Corporate Feature     

Published: August 15, 2023
Updated: August 15, 2023

Servotech Power Systems

Cutting-edge player in EVs

Servotech Power Systems, a well-known manufacturer of EV chargers and solar products, is diversifying into the manufacture and trading of batteries. To undertake this business, it has floated a wholly-owned subsidiary styled Techbee Green Energy Pvt Ltd. The new project will be implemented within a year or so.

Meanwhile, the company has put up a gratifying performance for Q1 of fiscal year 2024, with revenues shooting up by 148.9 per cent to Rs 79.8 crore as compared to Rs 32.1 crore in the corresponding quarter of fiscal 2023. EBITDA too has taken a high jump of 415.3 per cent – from Rs 1.4 crore in Q1 of FY2023 to Rs 7.1 crore in Q1 of FY2024, with margins improving in the process from 4.3 per cent to 8.9 per cent. An elated Raman Bhatia, Managing Director, attribtues this stellar show to the increased scale of operations and the rise in high-value products. Meanwhile, the profit at net level surged from Rs 0.4 per cent in Q1 FY2023 to Rs 4.1 crore in Q1 this year, with margins improving from 1.1 per cent to 5.1 per cent.

Commenting on this performance, Mr Bhatia reveals with a glint in his eye, “The first quarter this year has witnessed a remarkable expansion of business, primarily driven by the introduction of cutting-edge technology-driven solutions in the electric vehicles (EVs) and solar sectors. The company has maintained a strong position as a key player in the sustainable energy sector, grabbing a 25 per cent marketshare in the EV charging solutions segment. Moreover, our solar solutions, known for their easy installation, cost-effectiveness and dependability, have gained significant momentum in the market, largely due to the enthusiastic adoption by our targeted customer base.

DIGITAL THRUST

Maintaining that “we are immensely proud of our role in advancing the EV charging infrastructure and solar industry, and are dedicated to continuous innovation and enhancement,” Mr Bhatia adds, “Further, in order to remain ahead of the competition, we implemented SAP S/4 HANA in a record-breaking time of 75 days. This achievement is a testimony to our dedication to driving digital innovation.”

Pointing out that “we steadfastly uphold our vision of delivering customer-centric solutions in the realm of sustainable, clean and green energy,” Mr Bhatia adds, “In order to accomplish this, we have expanded our product portfolio and streamlined our processes for greater efficiency. As we venture into the future, we acknowledge the substantial potential within the markets we serve and find ourselves in an advantageous position to seize growth opportunities, as evidenced by our strong order pipeline.”

FOREIGN FORAY

Earlier, Servotech Power Systems had entered into a partnership with Dubai-based Al Ansari Motors to provide electric vehicle (EV) charging solutions to the Middle Eastern and African markets.

The two entities have signed a sole distributorship agreement, which would see Al Ansari bring Servotech’s EV charging capabilities to the potential electric vehicle-adopting segment in these markets. Al Ansari Motors LLC is involved in motor vehicles and accessories trading.