EBITDA soared by 148.2%, and PAT increased significantly, reflecting the company’s dedication to cutting-edge technology-driven solutions.
Servotech Power Systems Ltd. revealed its financial performance for the quarter ending September 30, 2023, during a recent Board of Directors meeting. In the second quarter of FY24, the company experienced a remarkable revenue surge, recording a 115.2% growth, reaching ₹8,659.09 lakhs, compared to ₹4,023.96 lakhs in the same period in FY23. Several factors drove this impressive growth:
- The EV division witnessed robust demand for EV chargers due to the rapid adoption of electric vehicles and the increasing need for improved EV infrastructure.
- In the Solar division, the company continued to gain traction as more individuals and businesses embraced sustainable energy solutions.
The company also reported a substantial increase in EBITDA, which grew by 148.2% to ₹597.01 lakhs in Q2 FY24 from ₹240.50 lakhs in Q2 FY23. This expansion was accompanied by a 91 basis point margin increase, primarily due to a higher share of products with superior margins. Moreover, the Profit After Tax (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 same period last year.
In the first half of the fiscal year, the company reported a revenue increase of 130.1%, reaching ₹16,640.44 lakhs in H1 FY24 compared to ₹7,230.48 lakhs in H1 FY23. The EBITDA increased significantly by 245.8%, rising from ₹378.86 lakhs in H1 FY23 to ₹1,309.92 lakhs in H1 FY24, with margins improving to 7.87% from 5.24% during the same period. The PAT surged by an impressive 536.8% and stood at ₹723.37 lakhs in H1 FY24, compared to ₹113.60 lakhs in H1 FY23, with margins improving to 4.35% from 1.57% in the same period.
Mr. Raman Bhatia, Managing Director of Servotech Power Systems Ltd., commented on the results, attributing the success to the company’s dedication to delivering cutting-edge, technology-driven solutions in the electric vehicle and solar energy sectors. He highlighted the company’s substantial progress in product quality and efficiency, solidifying its position in the sustainable energy sector. He emphasised the importance of strategic partnerships and collaborations with the Uttar Pradesh government and esteemed institutions like EMCOR and IIT Roorkee, aligning with the ‘Make in India’ initiative. These collaborations have played a pivotal role in reshaping the landscape of EV charging infrastructure and the solar industry. He expressed the company’s commitment to delivering customer-centric solutions in sustainable, clean, and green energy. Servotech Power Systems Ltd. is poised to capitalise on growth opportunities in the dynamic EV Charging Infrastructure and Solar industry while maintaining its leading position.