Stock Market Today: Shakti Pumps, a leading Indian manufacturer of solar pumps and motors, saw its shares jump 4.3% in intraday trade on Thursday, April 2, reaching ₹1,011 apiece following an order win from the Maharashtra Energy Development Agency (MEDA).
In its filing to the exchanges today, the company informed that it has received a Letter of Award from MEDA for 445 off-grid Solar Photovoltaic Water Pumping Systems (SPWPS) at various locations across Maharashtra under Component-B of the PM-KUSUM scheme. The total value of the work order is approximately ₹12.42 crore (inclusive of GST).
The company ended the December quarter with an order book of ₹20,700 million, which it expects to be completed within a year. During the quarter, the company received a Letter of Empanelment for 25,000 pumps, amounting to ₹7,543 million (inclusive of GST) under the Magel Tyala Saur Krushi Pump Scheme in Maharashtra, along with an order for 3,174 pumps from the Haryana Renewable Energy Department (HAREDA), valued at ₹1,163.6 million (inclusive of GST).
Recognized as a leading manufacturer in the Indian pump industry, Shakti Pumps holds a dominant market position with a 25% share in the domestic solar pump market under the PM-KUSUM scheme, an initiative aimed at transforming India’s agriculture sector.
With the diversification of orders beyond the PM-KUSUM scheme, such as the Magel Tyala Saur Krushi Pump Scheme, the company remains confident about its growth prospects. Under the PM-KUSUM scheme, the government estimates that over 14 lakh solar pumps will be installed under Component B (off-grid pumps) and 35 lakh solar pumps under Component C (on-grid pumps).
Recent developments
The company recently invested an additional ₹60 million in its wholly-owned subsidiary, Shakti EV Mobility. It has subscribed to 6 million equity shares with a face value of Rs10 each to expand its operations.
With this investment, the company’s consolidated stake in Shakti EV Mobility has increased to ₹450 million. Shakti EV Mobility is engaged in the manufacturing of various types of electric vehicle motors and charger controllers.
Wealth creator in the Indian stock market
The company’s shares have rebounded sharply in March, gaining 21.36% following a two-month slump. This decline came after a remarkable rally between March 2023 and December 2024, resulting in a stellar gain of 1,483%.
Since November 25, the company’s shares have been trading ex-bonus, following a 5:1 bonus share issuance. Over the last two years, the stock has surged by 1,368%, while in the past five years, it has delivered an extraordinary return of 5,180%.
Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.
