Rays of Belief
Rays of Belief is a for-profit social enterprise providing personalised intervention plans for children with neurodevelopmental disorders (NDDs), including Autism Spectrum Disorder, ADHD, Down Syndrome, Cerebral Palsy, Intellectual Disability, Learning Disabilities and Global Developmental Delays.
The intervention plans are tailored to each child?s needs and the severity of their condition, with a focus on addressing key barriers such as limited awareness, access to care, quality of services and affordability. Its approach also involves empowering parents and families to participate as co-therapists in their child?s developmental journey.
The company started its first centre in Gurgaon in 2018 and has expanded from 71 centres in FY23 to 136 centres as of March 31, 2026. Its centres operate across 57 cities in 20 states and union territories in India under the Mom?s Belief brand, with 42 centres in Tier 1, 77 in Tier 2 and 17 in Tier 3 cities.
In June 2025, the company acquired Mom?s Belief US, Inc. making it its wholly owned subsidiary, and Allergy and Immunology Virginia, LLC, making it its step-down subsidiary in the US, adding three centres in Virginia across Salem, Lynchburg and Roanoke. The acquisition is expected to help expand its behavioral health services in the US, including support for children with NDDs.
The company primarily serves children aged 18 months to 12 years, while specialised programs are available for children up to 15 years, focusing on vocational and life skills. Its multidisciplinary services include early intervention, parental guidance, occupational therapy, language therapy and family support programs.
It provides services through four key centre formats: (1) Company Learning Centres, providing assessment, therapy, goal planning and parent training; (2) School Collaboration Centres, providing developmental and therapeutic services in partnership with schools; (3) Centres of Excellence and Research (COER), focusing on research, innovation and developing best practices in neurodevelopmental care; and (4) Upskilling Academy, providing training and skill development for professionals working in the field.
The centres are equipped with 150+ teaching tools, while home-based learning kits provide access to 2,000+ teaching tools, supported by regular follow-ups and progress monitoring. As of March 31, 2026, the company had a team of 340+ full-time clinical professionals.
In FY26, Overseas Centres contributed 41.74% of revenue from operations, followed by revenue from centre operations at 32.04%, export of services at 25.56%, online services at 0.48% and other operating revenue at 0.18%.
In FY26, centres operating for over 36 months generated the highest average revenue per centre at Rs 0.33 million per month, followed by 25?36 months at Rs 0.22 million, 0?12 months at Rs 0.19 million and 13?24 months at Rs 0.15 million.
The company has a strong presence in Tier 2 cities, helping expand access to developmental care beyond major urban centres. Based on the number of centres, it ranks first in India and seventh globally among listed players operating in the behavioural health domain for NDD intervention plans. Since commencing operations in 2018, it has served over 58,000 children, including 9,205 children in FY26.
The company served 9,205 children and families in FY26. Fresh enrolments stood at 6,903 in FY26.
The Indian NDD therapy market is expected to grow steadily, supported by rising awareness, early diagnosis, improving healthcare infrastructure and increasing access to specialized care.
Plans to expand its presence in India primarily through organic growth, by opening centres in new cities and strengthening its presence in existing markets, particularly Tier 2 and Tier 3 cities. It plans to use IPO proceeds to establish 319 new centres between FY27 and FY29. The company also intends to pursue inorganic growth through acquisitions and strategic partnerships, while expanding internationally through its existing US operations and plans to enter the UAE and UK markets.
Aims to strengthen their value proposition by enhancing service offerings, introducing new solutions, and improving intervention plans at affordable price points. Plans to expand reach through innovative programs and regional initiatives while positioning themselves as a holistic care provider.
Offer and its objects
The IPO comprises fresh issue of 52,30,000 equity shares worth up to Rs 125 crore.
The price band of the IPO is Rs 227 to Rs 239 per equity share of face value Rs 10 each.
The objectives of the fresh issue include Rs 41.36 crore for setting up new centres, Rs 14.45 crore for lease payments for existing centres, Rs 10.13 crore for lease/licence payments for its US subsidiary, Mom?s Belief US, Rs 10.20 crore for brand awareness and outreach programmes, and the remaining amount for inorganic growth and general corporate purposes.
The promoters are Nitin Bindlish and Carving Futures. The promoters and promoter group hold an aggregate of 1,43,74,264 equity shares, aggregating 91.72% of the pre-offer issued and paid-up equity share capital. Their post IPO shareholding is expected to be around 68.77%.
The issue, through the book-building process, will open on 1 Sept 2026 and will close on 3 Sept 2026.
Strengths
India?s largest player by number of centres offering intervention plans for children with NDDs, with 139 centres, including three overseas centres.
Strong presence in Tier 2 and Tier 3 cities, enabling access to developmental care in relatively underserved markets.
Improving operating margins, with OPM increasing from 4.86% in FY24 to 14.59% in FY26.
Multiple referral channels through Licensed Professionals, schools and digital outreach, supporting client acquisition and centre utilization.
Operates in a highly specialized domain, providing care to children with Neurodevelopmental Disorders.
Asset-light and scalable model, with centres primarily operating from leased premises and partnerships with licensed professionals and schools supporting expansion.
