Power stock hits 5% upper circuit after signing agreement with Energy Vault for battery storage systems

The shares of a small-cap Infrastructure company that operates in the engineering, procurement, and construction (EPC) segment and is focused on providing end-to-end water and waste water management solutions hit a 5 percent upper circuit in today’s trade after signing an agreement with Energy Vault, USA for Battery Energy Storage Systems. 

Price Action

The shares of  SPML Infra Limited, with a total market capitalization of Rs 1,249.07 Crore on Thursday, hit a 5 percent upper circuit at Rs 175.8 per share in today’s trading session. The shares have generated 35 percent returns in the past year, a strong 177 percent return in the past three years, and a stellar 3,416 percent return in the past five years. 

What Happened

As per a press release dated April 3, 2025, SPML Infra Ltd announced that it has signed an exclusive agreement with Energy Vault, USA, a global leader in sustainable energy storage solutions. This agreement will bolster the manufacturing and installation of Energy Storage Systems in India through a technology transfer to SPML.  

This agreement will boost the growth of the country’s green energy sector through Energy Vault’s cutting-edge B-VAULT Battery Energy Storage System (BESS) technology and VaultOS EMS software. 

B-VAULT is a group of fully integrated battery energy storage solutions specifically designed for reliability, flexibility, and energy efficiency. It is engineered to meet short- to medium-duration energy storage requirements and provides customers with optionality regarding both battery and inverter suppliers. 

Impact on India’s Energy Infrastructure

This agreement will strengthen India’s energy infrastructure by boosting domestic production and deployment, improving grid stability, and facilitating the seamless integration of renewable energy. Additionally, it will increase the availability of reliable and affordable clean energy for consumers nationwide.

This partnership is expected to enable multi-gigawatt hours (GWh) of BESS deployments by SPML, contributing to India’s renewable energy scale-up and energy storage needs. Through this agreement, a minimum volume of 500 MWh is projected over the next 12 months, with a targeted BESS volume of 30-40+ GWh anticipated to be manufactured over the next 10 years.

Also read: Power stock jumps 6% after securing ₹382 Million worth order from NTPC Ltd

Management Commentary

Mr. Subhash Sethi, Chairman, SPML Infra Limited, stated that the company, through this partnership, is aiming to strengthen grid stability, accelerate renewable energy adoption, and encourage domestic manufacturing, aligning with the ‘Make in India’ initiative.  

Industry overview

India’s energy storage market is set for significant growth, driven by the country’s goal of 500 GW of non-fossil fuel-based electricity by 2030. The National Electricity Plan 2023 projects a national energy storage capacity of 236.22 GWh by 2031-32, with a market size of USD 57 billion, potentially reaching USD 443 billion by 2047. This growth is fueled by increasing demand, the benefits of energy storage, and government policies requiring 10 percent battery storage capacity in new solar and wind projects.

Financials

The company reported a decline of 26 percent YoY in revenue from operations from Rs 252.24 Crore in Q3FY24 to Rs 186.27 Crore in Q3FY25. However, their Net profit increased by 796 percent YoY from Rs 1.14 Crore to Rs 9.94 Crore over the same period. 

About  SPML Infra Ltd

SPML Infra Ltd is engaged in infrastructure development across sectors like power, water, environment, and technology. It has executed over 700 projects, creating critical infrastructure, including drinking water facilities, wastewater treatment, integrated sewerage networks, municipal waste management, power transmission and distribution, substations, rural electrification, and smart city solutions.

Written By Adhvaitha Nayani

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