Sterlite Power Transmission Unlisted Shares
About Sterlite Power Transmission Unlisted Shares
Sterlite Power is a leading global player in the power transmission infrastructure sector, specializing in the development of cutting-edge transmission networks and infrastructure. With an impressive portfolio spanning over 12,500 circuit kilometers of transmission lines and 22,719 MVA of transmission capacity in India and Brazil, Sterlite Power has established itself as a key player in the global energy sector.
The company focuses on building and upgrading high-voltage transmission infrastructure to support energy demand across regions. Sterlite Power is also recognized as the sponsor of IndiGrid, India’s first power sector Infrastructure Investment Trust (InvIT), which is listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). With an array of products like power conductors, EHV cables, and OPGW solutions, Sterlite Power is dedicated to providing sustainable solutions that contribute to a resilient energy grid.
2. Business Divisions
Sterlite Power Transmission operates across various business segments, each focusing on different aspects of the power transmission sector:
- Transmission Infrastructure Development: The company is engaged in the development of long-distance transmission lines and networks. As of FY2021-22, Sterlite Power’s transmission projects included 30 projects under the Public-Private Partnership (PPP) model, with a market share of 31.5% by tariff of inter-state projects awarded via competitive bidding in India.
- Products and Solutions: Sterlite Power offers a diverse range of products for energy transmission, including power conductors, EHV cables, and OPGW (Optical Ground Wire) solutions. These products are designed to enhance the efficiency and reliability of power systems across a range of applications.
- Infrastructure Investment Trust (InvIT): Through its sponsor role in IndiGrid, Sterlite Power plays a significant role in India’s power sector infrastructure. IndiGrid is a trusted name in power transmission, bringing in more capital and creating a sustainable investment avenue for stakeholders.
- Renewable Energy Integration: Sterlite Power is actively involved in supporting the integration of renewable energy sources into the grid. The company completed major projects like the 765kV Lakadia Vadodara Transmission Project, which contributes to the creation of a green energy corridor in India, facilitating the integration of renewable energy into the grid.
3. Financial Highlights
Sterlite Power Transmission Unlisted Shares exhibit strong financial performance, but investors should be aware of certain fluctuations in key metrics:
- Revenue Growth: Sterlite Power has seen solid revenue growth, with FY2024 revenue reported at ₹4,918 crore, a 50% increase from ₹3,279 crore in FY2023. This growth was primarily driven by the expansion of transmission networks and the completion of key infrastructure projects.
- Decline in Gross Margin: The company’s gross margin decreased to 24.73% in FY2024 from 76.91% in FY2022, which indicates increasing operational costs, possibly driven by rising raw material prices and construction expenses in large projects.
- Profitability Concerns: While EBITDA increased to ₹470 crore in FY2024, the company’s profit after tax (PAT) stood at ₹230 crore, down from ₹440 crore in FY2022. The decrease in profitability is mainly due to higher operating expenses and interest costs associated with debt financing.
- Debt Levels: Borrowings increased to ₹770 crore in FY2024 compared to ₹4611 crore in FY2023. While this may suggest a reduction in debt levels, it’s important to note that high borrowings, if not managed efficiently, could pose a risk to profitability and long-term financial stability.
- Earnings Per Share (EPS): The company’s EPS for FY2024 was ₹18.85, showing a moderate increase from ₹15.08 in FY2023. This indicates steady growth in shareholder value, though the company still faces challenges in boosting its net profit margins.
Pros
- Strong global presence in India and Brazil.
- Focus on sustainability with green energy projects.
- Consistent revenue growth, reaching ₹4,918 crore in FY2024.
Cons
- High debt-to-equity ratio of 0.58 increases financial risk.
- Capital-intensive projects require significant long-term investment.
- Regulatory risks could impact operations and profitability.
