Maxvolt Ene. — Q4 FY25 earnings call

Call held 27 May 2025

Management summary

Maxvolt Energy Industries Limited reported strong growth for H2 and full FY25, with revenue up 144.2% and 122.2% respectively. The company is aggressively expanding capacity, with a new giga factory and recycling plant planned on recently allocated land. While margins saw some compression in H2 and receivables increased, management is confident in future profitability driven by market expansion, circular economy initiatives, and government support for the EV and energy storage sectors.

Highlights

  • Full FY25 Revenue of INR 107.466 crores, up 122.2% YoY.

  • Full FY25 Net Profit of INR 10.117 crores, up 94% YoY.

  • H2 FY25 Revenue of INR 67.189 crores, up 144.2% YoY.

  • Capacity expanded from 2,500-3,000 to 6,000 batteries/month, with plans to reach 15,500 post-expansion.

  • Secured 23,500 sq meters of industrial land for a new giga factory and recycling plant.

Concerns

  • H2 FY25 EBITDA margin at 12.7% and PAT margin at 7.9%, showing some compression compared to full FY25 (13% and 9.4% respectively).

  • Receivables as a percentage of sales increased from 13.5% last year to 28% this year.

  • Cash balance reported at a low INR 1.3 crores.

Key financials

2 periods

H2

  • FY25 Revenue
    ₹67.189 Cr
    YoY +144.2%
  • FY25 EBITDA
    ₹8.562 Cr
    YoY +53.9%
  • FY25 EBITDA Margin
    12.7%
  • FY25 PAT
    ₹5.34 Cr
    YoY +33.9%
  • FY25 PAT Margin
    7.9%

FY25

  • Revenue
    ₹107.466 Cr
    YoY +122.2%
  • EBITDA
    ₹13.939 Cr
    YoY +113.6%
  • EBITDA Margin
    13%
  • Net Profit
    ₹10.117 Cr
    YoY +94%
  • PAT Margin
    9.4%

What they filed

Q4 FY26: revenue up 496.4%, net profit up 175.0% against the same quarter last year.

₹ Cr · quarterly
Line itemQ4 FY24Q2 FY25Q4 FY25Q2 FY26Q4 FY26
Revenue28 40 67 130 167 +496%
EBITDA6 5 9 18 17 +183%
Net profit4 5 5 13 11 +175%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Segment breakdown

Share of Revenue
₹107.462 Cr Total
  • E-scooter (FY25) ₹87.609 Cr 81.5%
  • Battery Chargers (FY25) ₹8.44 Cr 7.9%
  • Other Business Segments (FY25) ₹7.638 Cr 7.1%
  • ESS (Energy Storage System) (FY25) ₹3.353 Cr 3.1%
  • E-rickshaw (FY25) ₹0.388 Cr 0.4%
  • E-cycle (FY25) ₹0.036 Cr 0.0%

Capital allocation

high confidence
  • Capex Capex disclosed Current capacity expansion is 100% self-arranged; Recycling and ESS factory project discussing with HDFC for funding and using NSG money.
    • Current capacity expansion (Phase 1) ₹16 Cr
    • Recycling and ESS factory project ₹80 Cr
    Actually, we have a two segment for that. One is the, if you're talking about the current, this, we are just going to expand phase one, which we are, Vishal is already explained in the last discussion. The cost of infusion of that particular phase is about INR16 crore approximate, where we already ordered that machine by own. We're not going for any debt and all. This is the 100% self-arrangement we are doing right now. And for the coming project, like we are planning to set up our recycling, plus our ESS factory. They have a project cost is about INR80 crores here. We're already discussing with our existing banker, HDFC, for the project funding. And we also have some money we received from the NSG as we are deploying for that particular project. And also, we are having that money from the HDFC. So, this is the kind of planning we are doing right now.
  • Debt Debt disclosed
    • Repayment Approx. INR 8.2-9 crores of debt payments applied for, mostly closed in March, April, May, with 1-2 pending due to conditions. ₹8.2 Cr
    Yes. Actually, that time we have around 8.2, approximate is about INR9 crores approximate that debt payment, which is they already applied for that. We do in the March month and all we have done in the month of April and May. So, all debts we already closed, there's some few, one or two debts are still pending, which is we need to pay because they have some conditions. So, they require 5 to 6 months for that. So, when we complete that cap, we can pay that amount.
  • Liquidity Cash ₹1.3 Cr
    And this working capital crunch caused by primarily the receivables being high this year has made our cash balance 1.3 crores now, which is quite low.

Guidance & targets

Revenue

  • FY26 Revenue Revenue · this year · Medium confidence INR 170-180 crores
    So, for this year, sir, we are targeting a revenue of just a tentative, I'm telling you. So, we are targeting a revenue of like INR170 to INR180 crores.

    — Management

Capacity

  • Capacity increase Capacity · by December 2025 · Medium confidence 1.5X
    But simultaneously, we are also working for the expansion, like we are just going to set up our plant and we are going to have capacity increased by 1.5X, which can be coming about the December 2025.

