The shares of this leading manufacturer of Power, Furnace and Rectifier Transformers came into focus after the management gave revenue guidance and an order inflow target of Rs 8,000 crore for FY26.
Stock Performance
With a market capitalization of Rs 16,058.87 crore, Transformers and Rectifiers (India) Ltd went up nearly 5 percent in Friday’s trading session to an intraday high of Rs 540.05 per share compared to its previous closing price of Rs 514.35 per share.
Management Guidance
Satyan Mamtora, Managing Director of the Company stated that their revenue guidance for FY25 stands at Rs 2,000 crore and this number would increase to Rs 3,600 crore in FY26.
When looking at the EBITDA margins, the management has given a guidance of 14 percent for FY25 and this figure is set to reach 17 percent in the next two years. This will be accomplished by increasing their operational efficiency rather than hiking prices.
Orderbook Analysis
As of December 2024, the company’s orderbook stands at Rs 3,686 Crores with Q3 order inflow being Rs 631 crores. Apart from this, over Rs 19,000 crores are inquiries under negotiation.
As for the current orderbook, a majority of the company’s orders come from Power Grid and NTPC. The company targets an order inflow of Rs 8,000 crores for FY26.
Capacity Expansion
TRIL’s new plant will be operational by April 1 which will add about 15,000 MVA. The overall capacity will be around 55,000 MVA by Q1 FY26. Currently, they have an installed capacity of 40,000 MVA.
Company Overview
Transformers and Rectifiers (India) Ltd manufactures power, furnace, and rectifier transformers for domestic and international markets. The company primarily offers transformers ranging from 5 MVA to 500 MVA, including auto, generator step-up, power, trackside traction, and auxiliary transformers.
Financial Performance
Looking at the financials, the company reported a strong 51 percent increase in revenue from Rs 369 crore to Rs 559 crore. This was accompanied by a massive 244 percent increase in net profits from Rs 16 crore to Rs 55 crore.
FII investments
Notably, the FII investments in the company have been gaining momentum over the last 5 quarters. From 0.56 percent in September 2023, this number has increased to 11.2 percent as of February 2024.
Written by Shwetha Sairam
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. Dailyraven Technologies or the author are not liable for any losses ca
