Incorporated in 1994, Exicom Tele-Systems Ltd is a power management solutions provider. The company operates under two business verticals. First is the electric vehicle charger business, which provides both slow charging solutions, primarily for residential use, as well as fast charging solutions, like DC chargers, for business and ‘public charging’ networks in cities, highways, automotive OEMs, charge point operators, and fleet aggregators.
Second is the critical power solutions business, wherein they design, manufacture and service critical digital infrastructure technology for overall energy management at telecommunications sites and enterprise environments. They offer a diversified portfolio of DC power conversion systems and Lithium ion-based energy storage solutions to deliver backup power during grid interruptions and have deployments in India, South East Asia and Africa.
The revenue from the critical power business was more than double the revenue from EV chargers in FY 2023, although it was more than 10 times the same in FY 2022 and FY 2021.
The electric passenger vehicle and bus market is estimated to grow by 9 times between the financial years ending on March 31, 2023 and March 31, 2028, at a CAGR of 50% to 60%. Similarly, the telecommunications power systems market in India is expected to grow from approximately ₹15 billion in
FY 2023 to ₹22 billion in FY 2028 at a CAGR of 8.50%. A major player like Exicom can benefit from such expansion of its market.
Exicom Tele-Systems Ltd IPO Details
Exicom Tele-Systems Ltd IPO Date
The bidding for the Exicom Tele-Systems IPO will open from February 27, 2024, to February 29, 2024.
Exicom Tele-Systems Ltd IPO Price Band
Exicom Tele-Systems is a book-built IPO with a price range that has been decided at ₹135 to ₹142 per share.
Exicom Tele-Systems Ltd IPO Lot Size
The Exicom Tele-Systems Ltd IPO lot size has been decided at 100 shares.
Exicom Tele-Systems Ltd IPO Objectives
The net proceeds will be utilised towards funding the following:
- Financing the cost towards setting up production/assembly lines at the planned manufacturing facility in Telangana.
- Repayment/pre-payment of certain borrowings.
- Funding incremental working capital requirements.
- Investment in R&D and product development.
- General corporate purposes.
Peer Details
The company’s peers include:
- Servotech Power Systems Ltd.
- HBL Power Systems Ltd.
How to Check the Allotment Status of the Exicom Tele-Systems Ltd IPO?
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- Go to the IPO Section and then to IPO Orders.
- Select the individual IPO that you had applied for and check the allotment status.
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Contact Details of Exicom Tele-Systems Ltd
Registered office: 3rd Floor, Plot No. 38, Institutional Area, Sector 32, Gurugram 122 001, Haryana, India
Phone: +91 124 6615 200
E-mail: investors@exicom.in
Company Financials
| Particulars | Year Ending on March 31, 2023 | Year Ending on March 31, 2023 | Year ending on March 31, 2022 |
|---|---|---|---|
| Total Income | 4,672.13 | 7,233.99 | 8,489.57 |
| Profit (Loss) for the Year | 274.63 | 310.31 | 303.95 |
| Profit After Tax Margin | 6.04% | 4.38% | 3.61% |
| Return on Capital Employed | 9.17% | 10.92% | 17.66% |
Know before investing
Strengths
3The company was amongst the first entrants in the EV Chargers manufacturing segment in India and has a market share of 60% and 25% in the residential and public charging segments, respectively.
The EV Charger industry is characterised by high industry barriers, including technological requirements, efficiency requirements, grid structure compatibility, partnerships, etc. Therefore, it is hard for new competition to enter this market and threaten Exicom’s market share easily.
The company’s operations are vertically integrated with end-to-end product development capabilities. This includes concept, design, engineering and prototype testing, supported by their two dedicated R&D centres, and in-house manufacturing.
Risks
3Their top 5 customers of the critical power business constituted over 50% of their revenue source in FY 2023. This is a risk of excess concentration of revenue sources.
A significant portion of their revenue from the critical power business is dependent on winning bids, which can be uncertain and require a lot of preparation and detailed cost calculation.
65% of their inputs in FY 2023 had to be sourced from global suppliers which exposes their supply chain to the risk of global scarcity. These include Li-ion cells and battery packs, semi-conductors, rectifier modules and other critical components required for manufacturing products from suppliers in China, Singapore, Hong Kong, and South Korea.
