HPL Electric & Power Ltd. delivers sturdy growth and momentous milestones in Q2FY24 & H1FY24

NEW DELHI, Nov. 16, 2023 /PRNewswire/ -- HPL Electric & Power Ltd. (HPL), a leading Indian electric equipment manufacturer is pleased to announce its financial performance for the second quarter of fiscal year 2023-24 (Q2FY24) and the first half of the year (H1 FY24). The company maintains a strategic direction towards sustainable growth in line with India's gradual adoption of advanced metering solutions, contributing to consistent high value creation.

Consolidated Performance Highlights:

Key Highlights for H1 FY24 (in Rs. Crore):

• Revenue from operations in H1 FY24 reached ₹671.2 Crore, marking a YoY growth of 15.94% compared to ₹597.87 Crore in H1 FY23.
• The Metering & Systems segment demonstrated strong performance, with revenue growing by 23.01% YoY to ₹380.88 Crore in H1 FY24 from ₹309.63 Crore in H1 FY23.
• EBITDA for H1 FY24 amounted to ₹87.22 Crore, reflecting a commendable growth of 15.52% from ₹75.5 Crore in H1 FY23.
• Profit Before Tax (PBT) for H1 FY24 reached ₹27.73 Crore, reflecting a substantial growth of 42.95% from ₹19.4 Crore in H1 FY23.
• Reported PAT (Profit After Tax) for H1 FY24 stood at ₹17.96 Crore, showcasing a significant growth of 42.58% from ₹12.6 Crore in H1 FY23.
• Formed a strategic partnership with Wirepas to enhance smart metering communication infrastructure using RF Mesh technology.

Key Highlights for Q2FY24 (in Rs. Crore):

• Revenue from Operations in Q2FY24 reached ₹350.45 Crore, indicating growth of 15.94% YoY compared to ₹302.28 Crore in Q2FY23.
• EBITDA for Q2FY24 amounted to ₹47.18 Crore, reflecting growth of 24.62% from ₹37.86 Crore in Q2FY23.
• The EBITDA margin in Q2FY24 improved to 13.46%, showing an enhancement of 94 basis points (bps) from 12.52% in Q2FY23.
• Profit Before Tax (PBT) in Q2FY24 reached ₹16.94 Crore, representing a growth of 74.63% from ₹9.7 Crore in Q2FY23.
• Reported PAT (Profit After Tax) for Q2FY24 stood at ₹11.02 Crore, showcasing robust growth of 75.58% from ₹6.28 Crore in Q2FY23.
• The PAT margin in Q2FY24 improved to 3.15%, indicating an enhancement of 107 bps from 2.08% in Q2FY23.
• Order book of over ₹2,000+ crore.

HPL Electric & Power Ltd.'s H1 FY24 performance showcases resilient growth across key financial metrics. The Company's revenue from operations has increased by 15.94% YoY, reaching ₹350.45 crores compared to ₹302.28 crores in H1 FY23. This growth indicates a rising demand for smart metering and the consumer and industrial segments in domestic and global markets. In addition, Reported PAT (Profit After Tax) for Q2FY24 stood at ₹11.02 Crore, with growth of 75.58% from ₹6.28 Crore in Q2FY23.

Mr. Gautam Seth, CFO and Joint Managing Director of HPL Electric & Power Ltd., commented on the Company's performance, "HPL continues its journey of sustained growth, and I'm pleased to say that our Q2FY24 and H1 FY24 results are new milestones in this endeavour. Most notably, in Q2FY24, we achieved a 15.94% increase in Revenue, a 24.62% rise in EBITDA, and a significant 75.58% surge in PAT, reflecting our strong operational and financial performance.

Looking at the future, we're well positioned across all our business segments. Our focus on smart metering solutions aligns seamlessly with India's transition towards advanced metering solutions and efficient energy management, and we are well-positioned to cater to this growing market. Our strategic partnership with Wirepas for RF Mesh technology has further strengthened our capabilities in the smart metering segment, enabling us to offer cutting-edge communication infrastructure.

Our consistent capacity expansion in metering and systems, coupled with the robust performance of our consumer and industrial segments, has contributed to our overall high value growth with positive trends in switchgear, wire & cables, and smart meters.

As we move forward, we expect the positive growth in EBITDA and the improvement in EBITDA margin to continue. Additionally, we are confident about the resurgence and growth of our lighting business by FY24, reflecting our dedication to excellence in each of our business segments.

Our current order book of over ₹2,000+ crore underpins the confidence our customers have in our products and services, and is a solid base to build upon going forward. We look forward to further expanding our presence in the market and delivering high-quality solutions to our valued clients. We also remain dedicated to our  R&D programmes, keeping us on the right side of the innovation curve."

HPL Electric & Power Ltd. is well-equipped to meet rising demand as a legacy provider in both the 'Consumer & Industrial' and 'Metering & Systems' segments. The Company's competitive advantages and strategic partnerships continue to demonstrate its industry-leading position in India's shift towards sustainable energy consumption.

About HPL Electric and Power Ltd

HPL is an established electric equipment manufacturing company in India, manufacturing a diverse portfolio of electric equipment, including metering solutions, switchgear, lighting equipment and wires and cables, catering to consumer and institutional customers in the electrical equipment industry. HPL had the largest market share in India's electricity energy meters market, with one of the most comprehensive portfolios of meters in India and the fifth largest market share for LED lamps during the corresponding period (Source: Frost & Sullivan Report, February 2016). HPL's manufacturing capabilities are supported by an extensive sales and distribution network with a pan-India presence. HPL currently manufactures and sells its products under the umbrella brand 'HPL', registered in India since 1975.

For further information on HPL Electric & Power Limited, see www.hplindia.com

Safe Harbor

This release contains statements that contain 'forward-looking statements' including, but without limitation, statements relating to the implementation of strategic initiatives, and other statements relating to HPL Electric and Power Ltd's future business developments and economic performance. While these forward-looking statements indicate our assessment and future expectations concerning the development of our business, several risks, uncertainties, and other unknown factors could cause actual developments and results to differ materially from our expectations. These factors include, but are not limited to, general market, macro-economic, governmental, and regulatory trends, movements in currency exchange and interest rates, competitive pressures, technological developments, changes in the financial conditions of third parties dealing with us, legislative developments, and other key factors that could affect our business and financial performance. HPL Electric and Power Ltd undertake no obligation to publicly revise any forward-looking statements to reflect future / likely events or circumstances.