Inventory Market As we speak: Shakti Pumps, a number one Indian producer of photo voltaic pumps and motors, noticed its shares hit the 5% higher circuit restrict throughout early buying and selling on Thursday, December 12, reaching a two-week excessive of ₹856.55 apiece. The surge adopted the announcement of a big order win.
In an alternate submitting on Wednesday, the corporate knowledgeable buyers that it had acquired a Letter of Empanelment from the Maharashtra State Electrical energy Distribution Firm Restricted (MSEDCL) for 25,000 standalone off-grid DC Photo voltaic Photovoltaic Water Pumping Techniques (SPWPS). These pumps will probably be deployed throughout Maharashtra underneath the Magel Tyala Saur Krushi Pump Scheme.
The overall order worth, together with GST, stands at ₹754.30 crore, with execution scheduled inside 60 days from the issuance of the Discover to Proceed (NTP) or work order, as per the regulatory submitting.
This follows one other main order win in November, when the corporate secured work underneath Part B of the PM-KUSUM scheme from the Haryana Renewable Power Division (HAREDA). That order, for 3,174 pumps, was valued at ₹116.36 crore.
Recognised as a number one producer within the Indian pump business, Shakti Pumps holds a dominant market place with a 25% share within the home photo voltaic pump market underneath the PM KUSUM scheme, an initiative aimed toward remodeling the Indian agriculture sector.
Via the PM Kusum Scheme, led by the federal government, it’s estimated that there are over 14 lakh photo voltaic pumps underneath Part B (off-grid pumps) and 35 lakh photo voltaic pumps underneath Part C (on-grid pumps) to be put in.
Stellar performer
The inventory has been a standout performer within the Indian inventory market, delivering substantial wealth to buyers through the years. In 2024 alone, it has skyrocketed by 402%, and over the previous 5 years, it has surged by a formidable 2,375%.
The corporate’s constant development, bolstered by its robust foothold within the pump business, notably in photo voltaic pumps and motors, has made it a favorite amongst buyers.
Since November 25, the corporate’s shares have been buying and selling ex-bonus, following a 5:1 bonus share issuance.
For the September-ending quarter, the corporate reported a big enhance in income to ₹635 crore, up from ₹153 crore in Q2 FY24. The EBITDA additionally noticed a exceptional rise, reaching ₹149 crore in contrast with ₹15 crore in the identical interval final yr, whereas the EBITDA margin expanded to 23% in Q2FY25 from 10% in Q2FY24.
The corporate’s revenue after tax (PAT) surged to ₹101 crore in Q2 FY25, a big soar from ₹6 crore in Q2 FY24, with the PAT margin increasing from 3.8% to 16%. As of June 30, Shakti Pumps had an order e book of ₹1800 crore, in accordance with the corporate’s earnings submitting.
