.

The shares of the prominent air conditioner solution provider gained up to 1.14 percent after the company received PLI disbursal approval for AC components from the government. 

With a market capitalization of Rs 12,836.13 crore, the shares of Amber Enterprises India Ltd were trading at Rs 3,809.65 per share, increasing around 1.22 percent as compared to the previous closing price of Rs 3,763.85 apiece. 

According to the company filing, Amber Enterprises India Ltd has been permitted to get PLI incentives for producing AC components under the Indian government’s transformational Production Linked Incentive (PLI) plan. 

Looking at the company’s financials, Amber Enterprises India Ltd’s sales decreased by 4% from Rs 1,348.31 crore in Q3FY23 to Rs 1,294.76 crore in Q3FY24. During the same time frame, net profit decreased by 105% from Rs 15.08 crore to Rs 0.51 crore. 

Amber Enterprises, a key participant in the Indian Room Air Conditioner (RAC) original equipment manufacturer (OEM) sector, has achieved great success, with over 70% market share in the RAC OEM business and 26.5% of the entire RAC market in FY2023. 

During the period of April to December, the consumer durables segment remained the dominant sales driver, accounting for 72% of total company sales, with railroads contributing the remaining 9%. Room air conditioners currently account for around 38% of the combined revenue. 

In the third quarter of FY24, the business purchased a 60% share in Ascent Circuits Pvt. Ltd, a major PCB maker with a production site in Hosur, Tamil Nadu. 

Furthermore, the Amber business has inked a Memorandum of Understanding (MoU) with Korea Circuit, a subsidiary of South Korea’s YoungPoong business, via its latest venture ‘Ascent Circuits.’ This alliance seeks to produce Flex, HDI, and semiconductor substrate PCBs, boosting PCB manufacturing in India. 

Amber Enterprises India Limited provides solutions to the air conditioner original equipment manufacturer (OEM) and original design manufacturer (ODM) industries. It designs and produces full refrigeration and air conditioning systems (RACS), including window air conditioners (WACS) and interior units (IDUS). 

Written by:- Abhishek Singh

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 caused as a result of the decision based on this article. Please consult your investment advisor before investing.