Greaves Cotton Limited

NSE: GREAVESCOT · Compressors, Pumps & Diesel Engines

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52W Range₹120 – ₹272

Snapshot

Unlock Greaves Cotton Limited's vital signs

Growth · Profitability · Valuation · Strength · Conviction

Company Overview

Business

Greaves Cotton Limited is a diversified engineering company that manufactures engines for automotive and non-automotive applications, including agriculture, construction, and power generation. The company also provides a wide range of equipment such as pumpsets, irrigation systems, and electric vehicles, supported by an extensive retail and spare parts distribution network.

Business Model

The company generates revenue through the manufacturing and sale of engines, power equipment, and spare parts, alongside providing vehicle finance services. It leverages a vast distribution network comprising approximately 400 retail centres and 6,300 smaller outlets to reach customers across India and international markets.

  • Retail Centres:400
  • Spare Parts Outlets:6300

Growth Outlook

Growth is expected to be driven by the expansion of the company's electric vehicle portfolio and the continued demand for its diversified industrial and agricultural equipment. Further opportunities exist in strengthening its presence in international markets across the Middle East, Africa, and South East Asia.

Key Risks

  • Technological Disruption. The rapid transition from internal combustion engines to electric vehicles poses a significant risk to the company's traditional engine-based revenue streams.
  • Cyclical Demand. The company's performance is highly sensitive to cyclical demand in the automotive, agricultural, and construction sectors.
  • Input Cost Volatility. Fluctuations in the prices of raw materials like steel and aluminium can adversely impact manufacturing margins.
  • Geopolitical Risk. Export operations in the Middle East and Africa are subject to regional economic instability and trade policy changes.

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Key Metrics

REVENUE

₹4,026 Cr

TTM · consolidated

+28.4%YoY

NET PROFIT

₹-16 Cr

TTM · consolidated

-143.9%YoY

EPS

₹3.38

TTM · consolidated

-24.4%YoY

RETURN ON EQUITY

-1.1%

TTM · consolidated

-3.7 ppYoY

RETURN ON CAPITAL EMPLOYED

5.3%

TTM · consolidated

-2.9 ppYoY

P/E

61.0×

Q2 FY27 · consolidated

61.0 vs 73.2x5Y avg

EV/EBITDA

16.7x

Q2 FY27 · consolidated

16.7 vs 27.2x5Y avg

EBITDA MARGIN

7.5%

TTM · consolidated

-0.4 ppYoY

NET PROFIT MARGIN

-2.5%

Q2 FY27 · consolidated

-3.3 ppYoY

DEBT TO EQUITY

0.4x

Q2 FY27 · consolidated

+0.28xYoY

Peers · Compressors, Pumps & Diesel Engines

CompanyMkt CapP/E (TTM)EV/EBITDARev Gr YoYEBITDA MgnROEROCE1Y Return
Greaves Cotton LimitedGREAVESCOT
₹4,645 Cr61.0×16.7128.4%7.5%-1.1%5.3%-9.6%
Kirloskar Pneumatic Company LimitedKIRLPNU
₹6,996 Cr15.2×18.239.1%21.7%21.3%27.3%-49.9%
Shakti Pumps (India) LimitedSHAKTIPUMP
₹4,364 Cr27.8×16.0315.8%10.9%9.4%15.9%-56.0%
Swaraj Engines LimitedSWARAJENG
₹4,161 Cr19.6×13.2825.4%14.0%49.3%64.7%-14.1%
Oswal PumpsOSWALPUMPS
₹2,303 Cr9.8×7.31—22.1%22.5%28.4%-70.8%
Yuken IndiaYUKEN
₹1,588 Cr100.6×29.098.9%11.7%4.6%9.3%+17.6%

As of Q2 FY27

Financials