    — Vishal Gupta

  • Post-expansion capacity Capacity · post current phase activation (Jan/Feb 2026) · High confidence 15,500 batteries/month

    Previously 6,000 batteries/month → 15,500 batteries/month

    Currently 6,000, post that we have around 15,500 approximately we are going for that capacity.

    — Satendra Shukla

Service

  • Turnaround Time (TAT) Service · this year · High confidence 4 days

    Previously 8 days → 4 days

    The TAT reduced from 30 to 35 days, sorry 35 days to 8 days currently and we are aiming to reduce that TAT for 4 days for this year.

    — Management

Segment Contribution

  • ESS Revenue Contribution Segment Contribution · this year · High confidence 10-12%

    Previously 5% → 10-12%

    So, this year, we are targeting to be to get that revenue from ESS around like 10% to 12%

    — Management

  • Recycling Revenue Contribution Segment Contribution · this year · High confidence 10-12%

    Previously 6% → 10-12%

    and from recycling the same 10% to 12%.

    — Management

  • Total ESS & Recycling Revenue Contribution Segment Contribution · this year · High confidence 25%
    So, 25% we are targeting from other resources like this, as I told before, the recycling and the energy storage.

    — Management

Profitability

  • Profitability Margin Profitability · this year · Medium confidence 9-10%
    But the profitability is going to be similar, like between these, we are reflecting 9% to 10% in between.

    — Vishal Gupta

What to watch in Q1 FY26

Overall EBITDA Margin

Next quarter and subsequent quarters
Current H2 FY25 at 12.7%, Full FY25 at 13%
Target Maintain 9-10% range, with future increase.

Why it matters

To assess if margin compression was temporary due to expansion or a sustained trend.

But the profitability is going to be similar, like between these, we are reflecting 9% to 10% in between.

Risks & concerns

  • Margin Compression

    medium

    H2 FY25 EBITDA and PAT margins were lower than full FY25 and previous H2, attributed to expansion investments.

    Analyst acknowledged

  • Increased Receivables & Low Cash Balance

    medium

    Receivables as % of sales increased to 28%, and cash balance was INR 1.3 crores, prompting questions on working capital management.

    Analyst acknowledged

  • Competitive Industry

    medium

    The battery market is competitive and commoditized, but management highlights product+service, regulatory compliance, buyback model, and future recycling as differentiators.

    Analyst acknowledged

Q&A highlights

6 direct
Margin Compression & Future Outlook Partial
But the profitability is going to be similar, like between these, we are reflecting 9% to 10% in between. ... But simultaneously, we are also working for the expansion, like we are just going to set up our plant and we are going to have capacity increased by 1.5X, which can be coming about the December 2025. So, the margin remains the same, I believe, it's not going to be increased in this year, especially for this year. Definitely, in future, it's going to be increased.

Analyst questioned H2 FY25 margin compression, and management explained it was due to expansion investments, guiding for stable margins this year with future improvement.

Asked by Sanket Sadh

Receivables & Cash Balance Partial
So, my next question is that the receivables as a percentage of sales has gone up from 13.5% last year to 28% this year. ... And this working capital crunch caused by primarily the receivables being high this year has made our cash balance 1.3 crores now, which is quite low. ... So, in future, for that we are starting to be a supply chain financing, where we have some, we already get some approval, we are talking to some NBFCs, we already have some approvals for that.

Analyst highlighted increased receivables and low cash balance, prompting management to detail their collection strategies and plans for supply chain financing.

Asked by Sanket Sadh

IPO Debt Prepayment Direct
Yes. Actually, that time we have around 8.2, approximate is about INR9 crores approximate that debt payment, which is they already applied for that. We do in the March month and all we have done in the month of April and May. So, all debts we already closed, there's some few, one or two debts are still pending, which is we need to pay because they have some conditions.

Analyst followed up on a key IPO promise, and management confirmed significant debt payments were made post-listing.

Asked by Sanket Sadh

Market Segmentation & OEM Strategy Direct
So, the people also have a two kind of vehicle. One is the high-speed vehicle. The people have also a slow speed vehicle. 80% of the people are dealing in the slow speed vehicle. They have no kind of people are using majorly for the lead acid battery for that. And for the 20% high speed vehicle, the people are using a lithium battery. ... We are also catering for the different, different application market. So, we also have some tie-up with the OEMs. We have around 20 to 23 OEMs as of now, where we are supplying OEMS like medium size OEMs, medium and small size OEMs where we are supplying.

Analyst questioned the company's market focus given organized players' dominance, and management clarified their strategy across slow/high-speed segments, retail, and smaller OEMs.

Asked by Tej

TAT Reduction & Smart Battery Direct
So that's why we reduce that TAT and we make this smart battery. Our battery will come with this smart enabled BMS where you can diagnose the battery instantly. ... The TAT reduced from 30 to 35 days, sorry 35 days to 8 days currently and we are aiming to reduce that TAT for 4 days for this year.

