Smart meter stock jumps 3% after launching new smart energy meter facility in Assam

Shares of this small-cap stock involved in manufacturing and providing Metering and Metering Solutions surged 3 percent following the company’s announcement of setting up a Smart Electronic Energy Meter facility in Assam. 

Price Variation 

During Monday’s trading session, the share price of Genus Power Infrastructures Ltd. reached an intra-day high of Rs.429.20 per share, rising 3.12 percent from its previous close of Rs.416.20 apiece. Over the past five years, the stock has delivered returns exceeding 1,700 percent. 

What Happened 

Genus Power Infrastructures Ltd has recently opened a manufacturing facility in Assam for Smart Electronic Energy Meters. The facility was inaugurated on December 11, 2024, and commercial production began on December 13, 2024. 

This move is part of the company’s strategy to strengthen its production capacity and support the growing demand for smart metering solutions in India, in line with the “Make in India” initiative. 

Business Segments 

Genus Power Infrastructures Ltd. operates across two key business segments: The metering segment, and the Strategic investment segment. For the quarter ended September 2024, the company generated approximately 99 percent of its revenue from the Metering business and 1 percent from its Strategic investment activities. 

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Order Book & Guidance 

As of September 30, 2024, the total order book of Genus Power Infrastructures Ltd stands at approximately Rs.31,776 crores, net of taxes, with contracts extending over 8 to 10 years. Full-scale execution is anticipated to pick up from Q3 FY ’25. 

The management aims to achieve a revenue target of Rs.2,500 crores for FY ’25, with an expected EBITDA margin of 15 to 16 percent. 

Capacity Expansion 

Genus Power Infrastructures Ltd. currently can produce around 1 million meters per month and is expanding its Guwahati plant to increase production to 1.5 crore electronic meters annually. 

The company expects around 60 to 70 million smart meters to be installed in India in the current financial year, which will enhance its market position and revenue growth, establishing it as a prominent player in the smart metering sector.

Additionally, the company is exploring new opportunities in the gas and water metering markets, both domestically and internationally, and has received substantial inquiries from third-party AMISPs. However, the management does not count Letters of Intent (LOIs) as part of the active order book. 

Financials 

With a market capitalization of Rs.12,730 crores, Genus Power Infrastructures Ltd. announced consolidated revenue of Rs.487 crores in Q2 FY25, rising xx percent from Rs.259 crore in Q2 FY24. Additionally, the net profit surged by 70 percent, reaching Rs.83 crores, up from Rs.49 crores during the corresponding period last year. 

About the Company 

Genus Power Infrastructures Limited, part of the Kailash Group manufactures metering solutions and undertakes turnkey engineering, construction, and contract projects. Additionally, it engages in strategic investments. 

Written by – Siddesh S Raskar 

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