Achi news desk-
Our order book includes 5,000 electric buses for the financial year 2024-25, said OEM, JBM Auto, VC & MD, Nishant Arya.
Image credit: www.jbmgroup.com
In an exclusive interview with Money9, OEM JBM Auto VC & MD Nishant Arya said that the company’s order book currently stands at 5,000 electric buses (e-buses) for the financial year 2024-25. Shah said, “We have already delivered 4,000 plus e-buses in FY24.” According to Aryeh, following strong demand for electronic buses in Israel, the company increased the capacity and utilization of the plant and machines in a diversified way. Shah said, “Now we can produce high-volume premium buses. At the same time, we clearly see that the demand for e-buses has doubled. Definitely, JBM is very much ready to ride this wave and move forward.”
The Indian government’s increased focus on strengthening the country’s public transport infrastructure calls for an increasing number of e-buses plying the roads. Currently, this segment accounts for only 0.2 percent market share of the total electric vehicle (EV) industry. There is huge potential for growth. And JBM Auto may benefit from it.
The firm operates in three sectors: OEM, components and cooling. The company manufactures electric vehicles and electronic buses under the OEM segment. Of all three segments, the company’s OEM segment reported the highest growth rate in revenue and profit in the fourth quarter of 2014 on an annualized basis. After that, the components segment contributed the largest growth in the company’s total revenue in the said quarter. Although, according to Aryeh, the refrigeration sector is the most profitable segment of the business.
He said all three businesses are well positioned for JBM Auto to grow and really advance in the market going forward.
The company saw a strong increase in revenue and overall profit in the March quarter. JBM Auto’s total revenue in Q4FY24 jumped 47% YoY to Rs 1,486 crore from Rs 1,010 crore in Q4FY23. Profits in the March quarter jumped 125% YoY to Rs 63 crore from Rs 28 crore in the period a year ago. EBITDA was Rs 177.18 million in March 2024 quarter up 60.96% YoY from Rs 110.08 million in March 2023 quarter.
On high growth, Arya said it came from the EV business and components division.
The increase in steel prices will not affect the margins: Arie
On the impact of rising raw material prices on profits, Aryeh said, “Since the company has signed a long-term contract for the purchase of steel. Therefore, we do not see any impact on profit margins due to rising raw material prices in FY25.
Regarding revenue and profit guidance for 25, Arya said that the company has set a growth target of 6,500 million rupees and an EBITDA margin of 12% plus.
In the last six months, the survey has increased by 56%. While in the last year it gave returns of 131 percent.
Published: May 7, 2024, 8:00 PM IST
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