Greaves Cotton Ltd

About Greaves Cotton Ltd

Greaves Cotton is an Indian incorporated leading industrial enterprise in 1859, manufacturing and trading a wide array of engines, engine applications, power tillers, electric vehicles, and infrastructure equipment. You can check Greaves Cotton share price on NSE & BSE with BlinkX for more updates.

History of Greaves Cotton Ltd

Greaves Cotton has a rich heritage that goes back to 1859 and has grown with so many changes down the years. The company moved from being an engine manufacturing unit to a multi-product and multi-location company with electric mobility solutions and infrastructure equipment. Resilience and responsiveness have been the trade-off that keeps the company ahead in the market through all the changes witnessed in the industry. As of FY 2024, Greaves Cotton continues to strive with inorganic and organic strategic initiatives on offering expansions and market reach through acquisition and new product launches.

Business Segments of Greaves Cotton Ltd 

• Engines: This business constitutes the backbone of Greaves Cotton operations, contributing 61% to the company's revenues in FY24 as against 64% reported in FY22. The company manufactures a host of engines inclusive of diesel, petrol, CNG engines, power gensets, and power tillers. These nonauto engines  are deployed across a wide range of applications.
• Electric Mobility: This segment constitutes approximately 23% of the company's revenues in FY24 from 31% in FY22. The electric two- and three-wheelers are produced via its subsidiary, GEMPL. Subsidy reductions, issues related to deregistration, coupled with a few more such factors, continue to peg this segment back. Yet, brands such as Ampere maintain importance in this category.
• Cables & Control Levers: This business vertical is new in FY24 and contributes to 9% of the firm's revenues. This encompasses manufacturing of control levers, cables, pedals, and other operators-hence, an extended product of Greaves Cotton into ancillaries.
• Others: This segment constitutes 7% of its revenue in FY24, which includes Greaves Care, aftermarket spares, retail vehicle financing, and engineering services to OEMs. The revenue contribution stood at 5% in FY22, representing the company's diversified service portfolio.

Recent Developments of Greaves Cotton Limited

Below are the recent developments of Greaves Cotton Limited: 

• Manufacturing Facilities: Greaves Cotton runs 8 factories across India. Its Ranipet facility is designed to produce up to 500,000 e-scooters annually.
• Distribution Network: It has an impressive distribution network of over 9,000 retail outlets, above 200 distributors, more than 20,000 mechanics, and 700-plus stores.
• Product Launches: Greaves Electric Mobility launched the electric 3-wheeler passenger vehicle, by name Greaves Eltra City in FY24, and it launched new CPCB IV+ compliant gensets in July 2024. The Nexus E2W model was launched during Q1FY25.
• Acquisition: Greaves Cotton acquired a 60% stake in Excel Controlinkage Pvt Ltd in May 2023 for Rs. 237 crore. Excel contributed Rs. 263 crore in revenue in FY24, up 41% year-on-year.
• Partnership: Evfin, the company's 100% EV-focused lending platform, partnered with Muthoot Capital to enhance electric two-wheeler financing across India for a total deal size of up to Rs. 150 crore.
• Focus: Greaves Cotton focuses on fuel-agnostic engines, components, and electric powertrain solutions by way of much strategy in place. This reflects the agility of adaptation to the evolving market demands and technological changes.

Financial Performance of Greaves Cotton Ltd 

• Greaves Cotton revenue from operations increased by 12.51% and the net profit came at ₹10.32 crore. 
• The company's Selling, General & Administrative (SG&A) expenses showed mixed performance, declining 11.58% quarter-on-quarter but increasing 3.67% year-on-year. 
• The Earnings Per Share (EPS) for Q1 stood at ₹0.44, reflecting an impressive year-on-year increase of 278.73%.

Key Personnel of Greaves Cotton Ltd

• Mr. Karan Thapar is the Chairman of the company.
• Mr. Nagesh Basavanhalli serves as the Non-Executive Vice Chairman of the company.
• Mr. Arup Basu is the Managing Director of Greaves Cotton Limited.
• Mr. Mangalath Unnikrishnan is the Independent Director of the company.
• Mr. Sree Patel is the Independent Director of the company.
• Mr. Firdose Vandrevala is the Independent Director of the company.
• Mr. Raja Venkataraman is the Independent Director of the company.
• Mr. Ravi Kirpalani is the Independent Director at Greaves Cotton Limited.