You are here » Home » Companies » Company Overview » Shakti Pumps (India) Ltd

Shakti Pumps (India) Ltd.

BSE: 531431 Sector: Engineering
NSE: SHAKTIPUMP ISIN Code: INE908D01010
BSE 00:00 | 20 Sep 310.90 8.85
(2.93%)
OPEN

302.65

HIGH

314.25

LOW

302.00

NSE 00:00 | 20 Sep 310.95 8.25
(2.73%)
OPEN

305.00

HIGH

315.00

LOW

301.00

OPEN 302.65
PREVIOUS CLOSE 302.05
VOLUME 5540
52-Week high 479.90
52-Week low 251.25
P/E 19.33
Mkt Cap.(Rs cr) 571
Buy Price 310.90
Buy Qty 200.00
Sell Price 311.20
Sell Qty 66.00
OPEN 302.65
CLOSE 302.05
VOLUME 5540
52-Week high 479.90
52-Week low 251.25
P/E 19.33
Mkt Cap.(Rs cr) 571
Buy Price 310.90
Buy Qty 200.00
Sell Price 311.20
Sell Qty 66.00

Shakti Pumps (India) Ltd. (SHAKTIPUMP) - Chairman Speech

Company chairman speech

Dear Shareholders

It gives me immense pleasure to share with all the stakeholders the Annual report ofthe company for the financial year 2018.

Financially the company had an overall healthy performance considering the volatileeconomic and industrial scenario. Gross revenues increased by 1.76% to Rs. 43660 Lakhs in2017-18 compared with Rs. 42904 Lakhs reported in 2016-17. Operating profit (EBITDA)increased by 29.36% to Rs. 8093 Lakhs in during 2017-18 from Rs. 6256 Lakhs in 2016-17.Net profit for the year under review at Rs. 3411 Lakhs in comparison to Rs. 2164 Lakhsin the previous financial year which has increased by 58%.

Our domestic business was almost similar to last year. Exports have grown to 130 Crwith an increase of 11%. The Company has extended its value add and higher margin businessalong with existing export market focus. With various announcements like KUSUM YojanaInternational Solar Alliance the State Government's Solar Pumping projects solar pumpinghas become a key area for the company. We are looking forward to benefiting from theopportunities provided by Kusum an initiative by the Government of India in which MNREis looking to spend Rs 50000 crores in the next 3-4 years primarily on solar pumpingsolutions and solar energy generations. The prime minister of India endeavours to doublethe farmers' income and Kusum Yojna is one of the step towards it. Therefore farmers canget quality electricity and also sell the excess electricity to the government.

Favourable government initiatives are identified to provide a thrust to a pronouncedadoption of solar pumps across India.

The historic launch of International Solar Alliance (ISA) in November 2015 has createda new global landscape for galvanizing ‘collective action' towards greater solarenergy adoption. This requires global multi-factor coalitions to come together withenormous amount of will favorable policies and the ability to use solar resources.Several participating countries are interested in scaling solar pumping street lightingand solar roof-top programs. A need-assessment questionnaire developed for solar waterpumping system (SWPS) and solar street lighting system (SSLS) has been circulated to allparticipating and ISA signatory countries. ISA is pursuing price discovery tender foraggregated demands (globally/continent-wise) for 500000 solar pumps. Shakti is alsolooking to export solar pumping solutions in global markets like Africa Asia etc.

To continue our global expansion programs Shakti incorporated its subsidiary in Chinaand is about to commence Bangladesh with the prime objective of exports of solar andenergy efficient pumps. Also to source some non value added raw materials from China.Shakti is in the process to strengthen its relationship with existing dealers and appointnew partners for future growth in other geographies.

We are pleased to suggest 20% (of Profit) dividend to the shareholders of Rs. 3.70 pershare (37% of face value).

To add one more feather to our cap the company has commissioned a fully automaticplant named electronic and control with the help of Japanese technology having theproduction capacity of 100000 VFD per year. This product has already been launched inRaipur yielding to a good performance. The company is inclined to move towards solarinverters and starters.

Looking ahead the future of the industry is more keenly focused on the word‘solar'. Technological changes awareness of effective use of electricity increasein literacy industrialization and governments' support have contributed towards anincrease in the share of the organized sector.

In conclusion with an urge to succeed we continually innovate and introduce newproducts and pumping solutions that satisfy the market's needs. Quality is the key in allSHAKTI products. This compels the company to focus on and design with special care whileselecting materials and production methods. We use advanced fabrication technology andmanufacture most of the components in-house to ensure higher quality standards andperformance. We believe we are better placed today than ever before to garner the immensegrowth opportunity in our industry.

Sincerely
Dinesh Patidar
Chairman & Managing Director