Sterlite Electric Limited

Sterlite Electric Limited

Fundamentals

Quick Insights

  • Diversified Business Model: Post-demerger, SPTL focuses on products and MSI (Master System Integrations) businesses, with strong positions in power conductor and cable manufacturing and a ~40% market share in intra-state transmission upgrades. The company has also successfully developed and monetized 11 transmission assets in India and 5 in Brazil. Operational Expertise: SPTL has commissioned 12 transmission projects in India, with 8 more under development, and continues to hold a leadership position in domestic transmission projects based on levelized tariffs. Strong Financials: The company reported over ₹4,000 crore in revenue in FY24 with an EBITDA margin of ~10%. The solutions business provides stable margins, while the transmission business benefits from strong execution. SPTL maintains a comfortable financial risk profile with moderate gearing (0.7x) and an improving TOLTNW ratio (2x as of FY23). Strategic Growth Plans: Expansion in transmission infrastructure is supported by equity infusion from GIC, monetization of Brazilian assets, and local fundraising. The demerger into SGL 5 reflects a focused growth strategy.
Market Cap₹8,107.5 Cr
PE Ratio30.77
EPS₹18.69
Dividend Yield-
Book Value₹123.1 Cr
Debt/Equity3.06
Price/Book4.67
Price/Sales-
Industry PE-
Sales₹6,297.06 Cr
Profit After Tax₹230.1 Cr
Share Capital₹1,509.27 Cr
Shares Outstanding-
ISININE110V01015
SectorPower
Symbol-
About Company

Sterlite Power Transmission Limited (SPTL) is a global leader in power transmission infrastructure, with a strong presence in India and Brazil. The company specializes in developing, operating, and maintaining power transmission systems, offering engineering, procurement, and construction (EPC) services, transmission products, and system integration solutions. In October 2023, SPTL announced a demerger to simplify its business structure and unlock growth potential. The infrastructure business, including EPC contracts and investments in transmission SPVs, will be transferred to Sterlite Grid 5 Ltd (SGL 5), while SPTL will retain its products and system integration businesses. You can read more in the credit risk rating report below.

Latest News
Sterlite Power commissions 400kV Nangalbibra-Bongaigaontransmission line, strengthening North-East power infrastructure.Energyworld - 2/17/2025Read full article
Sterlite Power Secures ₹2,250 Crore in New Orders, Strengthening Green Energy TransmissionMachineMaker - 2/12/2025Read full article
sterlite power raises inr 725cr in primary fundraise round from gef capital partners and enamEnergitica - 12/15/2024Read full article
Strengths & Weaknesses

Strengths

Diversified Business Model: Post-demerger, SPTL focuses on products and MSI (Master System Integrations) businesses, with strong positions in power conductor and cable manufacturing and a ~40% market share in intra-state transmission upgrades. The company has also successfully developed and monetized 11 transmission assets in India and 5 in Brazil.
Operational Expertise: SPTL has commissioned 12 transmission projects in India, with 8 more under development, and continues to hold a leadership position in domestic transmission projects based on levelized tariffs.
Strong Financials: The company reported over ~₹5,000 crore in revenue in FY24 with an EBITDA margin of 10%. The solutions business provides stable margins, while the transmission business benefits from strong execution. SPTL maintains a comfortable financial risk profile with moderate gearing (0.7x) and an improving TOLTNW ratio (2x as of FY23).
Strategic Growth Plans: Expansion in transmission infrastructure is supported by equity infusion from GIC, monetization of Brazilian assets, and local fundraising. The demerger into Sterlite Grid 5 Ltd (SGL 5) reflects a focused growth strategy.

Weaknesses

Project Execution Risks: Building greenfield infrastructure in India and Brazil exposes SPTL to delays in approvals (e.g., RoW and forest clearances), potentially causing cost overruns and liquidity challenges. Currently, SPTL is executing nine transmission projects in India with a total cost of ₹15,000 crore.
Annual Reports
FY 0FY 2019FY 2020FY 2021FY 2022FY 2023FY 2024
Balance SheetFY2024FY2023
Equity Capital24.48624.47
Reserves1,308.291484.80
Total Equity1,332.781509.27
Borrowings03554.35
Other Non-Current Liabilities439.39797.75
Total NC Liabilities439.394352.10
Borrowings770.531057.09
Other Current Liabilities1,929.544117.81
Total Current Liabilities2,700.075174.90
Liabilities directly associated with assets classified as held for sale8,757.630.00
Equity + Liabilities13,229.8711036.27
Fixed Assets (incl. WIP)455.605672.46
Other Non Current Assets438.225424.49
Total NC Assets893.836096.95
Trade Receivables1,260.981599.60
Cash & Cash Equivalents606.9231437.81
Other Current Assets1,054.601901.91
Total Current Assets2,922.514939.32
Assets classified as held for sale9,413.540.00
Total Assets13,229.8711036.27
Profit & LossFY2024FY2023
Revenue from Continued Operations4,917.893278.65
Operating Expenses4448.2022880.65
Operating Profit469.69398.00
Other Income36.9412.66
Interest Expense141.922123.29
Depreciation45.947.10
Impairment Expense0.00-0.01
Exceptional Items00.00
Profit Before Tax318.81240.27
Tax88.68356.82
Tax %27.82%23.65%
Profit After Tax From Continuing Operations230.1183.4
Diluted EPS (From Continuing Operations)18.6914.96
Shareholding Pattern
ColorShareholderHolding
Twin Star Overseas Limited, Mauritius71.38%
Others28.62%
Board of Directors
Mr. Pravin Agarwal Chairman
Mr. A.R. Narayanaswamy Independent Director
Mr. Anoop Seth Independent Director
Mr. Pratik Pravin AgarwalManaging Director
Mr. Manish AgrawalWhole Time Director
Ms. Kamaljeet KaurWhole Time Director
Senior Management
Mr. Pratik Pravin AgarwalManaging Director
Mr. Manish AgarwalCEO, Global Products & Services
Mr. Arun SharmaCEO, India
Mr. Amitabh PrasadCountry Manager, Brazil
Ms. Neeti WahiCIO
Mr. Ashok GanesanCompany Secretary
Ms. Shruti JainCLO
Mr. Akshay HiranandaniExecutive Director, Corporate Finance