Share of this smallcap company locked 5 percent upper circuit in Friday’s trading session after receiving multiple domestic and export orders worth Rs. 359 crores. In one year, the stock has delivered a massive 697 percent return to its shareholders.
With a market capitalization of Rs. 8,833 crores, the shares of Transformers & Rectifiers India Ltd started Friday’s trading session on a higher note at Rs. 614.50, clocking a 5 percent upper circuit compared to its previous close of Rs. 589.20 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that they had received three orders worth Rs 359 crore, including an export order of transformers worth Rs 161 crore from AL Anwaar International for the supply of T&R” MAKE 90 MVA, 132/33 KV Transformer with Fittings and Accessories worth Rs. 161 crores.
Additionally, the company bagged an order of transformers worth Rs 179 crores from Adani Group for designing, engineering, manufacture, and testing at manufacturer’s works, supply, freight, ETC of 6 Nos of 500 MVA 400 kV Transformers; 3 no of 125 MVAR 400 kV reactors and 16 unit transformers and the entire work shall be completed within 18 Months from date of issue of Notification of Award.
Furthermore, the company received another domestic order of transformers for a total contract value of Rs 19 crore from L&T Group for designing, engineering, manufacturing, testing at manufacturer’s works, supply, freight, ETC of 1 no of 250MVA Transformers and the entire work shall be completed within 15 months from date of issue of notification of award.
Coming onto the company’s financial statements, the revenue zoomed by 39 percent from Rs. 369.35 crores in the December quarter to Rs. 512.7 crores during the March quarter. In addition, the net profits magnified by 165 percent from Rs. 15.72 crores to Rs. 41.62 crores during the same period.
During the year, Transformers & Rectifiers recorded a highest-ever order inflow of Rs. 2,050 crores including export orders of 11 percent and as of March 31st, 2024, the company had an unexecuted order of Rs. 2,582 crores.
The product-wise order book breakup as of FY24 consists of Power Transformers 66 percent, Reactors 29 percent, Furnace Transformers 3 percent, Distribution Transformer 2 percent and Rectifier Transformers 1 percent.
It has a strong customer base with well-known players like Adani Renewables, Tata Power, KEC International, JSW, PowerGrid, Jindal Steel & Power, NTPC, Torrent Power, and many more.
Moreover, the company is aiming to increase export share from the current 11 percent to 15 percent in the near term and 20-25 percent by FY27 and is also planning for capacity expansion and backward integration to achieve operational excellence.
Headquartered in Gujarat, Transformers & Rectifiers was incorporated in 1994. The company is engaged in designing and manufacturing the entire range of transformers viz Power, Distribution, Furnace, Rectifier Transformers & Shunt Reactors for both domestic and international markets.
Written By Vaibhav Patil
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