The Indian power and transmission sector has created exceptional wealth-building opportunities over the past five years, particularly for companies involved in transformer and allied equipment manufacturing. With expanding capacities, strong export demand, and healthy order books, these firms have consistently delivered robust operational and financial performance, turning several into multibagger stocks for long-term investors.

About the company 

Amba Enterprises Ltd, with a manufacturing capacity of around 3,500 MT per year, ranks among India’s largest producers of transformer core laminations. The company focuses on being a critical and reliable part of its clients’ entire value chain. Operating as a multi-product, multi-location, multi-advantage group, AEL serves reputed enterprises across the country. The company’s product portfolio caters to diverse downstream sectors, including UPS systems, energy distribution, transformers, electricals, automobiles, engineering, and appliances.

The company currently has a market capitalization of Rs. 198.20 crore, with its shares trading at Rs. 156.55 and delivering a staggering 1,429.30 percent return over the past 5 years.

Products Offered

Amba Enterprises offers a comprehensive range of high-quality transformer and electrical components. Its CRNGO and CRNO lamination strips are precision-cut on advanced progressive tools to ensure consistent quality, and can be customized in size and specification to meet client requirements. The company’s transformer laminations are designed for high efficiency and long service life. In the stamping segment, AEL manufactures generator and alternator stampings, as well as motor and pump stampings, tailored for domestic and international OEMs. 

The company also produces slit and full coils in varying dimensions and grades, die-cast rotors ranging from 20 mm to 300 mm in diameter and 25 mm to 550 mm in length, and inserted shafts with rotors, including hollow rotor shafts for automotive traction motors. Additionally, AEL provides specialized services such as silicon steel slit coils from 20 mm to 1,200 mm, assembly cores weighing 1 kg to 200 kg, cut-to-length laminations (width 25 mm to 400 mm, length up to 2,000 mm), and shaft insertion in die-cast rotors.

Marquee clients 

Amba Enterprises counts several renowned companies among its clients, including CUMMINS, CG Power, Siemens, Skoda Transportation, ABB, Havells, and Indian Railways. These long-term associations underscore the company’s credibility and the reliability of its products in critical electrical and industrial applications.

Financial snapshot

Quarter-on-quarter (QOQ) performance: Amba Enterprises reported sales of Rs. 89.45 crore in the latest quarter, up from Rs. 83.73 crore in the previous quarter, marking a growth of 6.85 percent. Operating profit rose from Rs. 2.23 crore to Rs. 2.54 crore, an increase of 13.90 percent, while PBT grew from Rs. 2.14 crore to Rs. 2.38 crore, up 11.21 percent. Net profit, however, declined slightly from Rs. 1.89 crore to Rs. 1.68 crore, reflecting a dip of 11.11 percent QoQ.

Year-on-year (YOY) performance: Compared to the same quarter last year, sales increased from Rs. 85.83 crore to Rs. 89.45 crore, a rise of 4.20 percent. Operating profit decreased from Rs. 2.71 crore to Rs. 2.54 crore, down 6.28 percent, while PBT fell from Rs. 2.50 crore to Rs. 2.38 crore, a reduction of 4.80 percent. Net profit fell slightly from Rs. 1.76 crore to Rs. 1.68 crore, a decline of 4.55 percent YOY.

Written By Manan Gangwar 

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