Latest news with #AmaraRaja
Hans India
29-06-2025
- Politics
- Hans India
Subhash terms Jagan's ‘recall' campaign as ‘absurd
Amalapuram: Minister for labour, factories, boilers and insurance medical services Vasamsetti Subhash termed the 'Recall Chandrababu Manifesto' agitation announced by YSRCP president Y S Jagan Mohan Reddy as 'highly ridiculous and ironic'. Addressing the media on Saturday, the minister criticised Jagan Mohan Reddy for failing to fulfill several key promises during his five-year rule. Subhash alleged that Jagan's government completely ruined the state, leaving it in economic distress. He pointed out that crucial promises like scrapping the Contributory Pension Scheme (CPS), enforcing prohibition, increasing pensions for the differently-abled, achieving Special Category Status, and constructing 30 lakh houses were never fulfilled. Describing Jagan's rule as a 'dark era' for the state, the minister accused the former CM of harassing major companies like Amara Raja and Kia Motors for commissions, which hurt the state's industrial growth. He also alleged that the SC, ST, and BC communities were severely neglected, with no loans sanctioned and 26 welfare schemes meant for SCs being scrapped. Subhash stated that the people of Andhra Pradesh rejected Jagan's misrule, which is evident from the fact that his party was reduced to just 11 Assembly seats in the recent elections. He said that despite this clear verdict, Jagan has not learned any lessons. Criticising the YSRCP's newly launched campaign under the banner of 'Recall Chandrababu Manifesto', the minister called it shameful and absurd. He added that YSRCP leaders are unable to accept the ongoing development and welfare initiatives being successfully implemented by the new government. The minister concluded that people have entrusted Chandrababu Naidu with the responsibility of rebuilding the state and that such recall campaigns only show YSRCP's inability to face reality.
Hans India
29-06-2025
- Business
- Hans India
Rural women power industrial change
In the quiet village of Divitipally, Telangana, a silent revolution is unfolding. At Amara Raja's cutting-edge Gigafactory, hundreds of rural women are not just assembling battery packs—they're building new lives, breaking social barriers, and leading India's manufacturing transformation. This women-led plant is an inspiring example of how inclusive employment can empower individuals and uplift entire communities. A Legacy of Women Empowerment Amara Raja's journey with women empowerment dates back to the late 1990s, when it began employing local women in its electronics unit in Chittoor. Carrying that legacy forward, the newly established Gigafactory in Divitipally was designed with the intention of creating non-migratory job opportunities for local women. 'In our village, job opportunities were few and far between, especially for women,' shared Saujanya, an operator at the plant. 'Working in agriculture was seasonal and uncertain. But this job changed everything for me.' Uplifting Rural Women from the Margins Most women at the Divitipally plant come from Below Poverty Line (BPL) households and lacked prior technical training. 'Before this job, I earned a few hundred rupees a day doing field work—if work was even available,' Saujanya recalled. 'Now, I earn a steady income and I can support my children's education.' What started as a hesitant step into an unfamiliar world soon became a powerful stride toward independence. 'Initially, my family was unsure if it was safe for me to work in a factory,' said Malleswari, who now handles quality control. 'But once they saw other women thriving, they started believing in me too.' Skills, Confidence, and Control Amara Raja has set up a training ecosystem tailored to women with no technical background. Recruits undergo a week of technical training followed by soft skills development and cultural orientation. 'We started with the basics—machine handling, safety, and assembly,' said Shailaja, who now manages dispatch operations. 'They made sure we were comfortable before assigning us to production lines. It was empowering.' Today, women at the plant manage operations across five key areas: raw material sorting, assembly, welding, testing, and dispatching—handling machines and making critical decisions with confidence. Creating Pathways to Leadership The transformation doesn't stop at the shop floor. Women are being trained to take up supervisory and managerial roles. 'I never imagined I could be responsible for a team,' said Shailaja. 'But now I've been trained not just to operate, but to lead.' With tailored mentorship and training, young women are placed as Graduate Engineering Trainees (GETs) and groomed for department-level responsibilities. 'Being trusted with leadership has boosted our confidence. We feel respected and valued,' one GET shared proudly. A Safe and Supportive Environment Understanding the unique challenges women face, Amara Raja has created a workplace that prioritizes comfort and safety. Sanitary support, nutritious meals, reliable transport, and wellness programs ensure that women can focus on their work without compromising their dignity or health. 'These facilities show that they care about us not just as workers, but as women,' said Malleswari. 'It makes a huge difference.' Challenging Stereotypes, Shaping New Norms Beyond providing employment, the plant is helping reshape gender norms in rural communities. 'Earlier, people in my village thought factory work was only for men,' said Saujanya. 'Now they see us doing this job, wearing uniforms, managing machines—they're amazed.' As women begin to contribute significantly to their household incomes, families are increasingly supportive. 'My income has helped us pay off debts and plan better for the future. My family respects my opinion more now,' said Shailaja. From Local Impact to Global Vision With three production lines already operational and a fourth on the way, the female workforce at Divitipally is expected to grow to over 450 women by the end of 2025. 'The success here is just the beginning,' one of the women leaders said. 'We hope other factories across India will follow this model. Women are ready—we just need the opportunity.' Leading a New Industrial Era The women of Amara Raja's Gigafactory aren't just part of an industrial process—they are pioneers of a new kind of workplace. Their stories show how skill, dignity, and opportunity can come together to drive both personal transformation and national progress. As India's industries gear up for a greener future, these women prove that true power lies not just in technology—but in empowerment.
