Greaves Cotton's fuel-agnostic strategy sees Q1 revenue rise 12% to Rs 445 crore

Greaves Cotton, one of India's leading diversified engineering companies, has reported standalone revenues of Rs 445 crore for Q1 FY2025, a growth of 12% YoY, with quarterly EBITDA at Rs 50 crore, which is a similar growth of 12% YoY. On a consolidated basis, revenue stood at Rs 640 crore, up 13 percent.

In Q1 FY2025 (April-June 2024), Greaves Cotton saw significant growth, with automotive engines increasing by 31% and market share rising to 57 percent. The company launched new alternate fuel engines and transitioned to CPCB IV+ gensets, which are stated to have received a positive market response.

According to a company statement, “Our commitment to a fuel-agnostic approach has broadened our product range, extended our global reach, with exports now forming 12% of the engineering revenue, significantly increased exports to the United States and the European Union, and led to the development of e-powertrains. Greaves Retail has expanded its OE partnerships with large conglomerates and MNCs, piloted an e-commerce delivery model to sell its 2WMB parts, and established new businesses in newer areas such as construction equipment.

Growing demand for Greaves Electric Mobility products
At Greaves Electric Mobility, two-wheeler volumes increased by 10% and three-wheeler volumes by 19% quarter on quarter, driven by the introduction of the Ampere Nexus, a high-performance family scooter  in April 2024, and supply chain strengthening for the Eltra electric cargo and passenger-transporting three-wheeler.  

Targeted at families, the Ampere Nexus has been designed and developed in-house at the Ranipet facility in Tamil Nadu. Equipped with a 3 kWH LFP battery, the Nexus has a claimed top speed of 93kph and a certified range of 136km. Sold in two variants, prices start at Rs 110,000 (ex-showroom) and go up to Rs 120,000.

Greaves Electric Mobility’s electric two-wheeler retail sales in July sales were 3,154 units, up 46% YoY. The company’s cumulative January-July 2024 retail sales at 18,194 units are a 207% YoY increase over the 5,928 units sold a year ago. This performance is reflected in market share which has risen to 3% from 0.56% in the comparable year-ago period.

In April, Greaves Retail entered into a strategic technology transfer and supply agreement with Tsuyo Manufacturing, which specialises in EV components. The collaboration includes the transfer of technology and know-how related to electric motors, wound motors and controllers specifically designed for low-speed three-wheelers.

Ms. Akhila Balachandar, CFO, Greaves Cotton, said: "Greaves Cotton's Q1 FY2025 performance underscores the success of our diversification strategy. Our strong revenue growth reflects our commitment to broadening our product range and market reach. By embracing a fuel-agnostic approach and expanding into new sectors, we've not only enhanced our market position but also significantly boosted our exports and established new businesses. This quarter's results are a testament to our strategic vision and operational excellence, driving sustained growth across businesses.”  

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