Synopsis:
Quality Power Electrical Equipments Ltd secured a Rs. 10 crore export order for supplying Shunt Reactors to a hyperscale data center in Finland, with delivery in 12 months.
One of India’s emerging high-voltage power equipment companies was in focus today after announcing a significant export order. The company has secured a large international contract to supply advanced electrical equipment for a hyperscale data center project in Finland.
The company in focus is Quality Power Electrical Equipment Ltd, with a market capitalization of Rs. 6,652.45 crore. The stock opened today at Rs. 840, compared to its previous close of Rs. 826.80, and touched an intraday high of Rs. 869.90. This marks a gain of approximately 5.2 percent from the previous closing price.
What’s the News?
Quality Power Electrical Equipments Ltd has received an export order worth approximately Rs. 10 crore from a leading European customer for supplying dry-type Shunt Reactors to a hyperscale data center project in Finland. The customer’s name remains undisclosed due to a non-disclosure agreement.
The order involves the supply of advanced dry-type air core Shunt Reactors designed to manage voltage rise and reactive power flows under light load conditions, ensuring voltage stability at the grid connection point.
These reactors are built to IEC 60076-6 standards and meet stringent data centre resilience requirements, particularly suited for continuous operation in sensitive environments where oil-filled equipment is less preferred due to fire and environmental risks.
The reactors will be manufactured and tested at Quality Power’s ISO-certified facility in Sangli, India. Execution activities will commence immediately, with an estimated delivery scheduled within 12 months.
This contract not only enhances the company’s role in global power infrastructure for digital facilities but also marks a significant step in expanding its footprint in the European market.
Also Read: Infra stock hits 5% lower circuit after company reports 82% YoY decline in net profit
Comments from the Management
Commenting on the development, Mr. Vivek Moroney, President – Operations at Quality Power, stated:
“Securing this order following rigorous technical evaluations by Scandinavian utilities and engineering consultants reaffirms our core engineering capabilities and operational excellence.
This contract not only validates our product in the European market but also marks our strategic entry into supplying high-reliability coil products for large-scale data centre applications globally.
The company remains focused on meeting customer expectations through technical innovation, timely execution, and adherence to global performance and compliance benchmarks.”
Financial Snapshot
Quality Power has delivered a strong financial performance between March 2024 and March 2025. Revenue from operations increased by 11.9 percent, rising from Rs. 301 crore to Rs. 337 crore.
Operating profit surged by 71.1 percent from Rs. 38 crore to Rs. 65 crore. Profit before tax jumped by 77.7 percent from Rs. 63 crore to Rs. 112 crore. Net profit grew by 81.8 percent from Rs. 55 crore to Rs. 100 crore. The company has delivered a compounded profit growth of 80 percent on a trailing twelve-month basis.
On the balance sheet front, borrowings reduced by 76.3 percent from Rs. 38 crore to Rs. 9 crore. Total assets more than doubled, increasing by 126.8 percent from Rs. 359 crore to Rs. 814 crore.
Fixed assets rose sharply by 260.6 percent from Rs. 66 crore to Rs. 238 crore. Net cash flow improved significantly, moving from a negative Rs. 4 crore to a positive Rs. 141 crore during the same period.
The company maintains a robust Return on Capital Employed (ROCE) of 28 percent, Return on Equity (ROE) of 23.2 percent, and Return on Assets (ROA) of 17.3 percent.
It has a low debt-to-equity ratio of 0.02 and an operating profit margin of 19.4 percent. The earnings per share (EPS) stands at Rs. 8.54, with a dividend payout ratio of 11.7 percent.
Additional Development
On July 9, 2025, the company executed a binding term sheet to acquire a 100 percent stake in Sukrut Electric Company Private Limited, a Pune-based transformer component manufacturer with a legacy spanning over six decades. This acquisition will be done jointly with Yash Highvoltage Limited, with each holding a 50 percent stake.
About the Company
Quality Power Electrical Equipment Ltd is a publicly listed Indian multinational specializing in high voltage power equipment and advanced power quality solutions.
The company has a global presence with installations in over 100 countries, serving utilities and industries in their pursuit of grid stability and network reliability. Operating from ISO-certified manufacturing facilities, Quality Power delivers engineered products up to 765 kV and plays a key role in supporting the global energy transition through innovative infrastructure solutions.
Written by Manan Gangwar
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