Mint
24-06-2025
- Automotive
- Mint
India's EV battery dream hits the great price wall of China
New Delhi: India's goal of creating an electric vehicle (EV) battery manufacturing ecosystem is facing a potential headwind: cheap batteries from China. Domestic manufacturers such as Amara Raja Energy Mobility Ltd and Exide Industries Ltd are worried that their own batteries, which are expected to roll out of factories between this fiscal and FY27, won't be able to match the prices of the Chinese. India-made batteries are expected to be 20-30% costlier than their Chinese counterparts due to heavy reliance on imports of raw materials, according to an industry executive working on cell supply chain at an electric two-wheeler company who spoke on condition of anonymity. Plus, analysts believe that a huge overcapacity of EV battery cells in China means aggressive pricing is here to stay. 'I think everybody would have observed that the pricing coming out of China right now is quite aggressive," Vikramadithya Gourineni, executive director for new energy business at Amara Raja Energy, told analysts in an earnings call on 30 May. 'The cell pricing, the energy storage system (ESS) pricing. So definitely, that's been on a downward trend." Also read | Telangana's Vahan gap: Centre eyes direct link for faster EV subsidies To be sure, India currently does not manufacture EV batteries–mostly lithium ion batteries are used in the country. All local EV makers import batteries–three fourths from Chinese companies such as CATL, BYD and EVE. The rest come from South Korean companies (such as LG, Samsung) and Japan (Panasonic). The Union government and private industry are working to change that. As per the Centre's stated targets, the country wants to domestically produce 100GWh of lithium ion batteries by 2030. India's lithium ion battery demand is expected to grow to 127 GWh by FY30 from 15GWh in FY24, per a November 2024 report by CareEdge ratings. However, the Chinese angle has got local battery makers asking for government support. 'Once the domestic manufacturing capacity of cells is in place, the government has to switch the priority to incentivizing local cell manufacturing," Exide Industries managing director and chief executive officer Avik Roy said on a call with analysts on 6 May after announcing the company's Q4 results. 'Otherwise, this industry will never grow in India." Read this | Tata Motors, JLR flag EV supply chain as a separate business risk. They don't name China, but its imprint is all over. Further, Amara Raja's Gourineni said that future investments, too, will depend on 'our confidence in being able to meet these (Chinese) prices". Amara Raja has earmarked more than ₹1,000 crore for investing in its lithium ion battery factory near Hyderabad, which is expected to begin production in FY27. Exide, which has already invested more than ₹1,000 crore so far for a gigafactory near Bengaluru, is also aiming to commercialize the production of lithium-ion cells within the current financial year. Other players who are making their own lithium ion cell gigafactories include Reliance Industries, Ola Electric, Tata's Agratas, andRajesh Exports, among others. Requests to these companies for comment remained unanswered till press time. Up against the Chinese Elara Capital's executive vice-president Jay Kale wrote in a 12 May note that overcapacity in cells in China will put pressure on battery prices in the medium term. 'Most cell makers are expanding capacities by +50%, which is a concern for profitability of the industry. That said, battery prices in China still remain 10-20% below that in the US and Europe," Kale wrote. 'We expect the gap to widen further as China continues to dominate the supply chain and global capacities are still miles away from China's." There are two types of battery chemistries in EV batteries, lithium iron phosphate (LFP) and Nickel Manganese Cobalt (NMC). Industry observers report that they have seen prices go below $50 per kilowatt hour in some cases from the recent average of $55KWh for lithium iron phosphate (LFP) batteries. NMC battery prices are still hovering around $60 KwH. Also read | India plans to offer grants, ease regulatory norms for rare earth processing amid China supply woes Several estimates suggest China controls about 80% of the world's lithium ion battery market. Plus, Chinese players do not have to rely on imports of raw material such as lithium to make the batteries, since it dominates lithium mining and processing globally with a market share of 80%, as per Organisation for Research on China and Asia. On the other hand, India currently doesn't have processing capacity for lithium, which means all the raw material has to be imported, too. In FY24, the country imported close to $3 billion of lithium, according to commerce ministry data. More than three-fourths of that came from China. What should India do? Given the dependence on imports of key raw materials, Harshvardhan Sharma, group head for auto tech and innovation at Nomura Research Institute Consulting & Solutions India, noted that Indian companies should not try to match any tactical pricing play from overseas. 'The focus should be on building a sustainable battery product, something not feasible at the extremely low price levels," Sharma said. 