Powerica Limited is an integrated power solutions company primarily engaged in the manufacturing, assembly, supply, installation and commissioning of diesel generator (DG) sets and medium-speed large generator (MSLG) sets. The company earns revenue mainly from its Generator Set Business and Wind Power Business. It offers DG sets powered by Cummins engines ranging from 7.5 kVA to 3,750 kVA, used for backup and emergency power in industries, infrastructure projects, data centres and commercial establishments.

For the six-month period ended September 30, 2025, the company reported ₹1,447.44 crore revenue, of which 80.50% came from the Generator Set Business and 19.50% from the Wind Power Business.

Powerica Limited serves a large and diversified customer base across sectors such as hospitality, healthcare, banking and financial services, manufacturing, logistics, railways, IT data centres, agriculture, government and defence.

The company’s manufacturing facility is located in Bengaluru, Karnataka, where generator sets and allied components such as acoustic enclosures and control panels are manufactured and assembled. In addition, the company operates 12 operational wind power projects with a total installed capacity of 330.85 MW, which generate electricity for sale to power utilities and private consumers.

Powerica has a diversified product portfolio that includes DG sets powered by Cummins engines, medium-speed large generator sets supplied in collaboration with Hyundai Heavy Industries, and allied products such as EMI shelters, acoustic enclosures, and Schneider Electric control panels. These products are critical for backup power supply, industrial operations and energy reliability, especially in sectors where uninterrupted power is essential.

In terms of revenue contribution, DG sets powered by Cummins engines generated between 56.77% and 71.04% of total revenue in the last three financial years, making it the largest product segment. The company executes customer orders through design, manufacturing, testing, supply and installation of generator systems, along with after-sales service and maintenance support.

The company is also expanding its presence in renewable energy through wind power projects. As part of its long-term strategy, Powerica continues to invest in wind power capacity expansion, EPC services and O&M contracts for wind energy infrastructure. The company finances its expansion through borrowings, internal accruals and capital expenditure investments in renewable energy projects. As of February 28, 2026, the company had total borrowings of ₹1,214.25 crore.

Employee and Banker

As of Sep 30, 2025, the company had 893 full time employees. The Banker to the Company is HDFC Bank Limited, Axis Bank Limited, Standard Chartered Bank, ICICI Bank Limited.

Management and Growth Vision

Powerica Limited is led by experienced promoters and management professionals who have developed the company into a major provider of power generation solutions in India. The company has built long-term strategic partnerships with global technology providers such as Cummins and Hyundai, enabling it to deliver high-quality power generation equipment.

The management’s growth strategy focuses on three key areas:

1. Expanding the Generator Set Business by strengthening partnerships with OEMs such as Cummins and Hyundai and increasing market share in industrial power backup solutions.
2. Scaling the Wind Power Business by developing additional wind energy projects and increasing power generation capacity beyond the existing 330.85 MW installed capacity.
3. Providing turnkey power solutions including engineering, procurement, construction (EPC) and operations & maintenance services for renewable energy projects.

In the near future, the company aims to increase revenue through higher demand for backup power systems, rising industrialization, and expansion in renewable energy generation. The management plans to arrange funds for expansion through internal accruals, project financing and capital raised through the IPO.

The long-term vision of the company is to strengthen its position as an integrated energy solutions provider, combining conventional power backup solutions with renewable energy generation.

Industry Overview

Powerica Limited operates in the power generation equipment and renewable energy industry, particularly in the diesel generator set market and wind power generation sector.

India’s electricity demand has been growing rapidly due to industrialization, urbanization and digital infrastructure expansion. In FY2025, India’s electricity consumption reached approximately 1,650 TWh with peak demand of 260 GW, which creates strong demand for backup power solutions such as diesel generator sets.

DG sets remain a critical power backup solution for industries, hospitals, data centres, refineries and infrastructure projects because they provide reliable electricity during power outages.

The Medium Speed Large Generator (MSLG) market in India is dominated by a few key global and domestic players including Powerica Limited, Wärtsilä and MAN Energy Solutions.

Powerica has emerged as a prominent player in India’s MSLG market, offering customized turnkey power generation solutions supported by a strong service network.

On the renewable energy side, India is aggressively expanding wind and solar capacity as part of its clean energy transition. Wind energy projects provide long-term revenue opportunities through electricity generation and power purchase agreements.

The growth outlook for the power generation equipment industry is driven by:

• Rising demand for reliable backup power systems
• Increasing industrial and infrastructure development
• Expansion of data centres and smart cities
• Government initiatives promoting renewable energy projects

As India continues to increase electricity demand and improve grid reliability, both generator sets and renewable power generation businesses are expected to grow steadily over the next decade.

Major Risk Factors

1. High Dependence on Generator Set Business

Powerica derives a significant portion of its revenue from the Generator Set Business, which contributed 80.50% of total revenue for the six-month period ended September 30, 2025. Any decline in demand for DG sets could significantly affect the company’s revenue and profitability.

2. Dependence on Key Suppliers

The company relies heavily on key suppliers such as Cummins for engines and alternators and Hyundai for MSLG sets. Disruption in supply or termination of agreements with these suppliers could negatively affect production and business operations.

3. Dependence on Top Customers

A large portion of revenue is generated from major customers. The top five customers contributed 56.26% of total revenue in the period ended October 31, 2025, which increases customer concentration risk.

4. Seasonality and Environmental Risks in Wind Power Business

Revenue from wind power projects depends on electricity generation, which is influenced by weather conditions such as wind speed and climate variability. Poor wind conditions could reduce electricity generation and impact revenue.

5. Competition in Power Equipment Industry

The generator set market is highly competitive with several domestic and global players offering similar products. Strong competition may lead to pricing pressure, lower margins and loss of market share.

6. Dependence on Third-Party Vendors

The company relies on external vendors for components, equipment and services required for project execution. Delays or non-performance by vendors may disrupt operations and project timelines.

7. High Borrowings

As of February 28, 2026, the company had total borrowings of ₹1,214.25 crore, which may increase financial risk and interest burden if cash flows decline.

Key Strengths and Opportunities

1. Strong Market Position in Generator Sets

Powerica is a well-established player in the generator set industry with decades of experience and a strong relationship with global technology providers such as Cummins. This gives the company a competitive advantage in delivering reliable power solutions.

2. Diversified Business Model

The company operates across two major segments – Generator Set Business and Wind Power Business. This diversified business structure helps reduce dependence on a single revenue source and provides multiple growth opportunities.

3. Large and Diversified Customer Base

Powerica serves customers across several sectors including manufacturing, infrastructure, data centres, agriculture, hospitality, healthcare and government projects, ensuring consistent demand for its products.

4. Strategic Partnerships with Global OEMs

Long-term collaborations with Cummins and Hyundai provide access to advanced technology, high-quality engines and strong brand credibility in the power equipment market.

5. Growing Renewable Energy Portfolio

The company already operates 12 wind power projects with 330.85 MW installed capacity, providing stable revenue through electricity generation and long-term power purchase agreements.

6. Experienced Workforce and Technical Expertise

With 893 employees including engineering, project development and technical teams, the company has strong operational capabilities to design, manufacture and execute complex power generation projects.