Marine Electricals Hits Upper Circuit After Securing an Order

Marine Electricals (India) Ltd (MEIL) primarily provides customised electrical solutions to both the marine and non-marine sectors. Headquartered in Mumbai, the company boasts manufacturing facilities in Mumbai and Goa.

Recent Stock Performance

The share price of Marine Electricals recently surged by 5%, reaching the upper circuit limit of the day. This spike followed the company’s announcement of securing an order worth Rs. 20.40 crore from M/s. L&T Shipbuilding for the supply of an Integrated Bridge System (IBS). The delivery of this order is scheduled over a period of 14-15 months.

Leadership in the Marine Business

Marine Electricals holds a commanding position in the marine business, with a 50% market share in the electrical segment. As a Tier-I electrical supplier, the company is on the approved vendor list of the Indian Navy, as well as Indian and global shipyards. The company faces high entry barriers in marine vendor qualification, which requires prior experience and references. MEIL’s senior team brings extensive experience in working with the Indian Navy and shipyards, supported by a robust service infrastructure across all major ports and naval establishments.

Partnership with Schneider Electricals

MEIL is the largest partner of Schneider Electricals in India, commanding over 50% market share in Schneider Electricals’ Blokset Panels supplied in the country. The company maintains client ownership by having an experienced sales team that not only originates orders but also manages relationships thereafter. The receipt of repeat orders from marquee clients stands as a testament to MEIL’s quality performance, timely delivery, and strong relationships.

Reputation for Reliability and Complex Solutions

Marine Electricals is recognized as a brand synonymous with the most reliable and complex electrical solutions. The company holds a leadership position in the fast-growing data center segment, where uninterrupted power is crucial. Additionally, MEIL is the electrical supplier for plants of reputed companies like MRF, Cipla, and Asian Paints.

Stock Performance in 2024

In 2024, Marine Electricals’ stock saw an impressive increase of 157%. In the month of July alone, the stock surged by 67%.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.