'Over time, we can expect market prices to adjust to more sustainable levels." Vikram Handa, managing director at battery material manufacturer Epsilon Advanced Material agreed that investment decisions in EV batteries is difficult, considering the low pricing and overcapacity of the Chinese. 'Investment into the technology has to be from the perspective of building domestic capacity, like how the US is doing," Handa toldMint. 'They are subsidising and asking players to build the capacity because it is a critical technology." Also read | Toyota Kirloskar Auto Parts becomes first component maker to get Auto PLI, says Ministry of Heavy Industries In 2021, the central government floated the ₹18,100-crore production linked incentive (PLI) scheme for building 50GWh capacity. However, no incentive in the scheme has been disbursed so far to three selected players–Ola Electric, Reliance Industries and Rajesh Exports–as they remain behind their set timelines of production due to various reasons, including sourcing of raw materials. However, Handa believes that India's current subsidy level of $12-13 kilowatt per hour is too low compared to the support by countries like the US, which provide $45 kilowatt per hour. Don't forget rare earths The risk of dependence on China comes at a time when the automobile industry is worried about the restrictions on export of rare earth magnets, which are needed in electric and internal combustion engine vehicles. About 90% of the world's processing capacity of such magnets is with China, which imposed new restrictions on the exports on 4 April. Under the new process, automobile companies are expected to submit applications with certificates that state that the component will not be used in a defence application. Indian battery makers do not have to face restrictions on lithium currently but the prospects of a future restriction on such exports also is raising the urgency of building domestic capacity. And read | Amara Raja's March quarter margin is an irritant. More trouble ahead?
Yahoo
31-05-2025
- Business
- Yahoo
Amara Raja Energy & Mobility Ltd (BOM:500008) Q4 2025 Earnings Call Highlights: Strong ...
Consolidated Revenue: INR 3,060 crores, 5% growth over the previous year. Lead Acid Battery Revenue: Approximately INR 2,900 crores, 4% growth over the previous year. Four-Wheeler Domestic Aftermarket Volumes: 9% year-on-year growth. Two-Wheeler Volumes: 13% growth during the current quarter. Home Inventory Batteries Growth: Close to 17% growth. Lube Business Revenue: INR 40 crore for the current quarter. New Energy Business Revenue Growth: 35% growth in the current quarter. Operating Margins Impact: Negatively impacted by 1.5% to 2% due to material and power costs. Full Year Revenue Growth: 10% on a consolidated basis. CapEx Spend: Close to INR 100 crores, with significant investment in Lead Acid business and New Energy business. Lead Acid Recycling Plant: Commenced commercial operations during Q4. Warning! GuruFocus has detected 3 Warning Signs with BOM:500008. Release Date: May 30, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Amara Raja Energy & Mobility Ltd (BOM:500008) reported a consolidated revenue growth of about 5% in Q4 FY25, with the Lead Acid battery business contributing significantly. The domestic aftermarket for four-wheeler batteries showed a strong growth of 9% year-on-year, with overall volume growth at 15%. The New Energy business experienced a 35% revenue growth in the current quarter, driven by higher supply of ESS batteries to the telecom segment and continued performance of EV batteries. The company has successfully expanded its geographical presence, entering new markets such as the UK, Greece, and the Benelux region. Significant efforts in throughput enhancement have allowed the company to add capacities without incurring additional CapEx, potentially improving return ratios going forward. The company's profitability and operating margins were negatively impacted by increased material costs, particularly alloys like antimony, and higher power costs. There was a slowdown in the overall exports business, with international volumes experiencing a muted demand, leading to a 10% reduction over the previous year. The telecom segment within the Lead Acid business faced challenges, contributing to a muted overall industrial volume growth for the quarter. The New Energy business remained flat in terms of revenue for the year, with some existing customers losing market share. The company faces ongoing cost pressures from power and material costs, which may persist into the next quarters, affecting margins. Q: Could you provide details on the margin targets and the impact of recent price hikes? A: Y. Delli Babu, CFO: The target margin is 14%. We've taken a 2% price increase to mitigate cost pressures from alloys and power costs. The tubular battery plant and lead recycling plant will contribute to margins once fully operational. Current cost pressures may persist for a couple of quarters. Q: Is there a shift in the timeline for the New Energy business, particularly the cell business? A: Vikramadithya Gourineni, Executive Director - New Energy Business: The first giga factory is on track to come online as planned, primarily serving the light electric mobility business. Pricing from China is aggressive, affecting market dynamics. Q: What is the investment plan for the lithium cell project in FY26 and FY27? A: Y. Delli Babu, CFO: We've invested INR 