Servotech Power shares hit upper circuit after bagging order from BPCL

Shares of Servotech Power Systems Ltd hit an upper circuit limit of 5 per cent during the trading session on Thursday after the company bagged an order for electric vehicle (EV) chargers from the state-run oil marketing player Bharat Petroleum Corporation (BPCL). The company informed about the same through an exchange filing on Wednesday.

Servotech Power Systems Ltd. has bagged an order for 2,649 AC EV chargers from Bharat Petroleum Corporation Ltd (BPCL), it said in the exchange filing. However, the company filing did not disclose the order value by the BPCL in the filing.

"The company will be responsible for manufacturing, supplying and installing EV chargers strategically across the nation, equipping petrol pumps in major Indian cities under the BPCL E-drive Project, playing a key role in the widespread implementation of EV charging solutions," it added.

Following the announcement, shares of Servotech Power hit the upper circuit limit of 5 per cent to Rs 79.10 on Thursday, commanding a total market captialization of close to Rs 1,700 crore. The scrip had settled at Rs 75.35 in the previous trading session on Wednesday.

The range of EV chargers includes 3 kW and 7 kW for this project. The manufacturing and production of these AC chargers has already begun and the supply of the chargers will begin from December 15 and will be completed within a period of three months, the filing added further.

Servotech Power Systems and Bharat Petroleum had previously worked together to transform the E-Mobility landscape. The company also supplied and installed 800 units of 30 KW DC fast EV Chargers at different locations across the country for BPCL’s E-drive project.

Servotech's profit after tax surged over 300 per cent on a year-on-year (YoY) basis to Rs 3.12 crore in the September 2023 quarter. Its revenue from operation surged more than 114 per cent to Rs 85.93 crore in the second quarter of the ongoing financial year.

NSE-listed Servotech Power Systems develops tech-enabled EV charging solutions leveraging their over two decades of experience and expertise in the electronics space. It offers an extensive range of AC and DC chargers which are compatible with different EVs and serve multiple applications such as commercial and domestic.

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