India’s leading sleep solutions company, Duroflex, is preparing to make its stock market debut within the next 18 months. The Kerala-based company, which has been in the mattress and sleep products business for over six decades, is pushing forward with aggressive growth and expansion strategies, all while navigating a dynamic market and maintaining steady performance.
Group CEO Sridhar Balakrishnan confirmed the company’s IPO ambitions during multiple recent interviews, noting that while market conditions remain out of anyone’s control, Duroflex is focused on delivering “boringly consistent performance” to drive investor confidence.
Duroflex IPO in Focus
Duroflex hasn’t disclosed the amount of funds it plans to raise or whether it will be a fresh issue or an offer for sale but industry insiders believe the company’s fundamentals and market position makes it a strong candidate for listing. As of its last known valuation Duroflex was worth around INR 2,600 crore.
The company has five institutional investors as backers including Norwest Venture Partners, Northwest Capital and Lighthouse.
Financial Snapshot and Strong Growth
Duroflex reported operating revenue of INR 1,095 crore for FY 2024 up from INR 1,001 crore the previous year. Despite modest single digit growth in FY 2025 the company saw 50% growth in EBITDA and PAT of INR 11.2 crore.
85% of the revenue still comes from mattress sales and the company is looking to diversify. “We plan to double the contribution from other categories, including recliners and sofas, over the next five years,” Balakrishnan shared.
Retail and Manufacturing Expansion
As part of its pre-IPO groundwork, Duroflex is investing heavily in physical retail and manufacturing capabilities. The company has around 77 stores including 7 under its online-first sub-brand Sleepyhead which caters to early career couples and first time buyers.
The plan is to add 20-25 new stores by end of calendar year 2025 and reach around 100 stores. By end of FY 2026 the company plans to add 23 more stores.
The retail strategy revolves around a ‘city saturation model’, focusing on deeper penetration in metro areas like Bengaluru before exploring new regions. This method prioritizes economic viability over rapid expansion. “It’s not just about adding numbers but choosing the right cities and the right locations,” said Balakrishnan.
To support the expansion the company has added manufacturing capacity by commissioning a new plant in Hosur, Tamil Nadu. This joins an existing network of seven production and ordering units spread across the country.
New Growth Channels and Institutional Business
Duroflex is also exploring institutional sales — including colleges, hospitals, and hotels — as a new vector of growth. While this segment currently represents a small portion of revenue, the company sees “huge potential” in the space over the next two to three years and plans to actively invest in its development.
Furthermore, Duroflex’s brand architecture is being strategically maintained. While Duroflex continues to target middle to upper-middle-class consumers with a focus on premium sleep products, Sleepyhead is carving its niche among younger, digital-first buyers. The two brands are expected to coexist with well-defined audiences, pricing tiers, and retail experiences.
Sector Outlook
India’s mattress market, pegged at over USD 2 billion (~INR 16,939 crore), has experienced a slowdown following the post-pandemic surge in consumer spending on home improvements. Nevertheless, industry analysts remain optimistic, citing increased awareness around sleep and wellness as long-term growth drivers.
Duroflex’s ability to be agile while growing across product categories, regions and customer segments will be key as it goes public. With a focus on profitability, diversified product portfolio and retail expansion in full swing the company seems to be well positioned to cash in on its IPO plans. For more details related to IPO GMP, SEBI IPO Approval, and Live Subscription stay tuned to IPO Central.