Synopsis:
Divine Power Energy Limited, through VIPL, strengthened its business by securing repeat orders from existing clients and onboarding new customers, significantly expanding its order book and achieving its highest-ever half-yearly turnover.
This Micro-cap power stock, engaged in manufacturing insulated and bare copper and aluminum wires and strips, supplies power sector clients like Tata Power, BSES, and regional Discoms, jumped 4.41 percent after the company secured additional orders from existing clients and onboarding new customers during the current financial year.
With a market capitalization of Rs. 698.90 crores, the share of Divine Power Energy Limited has reached an intraday high of Rs. 282 per equity share, rising nearly 4.41 percent from its previous day’s close price of Rs. 270.10. Since then, the stock has retreated and is currently trading at Rs. 279.95 per equity share.
Reason Behind the Surge
Divine Power Energy Limited, through its wholly owned subsidiary Vimlesh Industries Private Limited (VIPL), has achieved significant operational milestones during the current financial year. The company has successfully strengthened its business by securing additional orders from existing clients and onboarding new customers.
Among its existing customers, Vimlesh Industries Private Limited has received renewed and additional orders from prominent clients such as Indian Railways (Rs. 2.2 crore), Panasonic Life Solutions (Rs. 55 lakhs), Hitachi Energy India (Rs. 25 lakhs), Lucas-TVS (Rs. 50 lakhs), Luminous Power Technologies (Rs. 1.5 crore), Minda Autoelectric (Rs. 1.5 crore), and Success Electronics & Transformer (Rs. 30 lakhs). These repeat orders underscore the trust and long-standing relationships the company has built with its clients.
In addition, the company has successfully onboarded new customers, including Crompton Greaves Limited (Rs. 30 lakhs), Vijai Electricals Limited (Rs. 1 crore), and PP Industries Private Limited (Rs. 1 crore). With these new orders, the company has significantly expanded its order book, enhancing revenue visibility and consolidating its market position.
By combining growth from existing clients and new customers, Divine Power Energy Limited has marked its highest-ever half-yearly turnover, showcasing operational excellence and strategic expansion. These milestones reflect the company’s commitment to product quality, technological innovation, and proactive engagement with the market, setting the stage for continued growth in the upcoming quarters.
Company Overview
Divine Power Energy Limited (DPEL) was incorporated in 2001 and originally as PDRV Enterprises Private Limited, and specializes in manufacturing copper and aluminum wires and strips used in electrical and industrial applications.
The company manufactures a range of products, including bare and insulated winding wires and strips made from copper and aluminum, which are essential components in motors, transformers, and electrical equipment.
Client base
Divine Power Energy Limited supplies specialized wires and strips to major Indian power and transformer companies, including TATA Power, BSES, and state-level electricity distributors across Uttar Pradesh and Uttarakhand. Its customer base also includes Dakshinanchal Vidyut Vitran Nigam Limited (DVVNL), Jharkhand Bijli Vitran Nigam Limited (JBVNL), Uttarakhand Power Corporation Limited (UPCL), and Pashchimanchal Vidyut Vitaran Nigam Limited (PVVNL).
Recent quarter results
Coming into financial highlights, Divine Power Energy Limited’s standalone revenue has increased from Rs. 119 crore in H2 FY24 to Rs. 198 crore in H2 FY25, which has grown by 66.39 percent. The net profit has also grown by 25 percent from Rs. 4 crore in H2 FY24 to Rs. 5 crore in H2 FY25.
Divine Power Energy Limited’s revenue and net profit have grown at a CAGR of 41 percent and 108.01 percent, respectively, over the last three years. In terms of return ratios, the company’s ROCE and ROE stand at 14.6 percent and 16.4 percent, respectively. Divine Power Energy Limited has an earnings per share (EPS) of Rs. 3.85, and its debt-to-equity ratio is 1.02x.
Written By – Nikhil Naik
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