The shares of the leading player electric mobility sector are in focus after the company bagged a prestigious work order from Himachal Road Transport Corporation (HRTC) for Rs 424.01 crore.
Price Movement
With a market capitalization of Rs 8,952.55 crore, on Wednesday, the shares of Olectra Greentech Ltd closed at Rs 1,090.70 per share, decreased by around 1.15 percent as compared to the previous closing of Rs 1,103.35 apiece.
Matter Explanation
According to the company filing, Olectra Greentech Ltd has bagged a prestigious work order from Himachal Road Transport Corporation (HRTC) for the supply of 297 Electric Buses on an outright sale basis and maintenance thereof worth Rs 424.01 crore. These Buses shall be delivered over 11 months from the date of the LOA.
Financial Performance
The company reported an increase of 50 percent YoY in revenue from operations from Rs 342 crore in Q3FY24 to Rs 515 crore in Q3FY25. Their Net profits increased by 74 percent YoY from Rs 27 Crore to Rs 47 crore over the same period.
Manufacturing and Capacity Expansion
As of December 31, 2024, the company has delivered 2,448 electric buses and 51 tippers. With a net order book of 10,224 buses and 282 delivered in Q3 FY25, it’s doubling monthly production from 200 to 400 units, aiming for a 5,000 capacity, targeting 10,000 annually next year.
Also read: Indian Companies Going Global: 4 Stocks Making Big International Moves to keep an eye on
Order Book Insights
The company’s order book stands strong at Rs 15,000–16,000 crores, with an average sales realization of Rs 1.5 crores per bus. Major orders include 5,000 buses for Mumbai BEST and 2,800 for MSRTC, highlighting robust demand and a healthy pipeline driving future revenue visibility in the electric and transport segment.
CAPEX Plans
The company has announced a CAPEX plan of Rs 750 crores, with Rs 500 crores to be funded through debt and Rs 250 crores via internal accruals. A debt drawdown is expected in the next 4–5 months to finance upcoming investments in plant and machinery, supporting future expansion and growth.
Future Guidance
The company has set a conservative target of 2,500 buses for FY’26, with clearer guidance expected in the Q4 earnings call. It is exploring new opportunities like battery energy storage systems and electric trucks, while also working with robotic partners to automate its new plant, set to open in six months.
Market Position
Olectra Greentech, holding the largest market share in India’s electric bus segment, has covered over 30 crore kilometers. As its fleet expands, the company expects rising revenue from Annual Maintenance Contracts (AMC), which currently contribute around 5% of total revenue, positioning it for steady long-term growth in the EV sector.
Company Profile
Olectra Greentech Limited is an India-based company primarily engaged in the manufacturing of composite polymer insulators and electrical buses. The Company operates through three segments: Insulator division, e-bus division, and e-truck division.
Written by Abhishek Singh
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
