Euro Multivision

Euro Multivision held an analyst meet to discuss about its Photovoltaic business. Mr Hitesh Shah, Managing Director, addressed the meet.

Highlights of the meet

• The Company commenced commercial production of solar photovoltaic cell project on August 24, 2010. The plant has capacity of 40MW for 3 shifts. The project cost was Rs 191 crore.

• The management believes that it would reach 75% capacity utilization. The Company has order book upto December 2010. The Company would be exporting cells to 6 customers. The management is confident of receiving repeat orders from these customers.

• The Company has tied up for the wafer required for production of cells. Wafer cost generally comprises of 60 - 65% of the cost of producing a cell.

• The wafer to cell conversion is about 3.75 - 3.80 watt per wafer. The average efficiency of a cell is 15.5 - 16% globally.

• The Solar PV capacity in 2009 was 21 GW of which Germany had the highest share of 47% and Japan had 13%. The projected PV capacity is 26 GW for 2010, 39 GW for 2011 and 54 GW 2012.

• By 2020, India is targeting Solar PV capacity of 20GW.

• The capital expenditure to set up 1 MW capacity of solar power is about Rs 15 crore.

• From PV business, for FY2011, for 7 months operations, the management expects revenues of Rs 115 crore with EBITDA of 24% and net profit margin of 5.75 - 6%. For FY2012, the revenues are expected at Rs 219.23 crore with EBITDA margin of 24% and net profit margin of 8 - 9%.