HPL Electric & Power wins Rs. 90 cr smart meter orders

HPL Electric & Power, an established electric equipment manufacturing company in India, has won smart meter orders worth Rs. 90 crore.

Gautam Seth, Joint Managing Director, HPL Electric & Power said, “Looking ahead, we have a strong order book position of Rs. 327 crore, boosted by the receipt of smart meter orders worth Rs. 90 crore in May 2020. This ensures revenue visibility for the rest of the fiscal year. Furthermore, unless there are any further lockdowns, we expect to see a good demand pick-up in our ‘Consumer segment’ from Q2 FY21 onwards, as the opening-up of the economy gains pace with the announcement of Unlock 4 guidelines supported by the on-set of the festival season, and higher government spending.”

“Meter dispatches are also expected to pick-up from H2 FY21 onwards. A silver lining amidst this Covid-19 induced storm is that the significance for rapid adoption of the smart meters has been reinforced. It is no longer a bone of contention, as both SEBs and Private Discoms gear-up towards replacing a substantial quantum of conventional meters with smart meters going forward,” commented Seth.

“Hence, looking beyond the near-term challenges, we expect the ‘smart meters’ segment to witness robust traction in the medium-to-long term, driving the next leg of growth for our company. Furthermore, we will also see healthy traction in our ‘Consumer’ segment, as the consumption demand, infrastructure, and real estate sectors witness a gradual revival. On the whole, we remain confident of driving sustainable growth in the medium-term,” added Seth.

Consolidated current order book stands at Rs. 327 crore (net of GST) and metering orders of Rs. 288.7 crore. Enquiry base for Metering tenders is at a healthy level and tenders amounting to Rs. 2,500 crore have been floated or expected to be floated in the near-term

HPL is an established electric equipment manufacturing company in India, manufacturing a diverse portfolio of electric equipment, metering solutions, switchgears, lighting equipment and wires and cables, catering to consumer and institutional customers in the electrical equipment industry. HPL had the largest market share in the electricity energy meters market in India, with one of the widest portfolios of meters in India.