Automobile stock engaged in the production of passenger buses, offering end-to-end solutions for various types of commercial and passenger vehicles jumped 6 percent in the day’s trade upon receiving an order worth Rs. 7,500 Crores for supply of 1,390 Electric Buses.
With a market capitalization of Rs. 23,354 Crores, the shares of JBM Auto Limited were trading at Rs. 1,974, up 5.23 percent from its previous day’s close price of Rs. 1,875.20.
JBM Auto Limited’s subsidiary JBM Ecolife Mobility Private Limited has been declared as the L1 bidder and awarded the tender as a bus operator worth Rs. 7,500 Crores from Convergence Energy Services Limited.
The said order/tender is for the Procurement, Supply, Operation, and Maintenance of 1,390 Electric Buses and the development of allied electric and civil Infrastructure under the PM-eBus Sewa Scheme. The tender is to be executed within 12-18 months.
JBM Auto Limited is an original equipment manufacturer engaged in the production of passenger buses, offering end-to-end solutions for various types of commercial and passenger vehicles, maintenance contracts for Buses, manufacturing, and selling sheet metal components, tools, dies & molds, including the sale of spare parts, and accessories.
As of FY23, JBM Auto Limited generated Rs. 549.74 Crores from the EV buses, it had a range of 5,000 electric buses across multiple applications and at several expos it launched new variants catering to different categories of consumers.
Its revenue from operations grew by 20.81 percent from Rs. 3,193 Crores in FY22 to Rs. 3,857 Crores in FY23, accompanied by profits of Rs. 156 Crores to Rs. 125 Crores.
Written by: Bharath K.S
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