This Smart Meter stock, deals in the business of offering Total and Customised Electrical Solutions in switchgear, Cables & Wires, and Energy Management, plans to earn revenue upto Rs. 700 crore & sell 1,000 DC chargers in FY26.
Price Movement
In Friday’s trading session, Gensol Engineering‘s share price was up by 3.31 percent and closed at Rs. 584.90 from the previous close of Rs. 566.15 per share with a market capitalization of Rs. 2,222.76 crores. In the past year, the stock has given around 55 percent negative returns and underperformed the Nifty Index.
Guidance & Future Plans
The company expects a 20 percent revenue increase in FY26 across its existing businesses and the smart meter segment will likely contribute Rs. 600 to 700 crore in the same period. Management aims to achieve at least an 11 percent EBITDA margin by improving operational efficiencies. RoCE is aimed to reach 18 percent in the coming years, rising by 150 to 200 basic points in FY26.
Ultrafast Chargers Limited, an investment from Salzer’s subsidiary Kaycee Industries plans to manufacture and sell 1,000 DC fast chargers, generating Rs. 80 to 90 crore in revenue in FY26.
The Saudi Arabia subsidiary has completed incorporation, and the industrial facility setup will begin soon after space allocation. This plan is related to meeting the local demand and providing duty-free access to other GCC countries by setting up a manufacturing facility in Saudi Arabia. Currently, they export to OEMs in Saudi.
Financial Performance
Their Q3FY25 results show revenue from operations of Rs. 341 crore which increased by 26.29 percent year on year, from Rs. 270 crore in Q3FY24. Its net profit increased by 23 percent year on year, from Rs. 13 crores in Q3FY24 to Rs. 16 crores in Q3FY25.
Business & Geographical Segments
The company recognizes its revenue from operations under Electrical installation products as of the December 2024 quarter. They earn 60.8 percent from Industrial Switchgear, 32.4 percent from Wire & Cable, and the remaining 6.8 percent from Building Segment as of Q3FY25.
Geographically, they earn 69.3 percent from India, 8.2 percent from North and South America, 6.8 percent from Europe, 13.5 percent from Asia (excluding India,) and 2.3 percent from the Middle East for the December 2024 quarter.
Company Overview
Salzer Electronics Limited was founded in 1985 and specializes in manufacturing electrical installation products like CAM-operated rotary switches and switchgear and serves diverse sectors globally.
Written by Santhosh S
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