well.
“Most of the components we build are currently imported from China. However, there is a strong government push to localise component manufacturing in India, supported by initiatives such as the production-linked incentive (PLI) scheme under the ‘Make in India’ programme,” Meena said.
The revenue diversification play came amid the startup’s bid to go public by 2027. The startup is eyeing to file for a $220 Mn IPO soon. As per Meena, Atomberg is in talks with its board to iron out the details of the public listing. Ahead of the IPO, the startup is looking to raise ₹40 Cr (about $4.8 Mn) via a mix of primary and secondary transactions at a valuation of ₹600 Mn.
Atomberg Fans Consumer Growth
On the consumer side, Atomberg is diversifying its product portfolio beyond BLDC fans, which has been its biggest lever of growth since the startup was founded in 2012 by Meena and Sibabrata Das.
Atomberg has leveraged its expertise in motor tech to launch an array of small home and kitchen appliances like mixer-grinders, juicers, water purifiers and door locks. This now accounts for around 7-10% of its overall revenue, expected to contribute around ₹100 Cr to its FY26 top line, as per the cofounder.
While it launched the products on its own website and ecommerce platforms like Amazon and Flipkart for discovery and feedback, it is now planning offline retail expansion. It is also expanding product offerings to include IoT enabled smart doorbells and motorised hand blenders, among other products.
It had followed a similar strategy for its fan portfolio, bringing awareness through online touchpoints before expanding to offline retail, where the real sales happen, Meena said. Currently, 30% of its fan sales come from online channels while 70% are derived from offline retail.
On the financial front, Meena projected a 25-30% growth in its operating revenue in FY26 on the back of increased sales. Important to mention that AIPL is not expected to have a meaningful contribution to the revenue at this stage.
In FY25, Atomberg trimmed its net loss by 41% to ₹117 Cr from ₹199 Cr in the year-ago period. Its operating revenue jumped over 20% to ₹958.4 Cr in the fiscal year from ₹797 Cr in FY24. Its FY25 expenses rose a marginal 9% YoY to ₹1,118.3 Cr.
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