Analyst inquired about service differentiation, and management detailed their smart battery technology and aggressive TAT reduction targets as a competitive advantage.

Asked by Tej

Capex Plans & Funding Direct
The cost of infusion of that particular phase is about INR16 crore approximate, where we already ordered that machine by own. We're not going for any debt and all. This is the 100% self-arrangement we are doing right now. And for the coming project, like we are planning to set up our recycling, plus our ESS factory. They have a project cost is about INR80 crores here. We're already discussing with our existing banker, HDFC, for the project funding.

Analyst sought clarity on capex allocation and funding, and management provided specific amounts and funding sources for different expansion projects.

Asked by Tej

Recycling Plant Timeline Direct
I believe it will take around 15-18 months, because the line, we recently bought it from the government side, and this year, we are going for the construction, and this year, we ordered for the machine, and machine having a lead time of about 60, sorry, 180 days from the supplier side.

Analyst asked for the timeline of the crucial recycling plant, and management provided a clear 15-18 month estimate with current year activities.

Asked by Tej

Post-AIS 156 Market Changes Direct
So, it is like, basically, there are multiple type of tests, which you have to do. So, you have to take a certification, and that single certification costs around INR15 lakhs for a battery, which everyone can't afford, first of all. And secondly, it goes through a very rigorous testing. ... So, it gives us an added advantage where we have cracked all those things, and the product is that sustainable that it goes all through the testings and have passed on it.

Analyst questioned the impact of regulatory changes (AIS 156) on market consolidation, and management explained how stringent testing and certification requirements created a barrier to entry for smaller players, benefiting compliant companies.

Asked by Tej

3 min read 6 chapters

Detailed narrative

Strong Financial Performance and Growth Drivers

Maxvolt Energy reported robust financial results for H2 FY25 and the full financial year. H2 FY25 revenue grew 144.2% YoY to INR 67.189 crores, with full FY25 revenue reaching INR 107.466 crores, a 122.2% YoY increase. Net profit for FY25 stood at INR 10.117 crores, up 94% YoY. This impressive growth is primarily driven by the rapid adoption of electric vehicles, government initiatives like FAME II and PLI schemes, and the expanding energy storage market, which is projected to reach $9.6 billion by 2033 with a CAGR of 12.3%.

Strategic Focus on Circular Economy and Capacity Expansion

The company's core strategy emphasizes a sustainable battery lifecycle through its four pillars: Repurpose, Recycle, Reuse, and Recharge, including a unique buyback model offering up to 20% cashback. Maxvolt is aggressively expanding its manufacturing capabilities, with current capacity increasing from 2,500-3,000 to 6,000 batteries per month. A significant development is the allocation of 23,500 sq meters of industrial land in Aligarh for a new giga factory and a dedicated lithium battery recycling facility, supported by the Uttar Pradesh government.

Market Penetration and OEM Relationships

Maxvolt has successfully expanded its dealer and distributor network to over 620 partners across 1,100 pin codes, enhancing market access and brand presence. The company also strengthened its OEM relationships to 22, supplying customized battery solutions for various applications including e-scooters, e-rickshaws, and energy storage systems. While catering to the retail and unorganized market, Maxvolt is actively pursuing partnerships with larger OEMs like TCA and Godrej, aiming to land a significant OEM account this year.

Margin Dynamics and Receivables Management

Despite strong revenue growth, H2 FY25 saw some margin compression, with EBITDA margin at 12.7% and PAT margin at 7.9%, compared to 13% and 9.4% for the full year, respectively. Management attributed this to significant investments in expansion, including increased manpower and infrastructure. Receivables as a percentage of sales increased to 28% from 13.5% last year, and the company's cash balance was INR 1.3 crores. Maxvolt is addressing this through advanced payments, credit terms for established customers, and exploring supply chain financing with NBFCs.

Innovation in Service and Product Development

Maxvolt is differentiating itself through superior service and product innovation. The company aims to reduce its Turnaround Time (TAT) for battery service from the current 8 days to 4 days this year, a significant improvement from the industry standard of 30-35 days. This is enabled by smart batteries with integrated BMS for instant diagnosis and onsite support. Maxvolt is also developing advanced solutions like fast-charging hybrid systems and introducing L3, L4, L5 category products for 3-wheelers, alongside working on ESS small pack and home solution batteries.

Capex and Funding Plans

The company has outlined a capex plan of approximately INR 16 crores for current capacity expansion (Phase 1), which is 100% self-funded. Additionally, a larger project for the recycling and ESS factory is estimated at INR 80 crores. For this, Maxvolt is discussing funding with HDFC and utilizing funds received from NSG. The current capacity expansion is expected to be activated around Jan/Feb 2026, which will increase the capacity from 6,000 to approximately 15,500 batteries per month.

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