Olectra Greentech
Stock Snapshot
Price Performance
Vista Outlook
Basis of our Recommendation
Olectra Greentech is strategically positioned to capitalize on India's electric mobility transition, bolstered by a robust order book exceeding 10,000 electric buses and a newly commissioned manufacturing facility with a capacity of 5,000 units annually, scalable to 10,000. Management's focus on diversifying into electric tippers and trucks, alongside strong government support through initiatives like FAME-II, underpins a positive revenue outlook. However, the company faces execution risks related to supply chain volatility and dependency on government tenders, which could impact margins. Vista's forecast anticipates revenue growth at a CAGR of 41% through FY26, with margins under pressure due to competitive dynamics. The overall market environment remains supportive, driven by improving pricing power and government initiatives, although rural economic slowdowns pose challenges. Over the next 12-24 months, key opportunities include expanding production capacity and product diversification, while watchpoints include potential supply chain disruptions and the execution of large-scale contracts
Why We Like This Stock
- Strong order book of over 10,000 electric buses provides significant revenue visibility
- New manufacturing facility enhances production capacity, supporting ambitious growth targets
- Government initiatives and favorable market conditions are driving demand for electric vehicles
Things To Watch Out For
- Execution risks related to supply chain volatility could impact production and margins
- Dependency on government tenders for demand may expose the company to procurement delays
- Competitive pressures in the electric vehicle market could constrain margin expansion
Key Parameters
Financial Snapshot
View Technicals Analysis →| Actuals | Forecast | ||||
|---|---|---|---|---|---|
| FY24 | FY25 | FY26 | FY27 | FY28 | |
| Revenue (Cr.) | 1,154 | 1,802 | 2,312 | 2,609 | 3,056 |
| Profit Before Tax (Cr.) | 106 | 190 | 246 | 255 | 306 |
| PBT Margin | 9.2% | 10.5% | 10.6% | 9.8% | 10.0% |
| Net Profit (Cr.) | 80 | 137 | 182 | 188 | 226 |
| Earnings Per Share | 9.6 | 16.7 | 22.2 | 23.0 | 27.5 |
Analyst Recommendations
No analyst recommendations available.
Company Overview
Show Company Profile
Olectra Greentech Limited manufactures and sells electric buses and trucks in India. It operates in two segments, Energy Division and Mobility Division. The company offers electric tippers. It also provides 1200KV, 330-420KV, 220-245KV, 110-132KV, 52-77KV, 33-36KV, 22-28KV, and 10-15KV composite polymer insulators for transmission and distribution; and tonne, bracket tube, and stay arm insulators for railways. The company serves state and central government bodies, and power generation and distribution utilities; private power generation companies; and multinational infrastructure companies. The company was formerly known as Goldstone Infratech Limited and changed its name to Olectra Greentech Limited in July 2018. Olectra Greentech Limited was incorporated in 2000 and is headquartered in Hyderabad, India.