Genus Power rallies 5%, hits new high on winning order worth Rs 4,469 crore

Shares of Genus Power Infrastructures hit a new high of Rs 466.25, after rallying 5 per cent to hit the upper circuit on the BSE in Thursday’s intra-day trade. 

Shares of the company surged after it secured orders worth Rs 4,469 crore. With this, the total order book of the company is pegged at about Rs 32,500 crore (net of taxes). These concessions are for 8 to 10 years, which provides clear visibility into the company's robust future growth.

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The counter has seen huge trading volumes, with a combined 1.4 million equity shares changing hands. Moreover, there are cumulative 300,000 shares pending buy orders on the NSE and BSE, together.

 

In the past two months, the stock has rallied 51 per cent. Thus far in the financial year 2024-25 since April, the stock price of Genus Power has more than doubled or zoomed 103 per cent, from Rs 230 levels.

Genus Power Infrastructures, in an exchange filing, announced that its wholly owned subsidiary has received a Letter of Award (LOA) worth Rs 4,469.04 crore (net of taxes), for the appointment of Advanced Metering Infrastructure Service Providers (AMISPs).

The deal includes designing of Advance Metering Infrastructure (AMI) system, with supply, installation and commissioning with FMS of about 5.59 million smart prepaid meters system meters, including DT meters with corresponding energy accounting on Design-Build Finance-Own-Operate-Transfer (DBFOOT) basis, the company added.

Over the past few weeks, the company has won three major orders, cumulatively valued at Rs 11,003.08 crore (net of taxes). These include orders worth Rs 2,925.52 crore and Rs 3,608.52 crore that the company won in the third week of August, coupled with the additional order of Rs 4,469.04 crore that it has secured now.

Genus Power Infrastructures is one of the the largest electricity metering solutions players in India, with around 27 per cent market share. The company is a market leader in various kinds of meters and has developed ‘smart metering solutions’, with a total installed capacity of over 10 million meters.

The company’s key customers include the major state electricity boards (SEB) and private utilities.

That apart, the company's management is optimistic about achieving its stated revenue target of approximately Rs 2,500 crore for FY25, with expected earnings before interest, tax, depreciation and amortization (Ebitda) margin of 15-16 per cent.

“This outlook is based on our strong order book, operational efficiencies, and the anticipated increase in smart meter installations,” the management said.

Furthermore, FY25 is poised to be another transformative year for the company, with Genus Power set to leverage its strong order book, strategic partnerships, and robust market position to achieve significant growth.

The management further said that they remain optimistic about the company's future prospects, driven by a commitment to operational excellence, innovation and sustainable growth.