1.At a Glance
Welcome toSpectrum Electrical Industries Ltd— where an injection moulding shop from Jalgaon decided that building EV chargers, MRI machines, and AI software is the same thing. At a market cap of ₹1,800 crore and a stock price of ₹1,153 (down a spicy 35% in a year), the company’s spectrum truly extends from sockets to silicon.
WithQ2FY26results showingRevenue of ₹116 crore(up 41.4% YoY) andPAT of ₹7.93 crore(up 81.9% YoY), Spectrum’s numbers look juicier than a Diwali balance sheet bonus. Yet, at aP/E of 58.5x, you’re paying more than Honeywell prices for a company whose promoter still runs it like a Jalgaon family business.
OPM sits at13.8%, ROE at13.7%, and debt at₹164 crore—enough to make the CFO slightly nervous but not yet clutching a stress ball. Promoters hold a strong72.7% stake, foreign investors are creeping in (~4.3%), and the rest of us mortals hold 22%. The Street, however, is still asking — “MRI banega ya yeh bhi prototype rehega?”
2.Introduction – Jalgaon’s Marvel Factory
Imagine if your neighbourhood electrician suddenly decided to build Tesla chargers and X-ray machines. That’s Spectrum Electrical. Born in 1995, the company was originally intoinjection mouldingandmetal pressingfor electrical components — the boring yet crucial screws and sockets behind your switchboards.
Fast-forward to FY24–FY25, and the same company now talks aboutEV charging stations,medical imaging devices, andAI automation softwarewith the confidence of a TEDx speaker and the speed of a desi startup raising funds before lunch.
Revenue climbed to₹443 crore in FY25(up from ₹397 crore in FY24), and PAT to₹30.8 crore, proving that diversification sometimes pays — especially when it’s dressed up in buzzwords like “digital enterprise,” “smart manufacturing,” and “AI-based analytics.”
Still, beneath the futuristic PowerPoint slides, Spectrum’s bread and butter remainsmetal stamping, injection moulding,andelectroplating— the kind of work that smells of lubricant oil and industrial paint, not AI or MRI.
And yet, you can’t deny the ambition. Jalgaon’s finest now wants to compete with ABB, Schneider, and even GE Healthcare. Who says small towns can’t dream big?
3.Business Model – WTF Do They Even Do?
Spectrum’s business model is like a thali — everything from daal (electrical parts) to dessert (AI services) is in there.
Here’s the simplified menu:
- Products (83%): The real money-maker. Electrical components like EV chargers, modular switchboard panels, MCB bases and covers, auto and irrigation equipment, and more. Basically, if it carries current, Spectrum probably makes a part of it.
- Services (17%): The supporting cast — electroplating, injection moulding, stamping, and powder coating. Think of it as industrial makeup for metal parts.
The clientele list reads like the Avengers of Electrical Engineering — ABB, Legrand, Schneider, Anchor, L&T, and Jain Irrigation. But here’s the twist:top three customers contribute over 70% of revenue.Yes, that’s a lot of eggs in three baskets. One sneeze from ABB’s procurement team, and Jalgaon’s economy could catch a cold.
The company operatesthree manufacturing plantsacross Maharashtra — Jalgaon, Nashik, and Pune. But expansion plans are on full throttle — new factories inBangalore, a₹100 crore MoUwith the Maharashtra government, and a rooftopsolar projectbecause ESG ka zamana hai bhai!
Now, here’s where things get spicy. In 2024, Spectrum decided to entermedical device manufacturingthrough its WOS —Spectrum Healthcare. Not just syringes or gloves — full-blownMRI and X-ray systems. Partnerships are already inked withFischer Medical VenturesandTime Medical International.
And if that wasn’t enough, they’ve also jumped intoAI and low-code softwarewith a new sub —Pristine IT Code Pvt Ltd.It’s like the company looked at its switchboards and thought, “Let’s automate this world too!”
4.Financials Overview
| Metric (₹ Cr) | Latest Qtr (Sep’25) | YoY Qtr (Sep’24) | Prev Qtr (Jun’25) | YoY % | QoQ % |
|---|---|---|---|---|---|
| Revenue | 116.06 | 82.09 | 84.55 | 41.4% | 37.3% |
| EBITDA | 14.76 | 8.10 | 11.60 | 82.2% | 27.2% |
| PAT | 7.93 | 4.36 | 6.09 | 81.9% | 30.2% |
| EPS (₹) | 5.05 | 2.79 | 3.90 | 81.9% | 29.5% |
Commentary: Spectrum’s financials look like a well-charged EV battery.Revenue up 41%,PAT up 82%, andEBITDA margin steady at 13%. That’s serious acceleration. The quarterly
EPS of ₹5.05 implies an annualized ₹20.2 — matching the TTM EPS of ₹19.7.
But with aP/E of 58.5, the stock trades at luxury pricing — more iPhone Pro than JioPhone. Clearly, the Street believes Jalgaon will soon rival Silicon Valley.
5.Valuation Discussion – Fair Value Range Only
Let’s crunch the numbers like accountants in a chai break.
P/E Method:
- EPS (TTM): ₹19.7
- Industry PE: 34.8
- Current PE: 58.5
- Fair value = ₹19.7 × (34.8–40) = ₹685 – ₹788
EV/EBITDA Method:
- EV = ₹1,962 Cr
- EBITDA (TTM) = ₹67.4 Cr (approx 14% of ₹443 Cr)
- EV/EBITDA = 29.1x (ouch)
- Sector average = 18–22x → Fair EV = ₹1,214 – ₹1,482 Cr
- Fair price range ≈ ₹730 – ₹900
DCF (Simplified):Assume cash flow growth of 20% for 5 years, discount at 12%, terminal growth 4% → Fair range ₹750 – ₹880.
📢Educational Disclaimer:This fair value range (₹700–₹900) is purely for educational purposes andnotinvestment advice.
6.What’s Cooking – News, Triggers, Drama
2024–25 was a year of transformation. Spectrum looked at its wiring and decided to rewire its destiny.
- Medical Devices Venture:The formation ofSpectrum Healthcaremarks a bold leap into high-tech manufacturing. Tie-ups withFischer Medical VenturesandTime Medical Internationalwill help them assemble MRI machines locally — a market dominated by GE, Philips, and Siemens.
- Digital Enterprise:Entered IT & automation services, creatingPristine IT Code Pvt Ltdand acquiring the QuickBPM low-code platform.
- Expansion Blitz:Signed a₹100 crore MoUwith Maharashtra government to expand Jalgaon facilities.
- Fundraising Fever:Raised ₹36.5 crore via QIP at ₹1,177 per share, plus ₹32 crore via preferential issue and warrants. Basically, they went shopping with fresh capital.
- Green Energy Touch:Rooftop solar plant underway to shave power costs and earn ESG brownie points.
If this was a Bollywood movie, this would be the “Interval” scene where the hero gears up for Act 2 — medical tech, EV chargers, AI, and solar — all firing simultaneously. The only question is: can the hero manage all plots without losing the audience?
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