Servotech Power Systems Ltd, a prominent Indian EV charger manufacturer, has recently announced the formation of a subsidiary named Servotech EV Infra Pvt Ltd. This new company will serve as a Charge Point Operator (CPO), taking responsibility for managing and operating EV charging stations. Servotech Power Systems will continue its focus on manufacturing and supplying EV chargers to Servotech EV Infra, enabling both entities to concentrate on their respective areas of expertise.
With the Indian government targeting a 30% electric vehicle penetration by 2030, the EV charging market is projected to experience significant growth in the coming years. Servotech EV Infra, with its established track record and expertise in EV charging technology, is well-positioned to capitalize on this trend. The company has ambitious plans to establish 5,000 EV charging stations across India, thus contributing to the creation of a robust charging infrastructure and promoting sustainable transportation.
In addition to this strategic move, Servotech Power Systems has recently issued and allotted warrants to several promoters and non-promoters in a preferential issue. These equity shares were priced at Rs 82 per share, generating a total consideration of Rs. 73,80,00,000. Among the shareholders, the promoter of the company acquired 5,00,000 shares amounting to Rs 41,00,00,000.
Servotech Power Systems has also reported impressive financial results for the quarter and half-year ending September 30, 2023. The company’s revenue from operations experienced a year-over-year increase of 114% in Q2FY24 and 133% in H1FY24. Furthermore, EBITDA grew by 148% in Q2FY24 and 246% in H1FY24, while PAT witnessed a remarkable increase of 301% in Q2FY24 and 538% in H1FY24. These figures reflect the company’s strong performance across all segments and its ability to capitalize on the growing demand for EV chargers and related services.
Moreover, Servotech Power Systems has recently filed two patents for innovative energy management technologies. The first patent, titled “System and Method for Controlling Load Shifting by Third Party,” allows third-party entities to optimize the use of Battery Energy Storage Systems (BESS) for grid services. The second patent, titled “System and Method for Effective Energy Channelization from a Renewable Energy Source,” focuses on efficient utilization of renewable energy by storing it in BESS during peak demand. These technologies have wide-ranging applications, including solar and electric vehicle charging systems.
With regards to its stock performance, Servotech Power Systems saw a 1.35% decline in share price, closing at Rs 76.50 per share today. The intraday high and low were recorded at Rs 79.50 and Rs 74.8, respectively. The company currently boasts a market capitalization of over Rs 1,600 crore.
Investors and enthusiasts should closely monitor Servotech Power Systems as it has delivered remarkable returns over the past several years, with a 385% increase in stock value in just one year and a remarkable 3,300% increase in three years. This micro-cap stock shows immense potential for growth and warrants attention.
Disclaimer: This article is intended for informational purposes only and does not constitute investment advice.
1. What is Servotech EV Infra Pvt Ltd?
Servotech EV Infra Pvt Ltd is a subsidiary of Servotech Power Systems Ltd and functions as a Charge Point Operator (CPO) responsible for managing and operating EV charging stations.
2. What are Servotech Power Systems’ plans for the EV charging market?
Servotech Power Systems aims to establish 5,000 EV charging stations across India in the coming years, contributing to the development of a robust EV charging infrastructure.
3. What patents has Servotech Power Systems filed?
Servotech Power Systems has filed two patents focusing on innovative energy management technologies. These patents optimize the use of Battery Energy Storage Systems (BESS) for grid services and enable efficient energy channelization from renewable energy sources.
4. What are the financial results of Servotech Power Systems?
Servotech Power Systems reported strong financial performance with significant year-over-year increases in revenue, EBITDA, and PAT for the quarter and half-year ending September 30, 2023.
5. What is the current stock performance of Servotech Power Systems?
Servotech Power Systems’ stock experienced a 1.35% decline, closing at Rs 76.50 per share. The company’s market capitalization currently exceeds Rs 1,600 crore.