ATCENERGY - ATC Energies
Financial Performance
Revenue Growth by Segment
Revenue grew 40.66% from ā¹3,648.30 lakhs in Fiscal 2022 to ā¹5,131.59 lakhs in Fiscal 2025. The primary segment is based on Battery Size, though specific size-wise percentage splits were not disclosed in the available data.
Profitability Margins
Operating Profit Margin stood at 32.50% in Fiscal 2025. The Net Profit Ratio improved from 20.48% in Fiscal 2024 to 22.18% in Fiscal 2025, a 1.70 percentage point increase driven by lower cost of goods sold.
EBITDA Margin
Operating Profit Margin is 32.50% for Fiscal 2025, with an absolute Operating Profit of ā¹1,667.84 lakhs.
Capital Expenditure
Capital expenditure for the purchase of fixed assets and capital advances was ā¹911.56 lakhs in Fiscal 2025, compared to ā¹873.70 lakhs in Fiscal 2024, representing a 4.33% increase.
Credit Rating & Borrowing
The company has sanctioned working capital limits under ā¹5 crores. Finance costs decreased 59.85% from ā¹206.69 lakhs in Fiscal 2024 to ā¹82.98 lakhs in Fiscal 2025, following the repayment of debt using IPO proceeds.
Operational Drivers
Raw Materials
Raw materials (specific chemical/metal names not disclosed) represent approximately 46.74% of total revenue, with material costs totaling ā¹2,398.70 lakhs in Fiscal 2025.
Import Sources
China (Heavy dependence for raw material imports).
Key Suppliers
Not disclosed; the company explicitly states it does not have long-term contracts or exclusive arrangements with any suppliers.
Capacity Expansion
Current installed capacity is not disclosed in units; however, the company is focusing on improving operational efficiency at manufacturing facilities to minimize costs and better utilize resources.
Raw Material Costs
Cost of Material Consumed was ā¹2,398.70 lakhs in Fiscal 2025, down 17.67% from ā¹2,913.69 lakhs in Fiscal 2024, which contributed to the improved net profit ratio.
Manufacturing Efficiency
Focus on cost minimization and resource utilization at manufacturing facilities to maintain the 32.50% operating profit margin.
Strategic Growth
Expected Growth Rate
40.66%
Growth Strategy
The company plans to achieve growth by expanding its product portfolio, increasing the scale of business operations, and improving operational efficiencies at manufacturing facilities. It also leverages the promoter's industry insights to navigate market complexities and identify new business opportunities.
Products & Services
Batteries (categorized by size).
Brand Portfolio
ATC Energies.
New Products/Services
The company is exploring and positioning itself to introduce new products to capitalize on sector growth opportunities, though specific revenue contribution percentages for new launches are not disclosed.
Market Expansion
Strategic focus on expanding the scale of operations and exploring new opportunities identified by the management team.
External Factors
Industry Trends
The battery sector is seeing growth opportunities that the company aims to capture through product expansion and technology improvements, though it faces heightened competition from international sources.
Competitive Landscape
Faces competition from both domestic players and international suppliers, particularly those benefiting from the China-based supply chain.
Competitive Moat
The company's moat is built on the promoter's veteran industry expertise and a stable, non-unionized workforce. However, the high attrition rate (23.92% in FY25, though down from 45.51% in FY23) poses a risk to operational continuity.
Macro Economic Sensitivity
Highly sensitive to trade relations with China and the health of the banking industry, which is a primary customer base.
Geopolitical Risks
Political tensions or trade disputes with China could lead to supply chain interruptions and quality control issues for raw material imports.
Regulatory & Governance
Industry Regulations
Compliant with the Companies Act, 2013, and Indian GAAP. The company adheres to notified accounting standards and relevant provisions for financial reporting.
Environmental Compliance
The company spent ā¹25.51 lakhs on CSR activities in Fiscal 2025, exceeding its statutory obligation of ā¹25.45 lakhs.
Taxation Policy Impact
Income tax paid in Fiscal 2025 was ā¹197.86 lakhs.
Legal Contingencies
The company reports zero pending litigations that would impact its financial position as of March 31, 2025.
Risk Analysis
Key Uncertainties
The primary uncertainties are the heavy reliance on China for raw materials and the concentration of revenue from two promoter-group customers.
Geographic Concentration Risk
Not disclosed for revenue; however, raw material sourcing is heavily concentrated in China.
Third Party Dependencies
High dependency on two promoter-group customers and the banking industry for sales.
Technology Obsolescence Risk
The company focuses on continuous improvement in technology and processes to maintain a competitive edge and develop cutting-edge products.
Credit & Counterparty Risk
Trade receivables increased 31.56% to ā¹3,188.18 lakhs in Fiscal 2025. The trade receivables turnover ratio fell from 8.92 to 3.36, indicating a significant slowdown in collection cycles or higher sales concentration at year-end.