Dhoot Transmission Targets EV Growth, Non-Harness Revenue at 23%
By Business Desk
Dhoot Transmission, poised for IPO, eyes substantial growth from India’s EV market. Non-harness products now represent 23% of FY24 revenue, signaling a strategic expansion.
IPO-bound Dhoot Transmission anticipates India’s significant shift towards electric vehicles (EVs) will be its primary growth engine, with non-harness products already accounting for 23% of its fiscal year 2024 revenue. CFO Nitin Kalani confirmed this strategic pivot.
The Chhatrapati Sambhajinagar-based company, historically known for its wiring harnesses in automotive and industrial sectors, counts Bajaj Auto among its major clients. Its strategic expansion now pushes beyond traditional offerings.
Expanding EV Product Portfolio
Dhoot Transmission is broadening its product line to include several EV-specific components. These new offerings encompass battery assemblies, on-board chargers, and DC-DC converters.
The company is also developing charging guns as part of its move into the rapidly expanding EV ecosystem.
Strategic Investment & Financial Targets
Over the last four to five years, Dhoot Transmission has made substantial capital expenditures, totaling approximately 10 billion rupees. Similar investment levels are projected for future periods to support capacity expansion and growth initiatives.
Despite these significant investments, the company aims to sustain robust annual margins, targeting a range of 15%-16%.
This aggressive investment and product diversification strategy positions Dhoot Transmission to capture a larger share of the burgeoning Indian EV market.