Rs 32,500 crore order book: Smart prepaid meters manufacturer incorporates 2 new subsidiaries for power infrastructure and distribution business
The stock gave multibagger returns of 100 per cent from its 52-week low; 550 per cent in 3 years and a whopping 1,720 per cent in 5 years.
Genus Power Infrastructures Limited has announced the establishment of two wholly-owned subsidiaries, Genus Shekhawati Smart Metering Solutions SPV Private Limited and Genus Marwar Smart Metering Solutions SPV Private Limited. These subsidiaries are being formed to execute Advanced Metering Infrastructure Service Provider (AMISP) contracts within the power infrastructure and distribution industry. Both SPVs have an authorized and subscribed capital of Rs. 1 lakh each. The acquisition of these subsidiaries falls under related-party transactions, as they are wholly-owned step-down subsidiaries of the Company.
Genus Power Infrastructures Limited has secured a significant boost to its revenue with the receipt of three Letters of Awards (LOAs) totalling Rs 4,469.04 crore. These LOAs are for the appointment of Advanced Metering Infrastructure Service Providers (AMISPs) to design, supply, install and commission Advanced Metering Infrastructure (AMI) systems with FMS for a combined total of approximately 5.59 million Smart Prepaid Meters, system meters, and DT Meters. This achievement follows the company’s earlier success in securing six orders worth Rs 6,534.04 crore for two separate AMI projects, each involving the appointment of AMISPs for similar work but with varying scopes and values. The cumulative value of these orders demonstrates Genus Power Infrastructures Limited’s strong market position and expertise in the AMI sector.
Genus Power Infrastructures Ltd. started in 1995, is amongst the largest players in India’s electricity metering solutions industry, with a 27 per cent market share. The company is the market leader in various kinds of meters and has developed ‘smart metering solutions’, with in house R&D centre. The company also has an engineering, construction and contracts (ECC) division which complements the existing meters business. The company has manufacturing plants across Jaipur, Haridwar and Guwahati with a total installed capacity of over 10 million meters. The company’s key customers include the major State electricity boards (SEBs) and private utilities.
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The company has a market cap of over Rs 12,400 crore and including the above orders, its order book stands at Rs 32,500 crore. According to consolidated Quarterly Results, the net sales increased by 59 per cent to Rs 414.16 crore and net profit increased by 112 per cent to Rs 48.73 crore in Q1FY25 compared to Q1FY24. In its consolidated annual results, the net sales increased by 49 per cent to Rs 1,200.58 crore and net profit increased by 241 per cent to Rs 101.04 crore in FY24 over FY23.
The stock’s 52-week high is Rs 476 per share while its 52-week low is Rs 204.60. The stock gave multibagger returns of 100 per cent from its 52-week low; 550 per cent in 3 years and a whopping 1,720 per cent in 5 years. Investors should keep an eye on this small-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.
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