TD Power Systems Limited
Know the Company
TD Power Systems Ltd (TDPSL) is a leading manufacturer of AC Generators and Electric Motors, catering needs across various industries such as renewables, co-generation, hydroelectric, oil & gas, electrical traction, marine, and wind power industries, etc. With over 25 years of experience, TDPSL has established a strong global presence, with operations spanning over 100 countries across 6 continents.
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TDPS manufactures generators for both conventional and renewable power plants, catering to a diverse range of prime movers. It also offers customized generator solutions for wind turbines. The company’s generator output capacities range from 1 MW to 200 MW for steam and gas turbines, up to 35 MW for hydro applications, and up to 20 MW for diesel and gas engines.
The company has two world-class manufacturing facilities located in Bengaluru, Karnataka, ensuring high-quality production standards. It also sales offices in Japan, USA, Turkey and Germany. TDPSL has four wholly owned subsidiaries, each playing a crucial role in expanding the company’s market reach. These subsidiaries include DF Power Systems Private Limited in India, TD Power Systems (USA) Inc in the United States, TD Power Systems Europe GmbH in Germany, and TD Power Systems Jenerator Sanayi Anonim Sirketi in Turkey. All subsidiaries are fully owned by TDPSL, strengthening its global operations and market influence. To provide efficient after-sales support, TDPS has a vast network of 57 service providers across the globe, ensuring quick response and customer satisfaction.
Though the company operates in multiple market segments, steam turbine generators contributing the highest revenue portion. The company’s major customers include renowned OEMs such as Siemens Ltd, Voith Hydro, General Electric, and Triveni Turbine Ltd, etc.
Strengths
TD Power is a globally recognized manufacturer of AC generators and power motors, known for its robust, reliable, and efficient end-to-end capabilities. The company’s ability to provide customized, design-to-engineered solutions has strengthened its reputation as a trusted name in the industry. This customer-centric approach helps it retain existing clients, attract new ones, and build long-term partnerships across multiple industries. Its ability to serve diverse markets has helped to revenue growth and reduce dependence on the domestic market. The company exports 4-pole and 2-pole generators to the Middle East’s oil and gas sector and supplies motors to industries such as steel, cement, and power.
TDPSL is a leading manufacturer of AC generators in the 1-50 MW segment in India, with capabilities across steam, hydro, diesel, and gas segments. Its end-user industries include cement, sugar, metals, mining, and power generation. Over the last decade, the company has significantly expanded its presence in the export market. With sales offices in North America and Europe, the company has a substantial international footprint, with supplying generators to over 100 countries across six continents.
TDPSL’s state-of-the-art R&D facilities and focus on innovation enable the company to exceed customer expectations across various applications, including hydro, steam, gas, wind, geothermal, marine, and railways. Apart from generators, electric motors, and control panels, the Company collaborates with strategic technology partners to develop localized solutions, ensuring reliability and efficiency.
A diversified product portfolio is another major strength of the company. This diversification allows it to cater to different customer needs and mitigates risks associated with dependency on a single product segment or industry.
TDPSL has reporting strong financial performance, with revenue and profitability showing steady growth over the years. The company’s revenue grew from Rs 459 crore in 2019 to Rs 1001 crore in 2024, while its net profit surged from Rs 3 crore to Rs 118 crore. At the same period, the company’s OPM increased from 7% to 17%. This consistent financial growth, supported by a healthy net worth of about Rs 675 crore and a debt-free balance sheet.
For the Q3FY25, ended December 2024, the company’s net profit rose by 50.3% to Rs 45 crore, while sales increased by 44.4% to Rs 350 crore. For the 9M, its revenue reported 40% YoY growth to Rs 930 crore from Rs 761 crore. Net profit for the period jumped to Rs 121 crore from Rs 90 crore.
TDPS has received multiple certifications and awards, including ISO 9001:2015, ISO 14001:2015, and OHSAS 18001:2007, demonstrating its commitment to quality, sustainability, and safety.
TDPSL’s has a robust revenue visibility supported by growing order book. In Q3FY24, the company’s order inflow increased by 52% to Rs 407 crore and the 9MFY28 order inflow increased by 40% to Rs 1070 crore. 71% of the order inflow for the period from export market. Out standing unexecuted order book as of December,2024 stood at little over Rs 1300 crore, which includes from the Nuclear Power Corporation of India (NPCIL) and Indian Railways as well as export markets.
The company’s two manufacturing facilities are operating at full capacity. To cater to the strong order inflows from international markets, the company is also in the process of establishing a third manufacturing plant to address capacity limitations.
Outlook
TD Power remains a trusted name in the power generation industry, leveraging its expertise, global presence, and commitment to innovation to deliver high-quality solutions to customers worldwide. The domestic market is experiencing robust investments in renewable energy projects and waste-to-heat plants. The growing demand for electricity, fueled by the adoption of electric vehicles and increased domestic power consumption, is expected to sustain long-term demand for new power plants.
TDPSL has secured approvals from various government agencies, including Nuclear power Corporation of India (NPCIL) and various state irrigation bodies, strengthening its presence in critical infrastructure projects. The company is also exporting 4-pole and 2-pole generators to the Middle East’s oil and gas industry and supplying motors to steel, cement, and power sectors. The company has a strong order pipeline for hydro generators, with Vietnam and Nepal as key markets, while India is also intensifying its small hydro projects. The railway and nuclear power sectors have witnessed significant capital investments, leading to a notable increase in order bookings, going forward. Overall, the outlook for the company in the upcoming years appears promising.
TDPSL is actively pursuing traction motor opportunities, having been approved as a vendor for Indian Railways. Additionally, the increasing demand for power support in data centers is driving demand for TDPS’s gas turbine-driven generators. In the domestic market, order inflows have remained stable, with steel and cement industries continuing to invest in power plants of up to 100 MW. The company is also exploring export opportunities for traction motors, engaging with multiple international players, which presents promising growth potential.
New orders from Railway is expected in the coming months, though business from these tenders will likely materialize in FY 2027 onwards. Apart from this, ethanol, sugar, and chemical sectors expected to show decent growth. All of the projects ensuring a strong growth outlook for TDPSL in fiscal 2025 and beyond.
Risk Factors
TD Power operates in the capital goods industry; hence, the company’s growth depends on global economic conditions and the performance of the overall industrial sector. An economic slowdown directly impacts demand for capital goods, including TDPSL’s products. If the global economy fell into the recession, TDPSL’s order inflow and execution may be delayed at least in the short -term.
The company faces strong competition in both domestic and international markets from large corporations with advanced technology, brand preference, and greater financial resources. The company’s business also has revenue concentration risk as its top 10 clients accounting for almost 65% of gross revenue.
Sector: Capital Goods
Market Price: Rs. 352.00 as on today
FV: Rs 2/-
Stock Name: TD Power Systems Ltd
BSE Code: 533553, NSE Code: TDPOWERSYS
Market Cap.: Rs 5500 Cr
Book Value: Rs. 49.5
Segment: Power Gen. equipment
Incorporation: 1999
Headquarters: Dobbaspet, Karnataka
