Power stock jumps 7% after winning ₹18 Cr order for supply of essential boiler parts

In the dynamic realm of power infrastructure, a leading energy solutions provider has recently secured a significant Rs. 18.27 crore purchase order extension from MP Power Generating for supplying essential boiler parts for a power station. This strategic development not only underscores the company’s technical expertise but also demonstrates its ongoing commitment to enhancing power generation capabilities.

Share Price Movement 

The share price of  GE Power India Limited went up by 7.45 percent to Rs. 457 per share on Monday, an increase from its previous close of Rs. 425.3 per share. The market capitalisation now stands at approximately Rs. 2,952 crore as of December 16, 2024.

What Happened 

GE Power India Limited has received an extension of a purchase order worth INR 18.27 crores from MP Power Generating Co. Ltd. for the supply of boiler parts at Sanjay Gandhi Power Station. The order is a domestic contract with a delivery period of 3.5 months.

Q2 Financial Highlights

According to its recent filing, in the quarter ending September 2024, GE Power India’s consolidated revenue from operations has declined by 10 percent YOY from Rs. 217 crore in Q2 FY24 to Rs. 241 crore in Q2 FY25 and declined by 11.7 percent QoQ from Rs. 246 crore in Q4 FY24. 

The company’s consolidated net loss has gone from a loss of Rs. 61 crore in Q2 FY24 to  a profit of Rs. 67 crore in Q2 FY25.

Market Outlook 

The power industry in India is set to expand, driven by a growing population, increasing electrification, and higher per-capita electricity consumption. With an installed power capacity of 442.85 GW as of April 2024 and a 9.5% rise in power consumption in FY23, the sector is poised for growth.

The government’s ambitious goal to boost non-fossil fuel-based electricity capacity to 500 GW by 2031–32 highlights a shift towards renewable energy. Recent budget allocations indicate a strong focus on green energy, including solar power and green hydrogen, to support this transition and address the coal demand-supply mismatch.

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Shareholding Pattern

As of the September 2024 shareholding pattern, GE Power India Limited is primarily held by the promoters at 68.58 percent, foreign institutional investors hold 0.43 percent, and the public with 27.79 percent.

About Company 

GE Power India Limited is a key player in the Indian energy sector, specialising in power generation solutions with a strong focus on emissions control and sustainability. Incorporated on September 2, 1992, as Asea Brown Boveri Management Limited, the company rebranded as GE Power India Ltd. in 201624. Its headquarters are located in Noida, India, where it is  operating within the electric equipment sector. The company focuses on engineering, procurement, manufacturing, construction, and servicing of power plants and equipment.

GE Power India’s diverse operations span various business segments. It provides thermal, hydro, and gas power generation solutions and manufactures critical components like boilers, mills, and air quality control systems. The company also offers renovation and modernisation services for existing power plants. Key developments include partnerships with NTPC Limited to enhance energy efficiency and reduce carbon emissions, along with securing numerous contracts for both domestic and international projects that highlight its engineering and project management expertise.

GE Power India Limited remains committed to advancing sustainable energy practices. Under the leadership of Mr. Prashant Jain, the company continues to innovate and deliver solutions that meet the increasing electricity demands in India. With extensive experience in the energy sector, GE Power India is well-positioned to lead the market in providing reliable and eco-friendly power solutions.

Written By Fazal Ul Vahab C H

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