Fueling up non-fueling ecosystem: Servotech establishes new subsidiary for battery manufacturing
A wholly-owned subsidiary will be established by sustainable energy solutions supplier Servotech Power Systems in response to the increasing demand for batteries for(EVs). It will primarily be involved in the production and trade of batteries. The subsidiary is known by the name Techbec Green Energy Private Limited.
Notably, the battery is one of the most crucial components of EVs. As demand for EVs has increased due to an increase in EV adoption, supported by the government's drive, several major companies in the market have been experiencing supply issues.
Servotech Power Systems, a top manufacturer of EV chargers, will own 99.99% of the newly formed subsidiary.
When preparing to charge a vehicle, considering several elements such as charging time and rate, charging standard, and the capacity of chargers is necessary. It's vital to keep in mind that not all vehicle types depend on charging infrastructure in the same ways when it comes to EV charging.
As a result, batteries play a critical part in driving the vehicle. It is important to note that EV range, their usage for long-distance travel, and the lengthy charging time are issues that affect vehicle drivers all around the world.
The problem can be overcome by creating a dependable and widely used charging infrastructure. Even though EV adoption in India is still in its infancy, the country has a lot of opportunity for the development of charging infrastructure, which calls for a specific emphasis from the industry's key players and the government in order to be deployed on a broad scale.
In the June quarter, Servotech Power Systems said last week that its consolidated net profit had increased to Rs 4.10 crore, helped by increasing revenues. The business said in an NSE filing that it earned a net profit of Rs 35 lakh during the same time period the previous year.
In comparison to the same quarter last year, the company's overall income more than quadrupled to Rs 79.81 crore from Rs 32.06 crore.
Servotech Power Systems is well known for being a leading producer of solar, EV chargers, power backup, and other intelligent power solutions.