SHAKTI PUMPS -Q2 FY 2018-19 - RESULTS REVIEW

SHAKTI PUMPS

Q2 FY 2018-19 RESULTS REVIEW

Board of Directors

1. Mr. Dinesh Patidar, Managing Director

2. Mr. Sunil Patidar, Whole Time Director

PRODUCTS

Solar Pumps;;Submersible Pumps;Submersible Motors; End Suction Pumps; Vertical Multistage Centrifugal Pumps; Open Well Pumps; Pressure Booster Pumps ; Self Priming Pumps; Immersible Pumps - SMTR Series

LATEST NEWS

Shakti Pumps (India) Limited inaugurated its Power Electronics products manufacturing plant in Pithampur, Sector-3, on 7th July 2018. The new facility will manufacture and assemble solar variable frequency drives (VFDs), hybrid inverters, motor starters and other power electronics products

Company has widest range of energy efficient pumps; 1200+ products variants, 5 lacs pumps manufacturing capacity; present in 100+ countries; 550+ dealers/distributors in 19 states; highly rated; one of India’s largest solar pump players; certified ISO 9001, 14001 and OHSAS 18000

Total revenue : 2017-18 : 440 cr (431 cr 2016-17)

PAT : 2017-18 Rs.35 cr(22 cr)

EPS : 18.56 (11.78)

CHAIRMAN’S MESSAGE :ANNUAL REPORT : EXTRACTS

Gross revenues increased by 1.76% to Rs. 436.60 Crs in 2017-18, compared with Rs. 429.04 Crs in 2016-17. 

Operating profit (EBITDA) increased by 29.36% to Rs. 80.93 Crs in 2017-18 from Rs. 62.56 Crs in 2016-17. 

Net profit stood at Rs. 34.11 Crs in comparison to Rs. 2,164 Crs in the previous financial year which has increased by 58%.

The domestic business was similar to last year. Exports have grown to 130 Cr, with an increase of 11%. With various announcements like KUSUM Yojana, International Solar Alliance, the State Government’s Solar Pumping projects, solar pumping has become a key area for the company. 

Company will benefit from the opportunities provided by Kusum, an initiative by Government of India, in which MNRE is looking to spend Rs 50,000 crores in the next 3-4 years primarily on solar pumping solutions and solar energy generations. The prime minister of India wants to double the farmers’ income and Kusum Yojna is one of the step towards it. Therefore, farmers can get quality electricity and also sell the excess electricity to the government.

ISA is pursuing price discovery tender for aggregated demands (globally/continent-wise) for 500,000 solar pumps. Shakti is also looking to export solar pumping solutions in global markets like Africa, Asia, etc.

Shakti incorporated its subsidiary in China and is about to commence Bangladesh with the prime objective of exports of solar and energy efficient pumps. Also, to source some non value added raw materials from China. Shakti is in the process to strengthen its relationship with existing dealers and appoint new partners for future growth in other geographies.

Company wants to pay dividend to the shareholders at Rs. 3.70 per share (37% of face value).

company has commissioned a fully automatic plant named electronic and control with the help of Japanese technology, having the production capacity of 100,000 VFD per year. The company is inclined to move towards solar inverters and starters.

Future of the industry is more keenly focused on the word ‘solar’. Shakti is continually innovating and introducing new products and pumping solutions that satisfy the market’s needs. Shakti is better placed today than ever before to garner the immense growth opportunity in the industry

The products belonging to the company caters to almost all aquatic-related sectors, like agriculture, water processing, industrial, construction, hospitality, households and horticulture situated in - Pithampur (M. P.), Shakti Pumps, a leading player in Solar Pumping Solutions, commissioned its new Electronic and Control division, at their plant in Pithampur, M.P., India. This is a first-of-its-kind fully automated plant, that uses cutting-edge Japanese techniques and manufacturing methods.

KUSUM provides for:

• Installation of grid-connected solar power plants, each having a capacity of up to 2 MW in the rural areas.

• Installation of standalone off-grid solar water pumps to fulfill irrigation needs of farmers not connected to the grid.

• Solarisation of existing grid-connected agriculture pumps to make farmers independent of grid supply and also enable them to sell surplus solar power generated to DISCOM and get extra income.

• Solarisation of tube-wells and lift irrigation projects of Government sector.

SHAKTI PUMPS has declared good results for Q2 FY 18-19:

Total Revenue at 139 Cr is UP 105% YOY and 45% QoQ

NET PROFIT at Rs.9.27 cr is up 207% YoY and 40% QoQ.

Comparing the first half of current year with first half of last year . total revenue at Rs.237 Cr is up 49% 

Net profit at Rs.15.91 cr is up by 102%.

Equity stands at Rs.18.38 cr. Diluted EPS for Q2 is Rs.5.04 on a FV of rs.10.

Market price is Rs.420.

Volumes of transactions are good

52 week Low is Rs.291 and 52 w High is 790

One year before price is Rs.492 against current price of Rs.420 and there is a loss of 15% in price as of date.

SHAKTI PUMPS	Q2 FY 19	Q1 FY 19	Q2 FY 18	YOY	QOQ	HY SEP 18	HY SEP17	HYOHY
TOTAL REVENUE	138.72	96.01	67.7	104.9	44.48	237.19	159.01	49.17
TOTAL EXP	126.26	89.62	63.33	99.37	40.88	215.88	147.38	46.48
PBT	12.81	8.49	4.92	160.37	50.88	21.31	11.62	83.39
NET PROFIT	9.27	6.64	3.02	206.95	39.61	15.91	7.88	101.9
EQUITY FV10	18.38	18.38	18.38	0	0	18.38	18.38	0
DIL.EPS	5.04	3.61	1.64	207.32	39.61	8.66	4.27	102.81
MP	420
VOLUME	151000
52 W L H	291	790
FV	10
16.10.18	1 week	2 week	1 month	3 month	6 month	9 month	1 year
Price	312.05	314.6	416.95	413.25	754.45	488.15	492.35
Gain / Loss	34.56%	33.47%	0.71%	1.61%	-44.34%	-13.98%	-14.72%
BORROWINGS	123.48 AS ON 30.09.18
	85.34 AS ON SEP 2017
OPTG SEGMENTS
INDIA
USA
FZE
AUSTRALIA
CHINA