A major automotive stock has partnered with Amara Raja to introduce Made-in-India Absorbent Glass Mat (AGM) battery technology. This collaboration aims to equip the company’s domestic vehicle lineup with advanced and locally sourced AGM batteries.
Price Movement
In Friday’s trading session, the share price of Hyundai Motor India Ltd opened at a high of Rs.1,807.95 per share, rising xx percent from its previous close of Rs.1,787.45 per share. However, the stock declined later to Rs.1,776.65 each.
What happened
Hyundai Motor India Limited (HMIL) has partnered with Amara Raja Energy & Mobility Limited (ARE&M) to incorporate Made-in-India AGM (Absorbent Glass Mat) batteries in its domestic vehicles.
These batteries, set to be used as Starting, Lighting, and Ignition (SLI) batteries, offer better durability and higher lifespan compared to conventional CMF batteries. The move aligns with HMIL’s goal to utilize localized technology and will be implemented in its models by Q4 FY 2024-2025.
Business Development
Hyundai Motor India Limited completed around 50,000 charging sessions, delivering over 7.30 lakh units of energy to more than 10,000 electric vehicle (EV) users, including both Hyundai and non-Hyundai customers.
The company has signed a Memorandum of Understanding (MoU) with the Tamil Nadu government to establish 100 EV charging stations across the state by 2027, with 10 stations set to be operational by the end of 2024.
Currently, three charging stations are up and running at Spencer Plaza and BSR Mall in Chennai and Hotel Seasons in Tiruvannamalai. The remaining seven stations are expected to be operational shortly, all accessible to EV users in Tamil Nadu through the myHyundai app, 24/7.
Management Comment
Speaking about the development, Mr. Gopalakrishnan Chathapuram Sivaramakrishnan, Whole-time Director, and Chief Manufacturing Officer -at HMIL, said, “At Hyundai Motor India Limited, adopting innovative technology to exceed the ever-evolving customer expectations has been our forte.
HMIL is poised to become the first auto OEM in India to introduce indigenously manufactured AGM (Absorbent Glass Mat) battery technology in its products, made by Amara Raja Energy & Mobility Limited. Besides, working with an Indian company for this world-class technology is a true testament to HMIL’s commitment towards localization, well aligned with the Government of India’s ‘Atmanirbhar Bharat’ initiative.”
Also read….
Domestic Network
The company has placed its EV charging stations in prominent cities such as Gurugram, Mumbai, Pune, Bengaluru, Hyderabad, Ahmedabad, and Chennai. Furthermore, it has expanded its reach with a network of charging stations along key highways, including Delhi-Chandigarh, Delhi-Jaipur, Hyderabad-Vijayawada, Mumbai-Pune, Mumbai-Surat, Bengaluru-Pune, and Pune-Kolhapur.
Financial Performance
Turning towards the financials of the company, Hyundai Motor India Ltd reported Q2 FY25 revenue of Rs.16,876 crore, falling 8.3 percent from Rs.18,409 crore in Q2 FY24. Profit After Tax (PAT) decreased by 16 percent to Rs.1,338 crore, compared to Rs.1,602 crore in the same period.
Important Financial Ratios
The Return on Capital Employed (ROCE) of the company stands at 52.17 percent, while the Return on Equity (ROE) is 44.12 percent.
The company’s Price-to-Earnings (P/E) ratio is 24.37, which is higher than the industry average of 13.53. Additionally, the company maintains a solid current ratio of 1.53 and a low debt-to-equity ratio of 0.08.
Company Profile
Hyundai Motor India Limited founded in 1996, is a subsidiary of South Korea’s Hyundai Motor Company. It has become a major presence in the Indian automotive industry, ranking as the second-largest car manufacturer and the leading exporter of passenger vehicles in the country.
Written by – Siddesh S Raskar
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
Start Your Stock Market Journey Today!
Want to learn Stock Market trading and Investing? Make sure to check out exclusive Stock Market courses by FinGrad, the learning initiative by Trade Brains. You can enroll in FREE courses and webinars available on FinGrad today and get ahead in your trading career. Join now!!