Key Details
| Share Name | Particulars |
|---|---|
| Sterlite Power Transmission Unlisted | ₹598.00 |
| Shares Price | Per Equity Share |
| Lot Size | 50 Shares |
| 52 Week High | ₹975 |
| 52 Week Low | ₹525 |
| Depository | NSDL & CDSL |
| PAN Number | AAVCS7209P |
| ISIN Number | INE110V01015 |
| CIN | U74120PN2015PLC156643 |
| RTA | KFin Technology |
| Fundamentals | Value |
|---|---|
| Market Cap (in ₹ Cr.) | 7,295.60 |
| P/E Ratio | 31.72 |
| P/B Ratio | 5.46 |
| Debt to Equity | 0.58 |
| ROE (%) | 17% |
| Book Value (₹) | 109.46 |
| EPS (₹) | 18.85 |
| Face Value (₹) | 2 |
| Total Shares | 12,20,00,000 |
Financials
| P&L Statement | 2024 | 2023 | 2022 |
|---|---|---|---|
| Revenue | 4,918 | 3,279 | 5,197.48 |
| Cost of Material Consumed | 3,702 | 2,561 | 1,200.33 |
| Gross Margins (%) | 24.73 | 21.90 | 76.91 |
| Change in Inventory | 30 | -176 | 17.68 |
| Employee Benefit Expenses | 126 | 94 | 247.03 |
| Other Expenses | 590 | 401 | 3,175.66 |
| EBITDA | 470 | 399 | 556.78 |
| OPM (%) | 9.56 | 12.17 | 10.71 |
| Other Income | 81 | 36 | 797.07 |
| Finance Cost | 186 | 147 | 337.21 |
| D&A | 46 | 47 | 80.35 |
| EBIT | 424 | 352 | 476.43 |
| EBIT Margins (%) | 8.62 | 10.73 | 9.17 |
| PBT | 319 | 241 | 656.99 |
| PBT Margins (%) | 6.49 | 7.35 | 12.64 |
| Tax | 89 | 57 | 216.85 |
| PAT | 230 | 184 | 440.14 |
| NPM (%) | 4.68 | 5.61 | 8.47 |
| EPS (₹) | 18.85 | 15.08 | 71.98 |
| Financial Ratios | FY24 | FY23 | FY22 |
|---|---|---|---|
| Operating Margin | 9% | 11% | 17% |
| Net Profit Margin | 5% | 6% | 7% |
| Return on Equity (ROE) | 17% | 12% | 26% |
| Debt-Equity | 0.58 | 3.06 | 1.26 |
| Current Ratio | 1.08 | 0.95 | 1.16 |
| Dividend Payout | 0% | 0% | 0% |
| Company | Sterlite Power Transmission Ltd | Adani Energy Solutions | Kalpataru Power Transmission Ltd |
|---|---|---|---|
| Market Cap (₹ Crores) | 8,448 | 88,270 | 20,617 |
| Profitability Margin (%) | 5.00% | 7.00% | 3.00% |
| ROCE (%) | 26.00% | 9.00% | 16.00% |
| ROE (%) | 17.00% | 9.00% | 10.00% |
| D/E Ratio | 0.58 | 1.86 | 0.94 |
| P/E Ratio | 36.92 | 59.4 | 39.9 |
| P/B Ratio | 6.34 | 4.08 | 3.79 |
| Book Value per Share (₹) | 108.86 | 175 | 320 |
| Assets | 2024 | 2023 | 2022 |
|---|---|---|---|
| Fixed Assets | 434 | 386 | 394.62 |
| CWIP | 22 | 286 | 23.07 |
| Investments | 0 | 892 | 620.77 |
| Trade Receivables | 1,261 | 1,600 | 1,360.42 |
| Inventory | 469 | 670 | 220.71 |
| Other Assets | 11,044 | 7,202 | 6,529.49 |
| Total Assets | 13,230 | 11,036 | 9,149.08 |
| Liabilities | 2024 | 2023 | 2022 |
|---|---|---|---|
| Share Capital | 24.40 | 24.40 | 12.23 |
| FV (Face Value) | 2 | 2 | 2 |
| Reserves | 1,309.00 | 1,485.00 | 1,678.37 |
| Borrowings | 770.00 | 4,611.00 | 2,148.66 |
| Trade Payables | 381.00 | 1,010.00 | 1,668.82 |
| Other Liabilities | 10,745.60 | 3,905.60 | 3,641.00 |
| Total Liabilities | 13,230.00 | 11,036.00 | 9,149.08 |
Promoters or Management
Frequently Asked Questions
Sterlite demerged its Global Products Business and EPC business. Its Global product business will be continued by Sterlite Power transmission ltd and its EPC business was transferred to Sterlite Grid 5. Record date of this demerger was 30 October, 2024.
