| – | Strong Growth seen in Solar EPC ad export business. Major contributor in export business is USA. Revenue is up by 24.5%. Main supply in USA is of water supply pumps and have started selling solar pumps. Kusum Business in this quarter is 223 crores. |
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| – | Margins remain subdued due to high input costs. Margins are low as solar pumps prices have increased. |
| – | With the ongoing challenges, there are few positive developments under the PM-KUSUM Scheme. The Solar Energy Corporation of India Limited (SECI) has issued new tenders for over 6.66 lakh solar pumps in the month of December 2022 and bidding for these new tenders is expected to be completed by March 2023. Orders will start coming in Q1 FY24. (Check order intake of Q1FY24) |
| – | They have strong presence in states like MP, Rajasthan, Haryana, and Punjab. 5 lakh pumps requirement is only from these states. They will be able to achieve 30-35% Market share. |
| – | Shakti Pumps and Tatas are only eligible for giving tenders in all states as there’s a requirement of selling 40000 pumps. |
| – | Will get better rates than KUSUM scheme as eligibility criteria is a little stringent and better for organized players. |
| – | Varied Range of Applications: Solar, Agriculture, Industrial, Commercial, Domestic, Sewage and Drainage. |
| – | Capacity utilization is very low only at 30%. |
| – | R&D setup: For the whole company, we have 150 R&D engineers working. We have done very good job in this power electronic space. We have developed a VFD Solar Controller, Solar Invertor and our motors are very good efficient motors. Worldwide, we are also in good position, as you can compare our motors with any Japanese motors. |
| – | Haryana Govt order which is on hold will start to get revenues in Q1FY24. |
| – | Shakti Green Co. will start operations after FY24. Motors are still in testing phase. Planning to launch EV motors and controllers. |
| – | Order for Uganda will start execution in Q4 or Q1 FY24 as payment is pending from the government. |
| – | In Q1, they suggested revenues will grow 25-30%. But doesn’t seem to be the case looking at 9M results. |
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