Schneider Electric Infrastructure Approves Revised Capital Expenditure for KMVC Capacity Enhancement

Schneider Electric Infrastructure Approves Revised Capital Expenditure for KMVC Capacity Enhancement

Schneider Electric Infrastructure Approves Revised Capital Expenditure for KMVC Capacity Enhancement​

Schneider Electric Infrastructure Limited has approved significant revisions to the capital expenditure designated for capacity enhancement at its Kolkata Medium Voltage Components (KMVC) facility. The Board of Directors reviewed and approved these financial adjustments, which are aimed at bolstering manufacturing localization, meeting export growth plans, and ensuring business continuity in the sector.

The company’s investments cover two primary areas: augmenting the production of Medium Voltage (MV) Vacuum Interrupters and establishing a Mechanism Assembly Line at KMVC to support future expansion and international opportunities.

Capacity Augmentation for MV Vacuum Interrupters​

The revised capital expenditure allocated for enhancing the manufacturing capacity of Medium Voltage (MV) Vacuum Interrupters at KMVC increased from INR 138 Crores to INR 184 Crores. This increase translates to an additional investment amount of INR 46 Crores beyond the initial approval and is designated for further project execution and specialized capacity enhancements.

The expenditure aims to elevate the annual manufacturing output of MV Vacuum Interrupters at KMVC from the current planned level of 180,000 units per annum to a projected capacity of 250,000 units per annum.

Key details regarding this capacity expansion are presented below:

AspectParticulars
Existing Capacity80k MV Vacuum Interrupters per year
Current Utilization RateApproximately 90%
Proposed Addition250k MV Vacuum Interrupters and MV Vacuum Circuit Breakers assembly lines
Completion TargetBy the first quarter of FY 2028-29 (June 30, 2028)
Total Investment RequiredINR 184 Crores
Mode of FinancingInternal accruals and/or borrowings

Expansion of Mechanism Assembly Line​

A second approved revision concerns the establishment of a dedicated Mechanism Assembly Line at KMVC. The capital expenditure for this initiative has been revised from INR 90.6 Crores to INR 107.2 Crores. This investment is intended to support future growth requirements and capitalize on emerging export opportunities.

The company has outlined that these strategic investments are aligned with its broader objectives, including expanding manufacturing localization, augmenting capacity, meeting export growth plans, and ensuring business continuity.

SCHNEIDER Stock Price Movement​

Shares of Schneider Electric Infrastructure Limited are rallying to ₹1475.3 as of 1:48 PM, climbing 1.47% in live trading today. The stock currently trades within the intraday range of ₹1423 to ₹1492.1, maintaining a strong performance amid a volume exceeding 594,760 shares.
 

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