Announcement Summary
- Company: Indo-Tech Transformers Limited
- Order Value: Rs 62.93 Crores plus applicable taxes
- Sector: Electric Equipment
- Client: Domestic entity
- Location: India
- Date: August 5, 2025
Indo-Tech Transformers Limited has recently secured a significant order reflected by a Letter of Award dated August 4, 2025. The order involves the supply of 6 units of 175, 220/33-33kV MVA transformers, with a total value estimated at Rs 62.93 Crores plus taxes.
Deliveries are scheduled in two phases: four units by July 2026 and the remaining two by October 2026. This important contract was awarded by a domestic client, and there is no involvement of promoter interests related to the awarding entity.
This order is valuable compared to the company’s usual business dealings, marking it as a material event. Indo-Tech Transformers Limited has formally communicated this contract as part of their ongoing business updates.
Key Fundamentals Of Indo-Tech Transformers
Indo-Tech Transformers holds a market capitalization of Rs 1,698 Crores, with its share price currently trading at Rs 1,599, near its 52-week low of Rs 1,590. The stock’s price-to-earnings ratio stands at 26.6, while its book value is Rs 264 per share. The company does not pay dividends currently, with a yield at zero. Returns on capital employed and equity are strong, at 37.8% and 25.7% respectively.
Each share has a face value of Rs 10, and the price to book value ratio is 6.09. Earnings per share are Rs 60.2, and promoters hold a 75% stake. Against an industry average P/E of 54.6, the company’s valuation is significantly lower. EV to EBITDA ratio is 16.0, the market capitalization to sales ratio is 2.78, and returns over the past three years have been impressive at 98.2%.
What This Means for Investors
The newly secured transformer supply contract strengthens Indo-Tech Transformers Limited’s order pipeline and enhances its business outlook through 2026. It reinforces the company’s strong positioning in the domestic electric equipment sector and reflects continued trust from clients for specialized transformer products.
Steady delivery timelines spread over several months can help maintain a stable revenue and cash flow stream, supporting sustained business momentum in a competitive industry landscape.
Past Orders or Related News
On December 31, 2024, Indo-Tech Transformers Limited announced a Letter of Intent and Purchase Order to supply 13 units of 150 MVA transformers valued at Rs 117.17 Crores plus taxes. This order was also awarded by a domestic client with deliveries planned monthly, concluding by December 2025.
There were no promoter interests involved, emphasizing the transaction’s standalone business nature. This substantial order marked a significant material event for the company last year, highlighting a pattern of consistent large-scale domestic contracts.
Source: BSE (Click To Download PDF).
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