EMotorad To Set Up World's Largest E-Cycle Manufacturing Facility In Pune
The facility is not a simple assembly plant, but rather will manufacture powertrain, a core product of the e-cycle.
EMotorad has announced plans to set up the world's largest production facility for e-cycles as the startup bets big on demand from domestic and international markets. The facility will be an expansion of the company's existing plant in Pune and will be built in four phases. The first phase of production will start on Aug. 15, with the company saying that it can take the total capacity to over 5 lakh e-cycles annually, a jump from its earlier capacity of around 45,000 vehicles annually.
"Surprisingly, the domestic market has been booming and has played out really well for us," Kunal Gupta, chief executive officer of EMotorad, told NDTV Profit. "We see a 4x demand coming from that."
"Apart from that, the world is open for us. We already export to over 18 countries, and we aim to take that (to) over 72 countries over the next four years," the co-founder said.
Beyond catering to demand for Pune-based firm's own brands, the factory is open to white-labeling products for other countries and companies. The facility is not a simple assembly plant, but rather will manufacture powertrain, a core product of the e-cycle that is a combination of the battery, motor, charger and display, according to Gupta.
The factory will be funded from the amount raised by the company in its Series B round, in which it mopped up Rs 167 crore or around $20 million from investors like Panthera Group, Xto10x and cricketer MS Dhoni. "A large chunk of that portion is going towards building this facility and research and development," Gupta said.
In financial year 2024, Gupta said the company's topline grew to Rs 150 crore from Rs 130 crore in fiscal 2023. Of the Rs 150 crore, about Rs 48 crore were from the domestic business. "We've grown from Rs 13 crore to Rs 48 crore from FY23 to FY24, but going ahead, the demand from the international business is going to grow much faster," he added.
For fiscal 2025, when the factory becomes value-accretive, Gupta expects the top line to grow to over Rs 300 crore and 60% of that would be coming from overseas.
Launched in 2020, EMotorad claims to have over 60% of India's e-cycle share, in a market where it competes with Hero Lectro, Virtus Motors and Motovolt.
