Exide vs Amara Raja: Whos ahead in the battery industry race? Know details of both
Exide is the leading force in the Indian battery market for three quarters of a century. Amara Raja is also a strong player that has as many as 14 manufacturing units in the country. Exide is betting resources aggressively for the EV era. Exide has 11 manufacturing units and exports to as many as 60 countries.
Kolkata: The tale of Exide vs Amara Raja in the Indian automotive battery market is somewhat like the battle of Coke and Pepsi in the soft drinks market. It's almost a bipolar market for which the fight is bitter and involves high stakes. Who's ahead in the multi-billion dollar battery industry race, is a question that is on the lips of many investors. Let's have a closer look.
The Indian automotive battery market is undergoing a transformation with the accent gradually shifting from the traditional lead-acid batteries in vehicles (and inverters) to gradually shifting to new generation batteries for electric vehicles and the emerging need for large-scale energy storage. There is also government policy nudge to shifting towards lithium-ion batteries in a rapidly growing market.
Exide Industries
Kolkata-based Exide has traditionally been a leading player in the Indian battery market for three quarters of a century. It is investing rapidly to prepare for the EV era. It owns 11 manufacturing units and exports products to as many as 60 countries. Exide is investing nothing less than Rs 5,000 crore for the EV sector and Rs 3,947 crore has already been invested. The company is building the country's largest 6 GWh lithium giga-factory. Half of this will produce NMC (Nickel, Manganese, Cobalt) cells and the other half will produce LFP (lithium iron phosphate) cells. Trial runs of the plant are expected to begin by the end of FY26, making it India's first large-scale cell factory. Exide suffered 2% dip in revenue and 25% in profits in Q2FY26. However, this has been attributed to distributors holding back purchases after the GST cut and not to shrinkage in market or business.
Amara Raja
The "Amaron" battery of Amara Raja's is popular in India. The company has 14 manufacturing units across the country. It has about 25% market share and is present in more than 1 lakh sales points. It has invested Rs 1,200 crore in the new energy business so far and plans to invest another Rs 1,400–1,500 crore in this financial year. A 1 GWh NMC cell plant is underway, and a large 16 GWh Giga plant is scheduled to be completed by 2030. In Q2FY26, the company's revenue was Rs 3,467 crore, a 7% year-on-year rise. Profit stood at Rs 276 crore, marking a 17% jump.
Stock details of Exide and Amara Raja
Exide has delivered 100.97% return in the past five years. Amara Raja has generated 17,291% return since Sept 2003.
Share Price
Exide Industries: Rs 374.95
Amara Raja Energy & Mobility: Rs 952
Market Cap
Exide Industries: Rs 31876 cr
Amara Raja Energy & Mobility: Rs 17,422 cr
P/E Ratio
Exide Industries: Rs 32 cr
Amara Raja Energy & Mobility: 21.6 cr
Dividend Yield
Exide Industries: 0.53%
Amara Raja Energy & Mobility: 1.10%
Lithium-ion batteries are lightweight and have longer life. These charge faster and are essential for EVs. The future belongs entirely to this technology. Exide appears to have a slight edge in the long term. This is because its lithium cell factory is large and is being completed fast for fast mover advantage. It also has strong relationships with two-wheeler OEMs. Amara Raja is also progressing rapidly. Its financial position is strong and its long-term 16 GWh plan is aggressive. Investors are waiting to see how the companies implement the vision they have articulated.
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