Centres spread across all five zones of India, North, South, East, West and Central, providing broad geographic coverage.
Professional and experienced management team, supported by over 340 full-time clinical professionals.
Weaknesses
Centers operate on leased premises, with tenures ranging from 11 months to 3 years. A significant portion of their capital expenditure is tied to immovable fit-outs on these leased properties, which may not be recoverable if a lease is not renewed or if a center is closed or relocated.
Profitability remains relatively recent, with the company reporting a loss in FY23, and becoming profitable only in FY24. Operating cash flow remained negative in FY26.
In Fiscal 2026, 25.56% of revenue was derived from export of support services to Carving Futures Pte, the holding company and corporate promoter, and Carving Futures Inc, a promoter group entity. Any adverse change, termination, or conflict of interest in these related party arrangements could affect the company?s business.
The company has closed 2, 8 and 20 network centres in FY26, FY25 and FY24, respectively, indicating challenges in sustaining operations across all locations and the potential for associated sunk costs.
Dependence on licensed professionals for centre operations, as termination or suspension of these arrangements could affect service delivery, revenue and business growth.
Trade receivables increased sharply to 22.15% of revenue in FY26 from 8.45% in FY25.
New centre expansion may face delays and cost overruns, which could affect profitability, cash flows and returns.
Recently acquired Subsidiaries, Mom?s Belief US, and Allergy & Immunology, Virginia, LLC have operations in the USA. These international operations expose it to complex management, legal, tax, economic and regulatory risks.
Valuation
In FY26, restated consolidated net sales increased 12% to Rs 81.66 crore, compared with Pro Forma FY25 sales. The OPM improved 950 bps to 14.59%, leading to 220% increase in OP to Rs 11.91 crore. OI increased 247% to Rs 0.4 crore. Interest cost rose 85% to Rs 1.1 crore. Depreciation cost went up 96% to Rs 4.31 crore. Tax expenses were Rs 1.94 crore, compared with a tax credit of Rs 5.53 crore, which weighed on PAT. As a result, PAT decreased 25% to Rs 4.96 crore. FY25 figures used for comparison are on a Pro Forma basis and are therefore not strictly comparable with FY26 restated consolidated figures.
The FY26 EPS on post-issue equity works out to Rs 2.4. At the upper price band of Rs 239, P/E is 101. The OPM and ROE stood at 14.59% and 21.64% respectively, in FY26.
Rays of Belief offers a differentiated business model in the NDD intervention space, supported by a growing centre network and improving operating margins. However, the company has a relatively short profitability track record, negative operating cash flow in FY26, and execution risks associated with its aggressive expansion plans. Successfully scaling the network while maintaining service quality, attracting qualified professionals, and improving centre-level profitability will be key to sustaining growth.
There are no directly comparable listed companies in India or globally that are of a similar size and operate a business model similar as that of the company.
| Rays of Belief: Issue Highlights | |
| For Fresh Issue Offer size (in Rs crore) |
|
| - On lower price band | 118.72 |
| - On upper price band | 125 |
| Offer size (in no of shares) | 52,30,000 |
| Price band (Rs) | 227-239 |
| Minimum Bid Lot (in no. of shares) | 62 |
| Post issue capital (Rs crore) | 20.9 |
| Post-issue promoter & Group shareholding (%) | 68.77 |
| Issue open date | 01-09-2026 |
| Issue closed date | 03-09-2026 |
| Listing | BSE, NSE |
| Rating | 40/100 |
| Rays of Belief: Restated Financials | ||||
|
| 2403 (12) | 2503 (12) | 2503 (12) | 2603 (12) |
| Sales | 30.61 | 36.42 | 73.14 | 81.66 |
| OPM (%) | 4.86% | 8.29% | 5.09% | 14.59% |
| OP | 1.49 | 3.02 | 3.72 | 11.91 |
| Other inc. | 0.15 | 0.12 | 0.12 | 0.40 |
| PBIDT | 1.64 | 3.14 | 3.84 | 12.31 |
| Interest | 0.13 | 0.59 | 0.59 | 1.10 |
| PBDT | 1.51 | 2.54 | 3.24 | 11.22 |
| Dep. | 1.41 | 2.19 | 2.20 | 4.31 |
| PBT | 0.10 | 0.35 | 1.05 | 6.90 |
| Share of Profit/(Loss) from Associates/JV | - | - | - | - |
| PBT before EO | 0.10 | 0.35 | 1.05 | 6.90 |
| Exceptional items | - | - | - | - |
| PBT after EO | 0.10 | 0.35 | 1.05 | 6.90 |
| Taxation | (0.75) | (5.53) | (5.53) | 1.94 |
| PAT | 0.85 | 5.88 | 6.58 | 4.96 |
| EPS (Rs)* | 0.4 | 2.8 | 3.1 | 2.4 |
| * EPS is annualized on post issue equity capital of Rs 20.9 crore of face value of Rs 10 each |
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| # EPS is not annualised due to seasonality of business |
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| EO: Extraordinary items. EPS is calculated after excluding EO and relevant tax |
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| Figures in Rs crore |
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| Source: Capitaline Corporate Database |
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