Solar Pumps Manufacturer Secures 1100 Grid-Connected Agriculture Pumps Order Worth Rs 31 Crore from UPNEDA under KUSUM Component C-1 Scheme

The stock gave multibagger returns of over 130 per cent from its 52-week low of Rs 73 per share.

Servotech Renewable Power System Ltd (Formerly known as Servotech Power Systems Ltd), India’s leading solar solutions and EV Charger manufacturer has secured an order of approx. 1100 Grid-connected Agriculture Pumps under “KUSUM Component C-1 Scheme” from Uttar Pradesh New and Renewable Energy Development Authority (UPNEDA), Govt. of Uttar Pradesh. This project will be a huge step towards solarise farming of Uttar Pradesh and driving India closer to being a solar-powered nation.

The project valued at around Rs 31 crore will involve manufacturing, supplying, installing, testing & commissioning Grid Connected Agriculture Pumps along with solar power plants. Furthermore, the project involves Servotech providing comprehensive warranty maintenance for the next 5 years for pumps ranging from 2 HP, 3 HP and 5 HP with solar power plant with capacities of 3 kW, 4.5 kW, and 7.5 kW, for a total of 1094 solar pumps across Uttar Pradesh contributing to the state’s renewable energy goals.

Servotech Renewable Power System Ltd (Formerly known as Servotech Power Systems Ltd) is an NSE-listed organization that develops tech-enabled EV Charging and solar solutions leveraging their over two decades of experience and expertise in the electronics space. The company offer an extensive range of AC and DC chargers which are compatible with different EVs and serve multiple applications such as commercial and domestic. With our comprehensive engineering capabilities, we plan to play a pivotal role in developing India's EV tech infrastructure. As a trusted brand with a strong pan-India presence, its legacy is marked by proven innovations and the development of advanced technologies.

In Q2FY25, the company witnessed stellar growth. Total revenue surged by 131 per cent, reaching Rs 20,006.93 lakh from Rs 8,659.09 lakh in Q2FY24. EBITDA increased by 223 per cent, reaching Rs 1,929.33 lakh from Rs 597.03 lakh. Net PAT soared by 260 per cent, reaching Rs 1,124.21 lakh compared to Rs 312.40 lakh in Q2FY24. Additionally, in H1FY25, the company witnessed strong growth. Revenue increased by 88 per cent, reaching Rs 31,250.85 lakh from Rs 16,640.45 lakh in H1FY24. EBITDA increased by 112 per cent, reaching Rs 2,783 lakh from Rs 1,309.93 lakh. Net PAT increased by 117 per cent, reaching Rs 1,573.14 lakh from Rs 723.38 lakh in H1FY24.

The company has a market cap of over Rs 3,700 crore. The stock gave multibagger returns of over 130 per cent from its 52-week low of Rs 73 per share. From Rs 0.70 to Rs 169.40 per share, the stock delivered multibagger returns of over 2,400 per cent in 5 years. In October 2024, FIIs increased their stake to 5.95 per cent compared to 5.53 per cent in September 2024. Investors should keep an eye on this multibagger solar stock.

Disclaimer: The article is for informational purposes only and not investment advice.