Kaynes Technologies India Ltd. has unveiled a cutting-edge manufacturing facility in Hyderabad dedicated to smart meter production. This new venture is poised to contribute approximately ₹400 crore in revenue for the current fiscal year.
The newly established plant not only focuses on smart meters but also has the capacity to expand into automotive and aerospace products, according to an exchange filing on August 23. Kaynes entered the smart meter market last year and has now scaled up to a production capacity of 4 million units annually.
The Indian government’s push for smart meters aligns with this expansion. With a need for around 250 million smart meters across various applications including electricity, water, and gas, and only 10 million installed so far, the market presents substantial growth potential.
The company anticipates generating ₹400 crore in revenue from smart meters in fiscal 2025, with projections to double this figure to ₹800 crore in the following year. Kaynes Technologies, which operates across key sectors such as industrial, automotive, railways, and aerospace, has seen impressive growth.
The company’s first-quarter earnings revealed a nearly 70% increase in revenue, reaching ₹504 crore. Although EBITDA growth was reported, margins remained stable at 13.3%. Net profit also doubled to ₹51 crore, and the order book exceeded ₹5,000 crore, marking a 22% increase from the previous quarter. Of this, 70% is expected to be fulfilled over the next four to six years, providing strong revenue visibility. Export orders currently make up 15% of the order book, with expectations to rise to 20% by fiscal 2026.
Kaynes is also advancing into Outsourced Semiconductor Assembly and Testing (OSAT), a crucial part of the semiconductor supply chain. The company is setting up a ₹4,000 crore facility in Gujarat to address India’s dependence on semiconductor imports. This move, in collaboration with companies like Globetronics and Ponni Tech, is a significant step toward local production.
In addition, Kaynes is investing ₹1,400 crore to establish manufacturing capabilities for Bare PCBs in India. Currently, 90% of India’s PCB requirements are imported. The company plans to produce more advanced multi-layer PCBs in the coming years, with revenue projections exceeding ₹3,000 crore for fiscal 2025 and maintaining margins at 15%. For fiscal 2024, Kaynes reported revenues of ₹1,804 crore with margins at 14.1%
