1. At a Glance – The EV Charger King That Quietly Became a Solar Contractor
Ladies and gentlemen, welcome to one of the most entertaining plot twists in Indian smallcap history.
A company that markets itself like the Tesla of India’s charging infrastructure is quietly earning most of its money from… solar EPC projects and inverters.
Yes. You heard that right.
Servotech Renewable Power System Ltd — the company that screams EV chargers, battery storage, and futuristic energy tech — just delivered a quarter where solar did the heavy lifting while EV chargers sat in the corner like a bored intern waiting for government policy to wake up.
And if that wasn’t spicy enough:
- Revenue: ₹202 Cr
- PAT: ₹14.7 Cr
- EPS: ₹0.65 → Annualised ₹2.6
- Stock P/E: ~46x
- Industry P/E: ~22x
So the market is basically saying:
“We trust you… but also not fully… but also kinda… but also maybe we’re just confused.”
Meanwhile:
- EV chargers? Slowed down due to policy changes
- Solar? Carrying the entire business on its back
- Battery? “Coming soon” like your gym membership
And then comes the real masala:
- ₹73.7 Cr order cancellation → “No impact” (classic Indian corporate line)
- Massive working capital needs
- Export dreams via Dubai
- Partnerships across Germany, France, UK — basically a LinkedIn influencer strategy
So what exactly is Servotech?
An EV infra company?
A solar EPC contractor?
A battery startup?
Or just a very ambitious jugaad machine riding India’s energy transition?
Let’s investigate.
2. Introduction – From Inverters to EV Dreams to Solar Reality
Servotech started in 2004 doing something very simple: power backup systems and inverters.
You know, the kind that saves your fan during a Nagpur power cut.
But over time, like every ambitious Indian company, they looked at the future and said:
“Why sell inverters when we can sell the entire energy ecosystem?”
So they expanded into:
- Solar
- EV chargers
- Battery storage
- Components
- Infrastructure
- And probably soon… chai stalls powered by solar
Now here’s the funny part.
The company markets itself heavily as an EV charging player, riding the EV boom narrative.
But reality (as always) is more grounded:
- EV chargers contributed only ~10–11% of revenue in Q3 FY26
- Majority revenue came from solar execution
So effectively:
👉 The “future story” is EV
👉 The “current cash flow” is solar
And that creates a classic smallcap dilemma:
Are you buying today’s business… or tomorrow’s promise?
Also worth noting:
- Clients include BPCL, IOCL, Tata Power, Indian Railways
- Strong PSU linkage → good for orders, bad for working capital
And here comes the most Indian sentence from management:
“Government contracts = working capital stress is inevitable.”
Translation:
👉 “We will grow, but your cash flow patience will be tested.”
So let me ask you:
Do you trust companies where growth comes with delayed payments?
3. Business Model – WTF Do They Even Do?
Alright, let’s simplify this chaos.
Servotech operates in three major verticals:
1. Solar Business (Actual
