Revenue Is Scaling, Margins Are Compressing: Is Shakti Pumps Prioritizing Market Leadership Over Near-Term Profitability?
India, Oct. 7 -- Shakti Pumps is one of the largest producers of solar pumps in India, being a participant in the governmental programs of agriculture solarization in India. Shakti Pumps is improving its manufacturing and is seeking new areas of business in the field of solar panels, rooftop panels, and renewable energy in general. However, the latest financials show one important problem: revenue grows much faster than operating profit.
Shakti Pumps (India) was trading around Rs448 per share, giving the company a market capitalization of roughly Rs5,531 crore. The stock's 52-week range is Rs441-Rs835, while its trailing P/E is around 26x.
Revenue Growth Is Outpacing Profitability
Revenue for Shakti Pumps was recorded at about Rs859 cro...
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