Servotech Sees Revenue Growth of 115.2% in Q2 FY24 Against Q2 FY23

By Saur News Bureau/ Updated On Tue, Oct 31st, 2023

Highlights :

EBITDA also looks positive, reporting growth of 148.2% to ₹597.01 lakhs in Q2 FY24 from ₹240.50 lakhs in Q2 FY23, with margin expansion of 91 basis points, led by higher share of products having superior margins.

Servotech Sees Revenue Growth of 115.2% in Q2 FY24 Against Q2 FY23

Servotech Power Systems Ltd. (NSE: SERVOTECH), a manufacturer of solar products and electric vehicle (EV) chargers, as well as power-backup and smart power solutions, has disclosed its financial performance for the quarter ending September 30, 2023 during the Board of Directors meeting on October 30, 2023.

The firm witnessed a revenue growth of 115.2% pegged at ₹8,659.09 lakhs in Q2 FY24 when compared to ₹4,023.96 lakhs in Q2 FY23. Several reasons are attributed to the growth, including the strong demand for EV chargers due to the rapid uptake and increased demand of electric vehicles along with the increasing need for improved EV infrastructure. The firm says that in the solar division, it continued to gain traction for products driven by increasing focus on adopting sustainable energy for energy needs.

EBITDA also looks positive, reporting growth of 148.2% to ₹597.01 lakhs in Q2 FY24 from ₹240.50 lakhs in Q2 FY23, with margin expansion of 91 basis points, led by higher share of products having superior margins. Additionally, PAT for Q2 FY24 stood at ₹312.41 lakhs, up from ₹78.04 lakhs in Q2 FY23, with margins increasing to 3.60% from 1.94% in the corresponding period.

In terms of H1 performance, revenue increased by 130.1% and stood at ₹16,640.44 lakhs in H1 FY24 compared to ₹7,230.48 lakhs in H1 FY23. EBITDA increased by 245.8% from ₹378.86 lakhs in H1 FY23 to ₹1,309.92 lakhs in H1 FY24, and margins stood at 7.87% from 5.24% during the same period due to increase in scale of operations. PAT increased by 536.8% and stood at ₹723.37 lakhs in H1 FY24 compared to ₹113.60 lakhs in H1 FY23, margins improved to 4.35% from 1.57% during the same period.

Raman Bhatia, Managing Director, Servotech Power Systems Ltd., said, “It’s worth noting that our strategic partnerships and collaborations with the Uttar Pradesh government and other esteemed institutions like EMCOR, IIT Roorkee, in alignment with the ‘Make in India’ initiative, have been pivotal in reshaping the landscape of both the EV charging infrastructure and the solar industry.”