Shakti Pumps: Powering Profits with Renewable Innovation

Brokerage Free Team •January 8, 2025 | 4 min read • 43 views

Overview

Shakti Pumps (India) Limited, headquartered in Pithampur, Madhya Pradesh, is a leading manufacturer of energy-efficient stainless steel submersible pumps, solar-powered pumps, and advanced pumping solutions. Established in 1982, the company has grown to become a globally recognized brand in the pumping sector, exporting to over 100 countries. Shakti Pumps is synonymous with innovation and sustainability, focusing on renewable energy solutions such as solar-powered pumping systems to support the agricultural and industrial sectors.

Key Metrics

 

Metric Value
Market Capitalization INR 16,200 Crores
Revenue (FY 2025) INR 635 Crores
Profit After Tax (FY 2025) INR 101 Crores
Return on Equity (ROE) 22.5%
Debt-to-Equity Ratio 0.11
Current Share Price INR 1,344.85
52-Week High/Low INR 1344.85 / INR 174

 

Historic Price Performance

 

Time Shakti Pumps Nifty50 Returns Sensex Returns Industry Returns Sector Returns
1 Day 5% -0.18% 0% -0.51% -1.2%
1 Week 25.97% 0.09% 0.08% -0.58% -1.53%
1 Month 75.85% -4.1% -4.29% 0.61% -6.34%
3 Months 86.79% -4.55% -3.52% 9.47% -0.65%
6 Months 78.72% -2.7% -2.25% 3.58% -9.98%
1 Year 695.91% 9.01% 8.57% 117.36% 134.56%
3 Year 1,080.83% 32.86% 30.89% 420.32% 404.72%
5 Years 3,843.84% 96.35% 91.34% 1,244.75% 1,213.28%
10 Years 3,861.27% 192.1% 190.61% 1,008.17% 966.91%

 

Quarterly Results (Q2 FY 2025)

 

Indicator Sep '24 Jun '24 Mar '24 Dec '23 Sep '23 Jun '23 Mar '23
Total Revenue 631.80 560.30 588.00 471.20 135.10 108.90 179.50
Operating Expenses 490.80 426.40 479.90 405.30 125.90 98.20 166.50
Operating Profit 135.00 128.70 107.30 64.40 8.40 2.80 8.70
Operating Profit Margin % 21.57% 23.18% 18.27% 13.71% 6.28% 2.77% 4.98%
Depreciation 4.50 4.40 4.40 4.40 4.40 4.30 4.20
Interest 10.30 8.00 7.20 4.40 3.30 2.80 3.70
Profit Before Tax 126.30 121.50 96.60 57.10 1.50 3.50 5.10
Tax 32.20 31.00 25.70 16.20 0.60 -0.90 0.50
Net Profit 94.10 90.50 71.00 40.90 0.90 4.40 4.60
Basic EPS 47.00 45.20 38.50 22.30 0.50 2.40 2.50
Net profit TTM 296.50 203.20 117.20 50.80 21.30 21.00 24.00
Basic EPS TTM 147.90 101.40 58.50 27.60 11.60 11.40 13.10

 

Stock Analysis

Shakti Pumps Metric VALUE CHANGE % TREND ANALYSIS
Annual Revenue ₹1,374.3 Cr 41.54% positive Annual Revenue rose 41.54%, in the last year to ₹1,374.3 Cr. Its sector's average revenue growth for the last fiscal year was 10.76%.
Annual Net Profit ₹141.71 Cr 487.23% positive Annual Net Profit rose 487.23% in the last year to ₹141.71 Cr. Its sector's average net profit growth for the last fiscal year was 33.44%.
Price to Earning Ratio 49.15 - positive Price to Earning Ratio is 49.15, lower than its sector PE ratio of 60.79.
Stock Price ₹1344.85 695.91% positive Stock Price rose 695.91% and outperformed its sector by 561.35% in the past year.
Quarterly Revenue ₹640.32 Cr 315.37% positive Quarterly Revenue rose 315.37% YoY to ₹640.32 Cr. Its sector's average revenue growth YoY for the quarter was 10.8%.
Quarterly Net profit ₹101.42 Cr 1630.21% positive Quarterly Net profit rose 1,630.21% YoY to ₹101.42 Cr. Its sector's average net profit growth YoY for the quarter was 22.55%.
Debt to Equity Ratio 0.11 - positive Debt to Equity Ratio of 0.11 is less than 1 and healthy. This implies that its assets are financed mainly through equity.
Return on Equity(ROE) 18.75 % 18.75% neutral Return on Equity(ROE) for the last financial year was 18.75%, in the normal range of 10% to 20%.
Mutual Fund Holding 5.90 % -0.69% negative Mutual Fund Holding decreased by 0.69% in the last quarter to 5.9.
Promoter Share Holding 51.58 % 0% neutral Promoter Share Holding stayed the same in the most recent quarter at 51.58%.
Interest Coverage Ratio 11.73 - positive Interest Coverage Ratio is 11.73, higher than 1.5. This means that it is able to meet its interest payments comfortably with its earnings (EBIT).
Promoter Pledges 0.00 % 0% positive Promoter Pledges are zero.

 

Shareholding Pattern

 

Summary Nov, 2024 Sep 2024 Jun 2024 Mar 2024
Promoter  51.6% 51.6% 51.6% 51.6%
FII 3.1% 3.4% 2.3% 0.8%
DII  6.1% 6.8% 6.9% 8.7%
Public 39.2% 38.3% 39.3% 39.0%

 

Peer Performance

 

Stock Current Price PE TTM Price to Earnings Market Capitalization Dividend yield 1yr % Net Profit Qtr Net Profit Annual YoY Growth % Operating Revenue Qtr Revenue Growth Qtr YoY % Price to Book Value
Shakti Pumps (India) Ltd. 1344.85 49.15 16166.52 0.05% 101.42 487.23% 634.59 315.37% 21.39
Cummins India Ltd. 3158.55 44.94 87555.01 1.20% 449.37 40.10% 2508.6 30.55% 12.57
GE Vernova T&D India 1986.85 128.86 50872.6 0.10% 144.62 12251.01% 1107.77 58.76% 36.96
3M India Ltd. 30920.65 61.53 34832.42 2.22% 133.78 28.87% 1110.8 13.88% 20.91
Jyoti CNC Automation 1365.95 113.18 31064.86 0.00% 75.88 901.73% 430.67 42.75% 20.79
Elgi Equipments Ltd. 573.1 55.43 18162.05 0.35% 94.72 -15.89% 868.86 7.78% 10.54
Kirloskar Brothers Ltd. 2220 44.58 17628.78 0.27% 95.7   1035.8 13.44% 9.51

 

SWOT Analysis

 

Strengths Weaknesses
Strong presence in solar pump segment Dependence on government schemes
Global distribution network Limited diversification in product lines
Technological innovation in IoT pumps Moderate working capital efficiency
Low debt levels  
Opportunities Threats
Rising demand for renewable solutions Competition from established players
Expansion into industrial applications Policy uncertainties in subsidies
Export market growth potential Raw material price fluctuations

 

Final Words

Shakti Pumps has carved a niche in the renewable energy and water management sectors. Its focus on innovation, sustainability, and market expansion makes it a compelling investment option. However, investors must remain cognizant of policy dependencies and sectoral risks. Including collaborations or partnerships in the solar energy space could further enhance its prospects. As India’s renewable energy initiatives gain momentum, Shakti Pumps stands well-positioned to benefit from the growth opportunities.

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