Can Wardwizard Innovations & Mobility establish itself in the global EV market?
Wardwizard Innovation and Mobility: As alternative energy sources grow in popularity, they may eventually replace fossil fuels. Limit carbon emissions and promote energy prosperity to reduce greenhouse gas emissions in the future. The transition to clean energy becomes stronger every year.
But the impacts of climate change must be a joint effort of all who contribute to the cause. Electric vehicles are growing in popularity because they are cheaper to run than internal combustion engines due to government subsidies and the cost of driving per kilometer.
In this article, we will look at Wardwizard Innovations, which primarily operates in the two-wheeler electric vehicle market.
Wardwizard Innovations Company Overview
Word WizardIn 2016, it entered the electric vehicle market by launching an electric bicycle under its flagship brand, Joy e-bike. And young people quickly made it very demanding. This success further prompted the launch of low-speed two-wheelers such as the Gen Next, Glob and Wolf, which do not require any license or registration. People aged 16 to 60 are increasingly interested in electric vehicles.
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Officially, Wardwizard has inaugurated one of the largest electric two-wheeler factories in India. In January 2021, it unveiled the Hurricane, Thunderbolt, Beast and Skyline models in response to the growing demand for fast e-bikes. Their portfolio includes E-Rik for commercial passengers. Mihos is an electric scooter brand. The company was able to sell around 36,500 EVs in FY23 through its network of over 750 dealers.
Industry Outlook from Wardwizard Innovation
OEM The two-wheeler segment, which has dominated the Indian automobile sector for many years, can be expected to grow further. 31% of respondents expect to increase their use of personal motorcycles and scooters. In comparison, 18% expect to use micro-mobility (e.g. bicycles, electric scooters) more in the future.
Consumers are expected to rely more on two-wheelers, and in most cases, their next two-wheeler will be electric. While 86% would consider purchasing an electric two-wheeler, only 69% would consider a combustion engine vehicle.
According to the study, electric two-wheelers (E2W) accounted for over 55% of annual EV sales, totaling 41,35,077 units by the end of 2024. Electric three-wheelers for passenger cars (E3W P) followed with a market share of approximately 32%.
According to estimates by the Indian Energy Storage Association (IESA), India’s EV industry is expected to grow at a compound annual growth rate (CAGR) of 49% from 2021 to 2030, with 1 billion units sold annually by then.
Wardwizard Innovations Finance and Division
Wardwizard’s operating revenue in FY24 was Rs. 321.41 crore compared to Rs. 238.92 crore in FY23. Net profit in 2024 was 130 million won. Sales amounted to 13.43 billion won, an increase of 51.78% compared to the same period last year. In fiscal year 23, it was $8.85 billion. Wardwizard Innovations’ primary cost component is material cost, which improved from 80.91% in FY23 to 74.82% in FY24.
There were also inventory fluctuations, which also affected margins. Advertising expenses increased by 166% compared to the same period last year, and interest expenses increased by approximately 580%. The company derives majority of its revenue in FY23, 99.79% from its Joy electric bike brand and the remaining 0.21% from others.
In FY23, Wardwizard reported its financials as follows: Consolidated financial statements. The table below presents standalone details to ensure consistency.
The company’s most recent orders
- Wardwizard recently secured a $1.29 billion order from Philippine public transportation company Beulah International Development Corporation (BEULAH). The order volume compared to the company’s market capitalization is 5.6 times the company’s value. Demand for EVs is increasing to replace combustible engines fueled by climate change efforts.
What are the sales trends for electric vehicles?
According to the two-wheeler manufacturer data for FY24, Wardwizard’s sales trend in April 2023 started with around 295 units sold. By September 2023, unit sales for that month were approximately 690 units, an increase of 134%. . By year-end March 2024, the company had sold approximately 1,019 units in the month, a 47.68% increase over September.
In FY24 overall, the company sold around 9,115 units in the two-wheeler segment alone, making it the 13th company in the list of top two-wheeler manufacturers in FY24. In April, when FY25 began, approximately 1,071 units could be dispatched, a 263% growth compared to the previous year.
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Future outlook for Wardwizard innovation
- They aim to expand to 250 exclusive showrooms by the next financial year (FY25) from 110 currently. We plan to add 100 more showrooms in the next six months and 50 more showrooms in FY25.
- We are confident that we will exceed FY24 sales volume and target 75,000-80,000 units in FY25.
- The company aims to sell around 1,25,000 units in FY26.
- They plan to launch an ancillary unit to manufacture lithium-ion batteries, battery packs, controllers, chargers, wiring harnesses, etc. in the next financial year (FY25), which is expected to reduce costs by 8-10%.
- In the next 3 to 4 months, we plan to launch new products such as a scooter model in the two-wheeler segment, a loader vehicle in the three-wheeler segment, and a golf cart.
- They are exploring the four-wheeler segment and aim to launch a prototype by the fourth quarter of the next financial year (FY25).
- They expect net profit margin to increase by 3-4% in FY25 due to cost savings from ancillary units.
- It may be expanded to Africa and other South Asian countries by the third quarter of the next financial year (FY25).
Key indicators of Wardwizard innovation
Below are some of the key indicators of Wardwizard innovation and mobility:
conclusion
At the end of this article, we have looked at Wardwizard Innovations & Mobility’s overview, financials, and outlook. The company’s sales and profits are on the rise. Recently, there is a possibility of increasing production by expanding the scale to meet demand due to large-scale orders. However, other traditional and established companies are already making inroads because they have extensive distribution networks and higher brand value to draw customers into their homes.
The most important factor is product quality. Companies with higher quality products will increase. consumer value And ultimately, it is brand value. Although the trend towards electric vehicles is still in its infancy, competition in the automotive sector could become more intense as technology advances and market players increase. What do you think about the future of the company? Let us know your thoughts in the comments section below.
Written by Santosh
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