850 crores so far, with INR 350 crores in the current year. For FY26, the New Energy business will require around INR 1,000 crores in CapEx. Q: How are discussions with OEMs progressing regarding local sourcing versus imports for EVs? A: Harshavardhana Gourineni, Executive Director - Automotive and Industrial: OEMs are keen on localized cells, but challenges exist due to the new ecosystem in India. We expect a 15-20% cost penalty initially, which should decrease over time as local supply chains develop. Q: Are there any supply issues with critical materials for LFP batteries from China? A: Y. Delli Babu, CFO: There are no supply constraints, but prices have increased due to export restrictions from China. Q: How will the new lithium-ion plant cater to both auto and industrial segments? A: Y. Delli Babu, CFO: The new plant will supply battery packs to both the automotive and storage segments, similar to our current operations. Q: What are the expected cash flow plans and payback periods for the new CapEx in the New Energy business? A: Y. Delli Babu, CFO: The New Energy business will require INR 2,000-2,500 crores in the first phase, funded by existing cash flows and some leverage. Payback periods are currently high, but will improve with scale. Q: How do you plan to address the competitive dynamics and pricing pressures in the market? A: Y. Delli Babu, CFO: We are monitoring competitive dynamics and may consider further price adjustments. Our focus is on cost-saving measures and maintaining current prices where possible. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
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Business Standard
30-05-2025
- Business
- Business Standard
This battery manufacturer's shares dropped 5% today; check key details here
Amara Raja share price: Battery manufacturer Amara Raja Energy & Mobility (Amara Raja) share price struggled in Friday's trade, with the scrip dropping as much as 5.43 per cent to an intraday low of ₹1,030 apiece. At 12:20 PM, Amara Raja shares continued to remain under pressure, down 4.80 per cent lower at ₹1,036.90. In comparison, BSE Sensex was trading 0.35 per cent lower at 81,348.21 levels. What led to the drop in the Amara Raja share price today? Amara Raja shares came under pressure today after the company reported a weak performance in the March quarter of financial year 2025 (Q4FY25). Ebitda margin squeezed 270 basis points (bps) to 11.4 per cent in Q4FY25, from 14.1 per cent in Q4FY24. 'The margins are adversely impacted due to a surge in alloy prices and power cost due to regulatory changes in solar power settlements and fuel surcharges,' the company explained, in a statement. Jayadev Galla, chairman and managing director, however, said, 'Amara Raja continues to record consistent growth across product segments. While the Lead Acid Business continues to deliver strong results, we are seeing good traction in allied businesses as well. The New Energy Business witnessed groundbreaking of Giga Factory this year and continues to grow as per our projections. In another few quarters we will have the R&D facility and Customer Qualification Plant (CQP) operational which will add to our capabilities. The teams are committed to deliver excellence even as the global economic scenario continues to remain uncertain.' Amara Raja dividend Amara Raja board of directors has recommended a final dividend of ₹5.20 per equity share (representing 520 per cent) of ₹1 each fully paid up for the financial year 2024-25 (FY25), subject to approval of the shareholders at the 40th Annual General Meeting of the Company. The dividend will be paid within 30 days from the date of declaration of final dividend by the shareholders at the 40th Annual General Meeting, the company revealed, in a statement. 'The above final dividend is in addition to the interim dividend of ₹5.30 per equity share (representing 530 per cent) declared by the board on November 4, 2024,' Amara Raja highlighted. About Amara Raja Amara Raja Energy & Mobility offers a comprehensive portfolio of energy solutions, including energy storage systems, lithium-ion cell manufacturing, EV chargers, Li-ion battery pack assembly, and a wide array of automotive and industrial lubricants. The company is also actively engaged in the exploration of emerging battery chemistries. As one of India's largest manufacturers of energy storage products, Amara Raja serves both industrial and automotive sectors. It is a key supplier to major telecom service providers, telecom equipment manufacturers, the UPS sector (OEM and replacement), Indian Railways, and the Power, Oil & Gas industries. Its prominent industrial battery brands include PowerStack, AmaronVolt, and Quanta. In the automotive segment, the company produces India's leading battery brands Amaron and Powerzone, supported by an extensive pan-India sales and service network. The company holds original equipment (OE) supply relationships with major automobile manufacturers such as Ashok Leyland, Ford India, Honda, Hyundai, Mahindra & Mahindra, Maruti Suzuki, and Tata Motors. Additionally, Amara Raja exports its industrial and automotive batteries to more than 50 countries worldwide, reinforcing its global presence and reputation for quality and reliability. The market capitalisation of Amara Raja is ₹18,961.4 crore, BSE Data showed. The company falls under the BSE 500 index category
