1. At a Glance
Modison Ltd is that quiet uncle at the family wedding who doesn’t dance, doesn’t shout, but casually owns half the silver. Founded in 1975, this ₹475 crore market cap electrical contacts manufacturer just delivered a Q3 FY26 PAT of ₹20 crore, up 95% YoY, while the stock trades at a modest 12.8x P/E in an industry where the median is above 24x. Quarterly revenue clocked ₹144 crore, margins are holding, dividends keep coming, and promoters aren’t playing musical chairs with their stake.
Silver still makes up 75–80% of raw material, debt has crept up to ₹85 crore, and ROE isn’t setting Twitter on fire — but Modison is doing what it has always done: quietly supplying mission-critical electrical contacts to global giants while retail investors are busy chasing solar buzzwords.
Is this boring? Yes. Is boring sometimes profitable? Also yes. So let’s open the books.
2. Introduction
Modison is not a startup story. There’s no hoodie-wearing founder, no PowerPoint buzzwords, and definitely no “AI-enabled blockchain synergy”. Instead, you get silver alloys, copper tungsten, vacuum interrupter contacts, and decades-long relationships with companies that actually build things.
Founded in 1975, Modison manufactures electrical contacts across LV, MV, HV and EHV segments, a niche that sounds dull until you realize nothing works without it. Switchgear, circuit breakers, power transmission, railways, defence — all roads eventually pass through Modison’s products.
The company operates in a space where quality failures cause blackouts, explosions, or very angry utilities, which means once you’re approved, customers don’t switch vendors casually. That’s the moat. Not sexy, but effective.
3. Business
Model – WTF Do They Even Do?
Imagine electricity flowing at high voltage and someone has to politely tell it when to stop. That “someone” is an electrical contact.
Modison manufactures:
- Silver-based contacts for LV
- Copper chromium discs for MV
- Copper tungsten plugs and tulips for HV & EHV
- Precious metal compounds
- Specialty alloys for defence, PV cells, and industrial uses
Revenue comes from selling these mission-critical components to OEMs like ABB, Siemens, BHEL, Mitsubishi, Toshiba, and L&T. This is not a retail business. No discounts. No influencer marketing. Just qualification, audits, and long-term supply.
Exports contribute ~15%, domestic ~85%, with top 5 customers contributing 40–45%. Yes, concentration risk exists. But that’s how industrial supply chains work — you don’t sell HV contacts on Amazon.
4. Financials Overview
Quarterly Comparison (₹ crore)
| Metric | Latest Qtr (Dec 2025) | YoY Qtr | Prev Qtr | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 144 | 121 | 145 | 18.6% | -0.7% |
| EBITDA | 19 | 11 | 18 | 72% | 5% |
| PAT | 20 | 6 | 12 | 95% | 67% |
| EPS (₹) | 6.18 | 1.79 | 3.59 | 245% | 72% |
Annualised EPS: 6.18 × 4 = ₹24.7
At ₹147 CMP, annualised P/E ≈ 6x. That’s not a typo.
So why isn’t the stock flying? Because Modison is boring, cyclical, and silver prices don’t trend on Instagram, OK
