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MOSL: India Electricals-Energy Efficiency Services Limited (EESL) order tracker-Ordering stable in FY17

​India Electricals: Energy Efficiency Services Limited (EESL) order tracker; Ordering stable in FY17; product portfolio expansion leads to a decline in lighting segment orders

• EESL broadens product basket with introduction of tube lights and pumps: Energy Efficiency Services Limited (EESL) placed orders amounting to INR23.4b in FY17, up 4% from INR23b in FY16. The share of lighting products stands at 56% (streetlights – 26%, lamps – 24% and tube lights – 6%). In FY17, EESL placed orders for two new product categories: pumps and tube lights. Pumps’ share in overall ordering stood at 22%, while tube lights garnered a 6% share. During the year, the fans and air conditioning segments witnessed healthy growth, although on a low base. Fans segment witnessed 7x increase in ordering, now constituting 3% of overall EESL ordering activity v/s 0.4% in FY16. Air conditioning segment witnessed 6x increase in ordering activity, with Voltas capturing 97% of the market via orders of chillers and room air conditioners. However, the air conditioning segment forms a very small portion (0.4%) of overall ordering of EESL.
  
• Post success in LED lamps ordering, focus shifts to street lighting/tube lights: Of EESL ordering of INR23.4b in FY17, 56% was captured by the lighting segment. For FY17, the lighting segment ordering fell 8% YoY, mainly on account of a decline in the LED lamp segment. Lamp segment ordering declined 33.6% YoY to INR5.5b, partially compensated by the introduction of the tube light segment (6% of EESL ordering) and 4% YoY growth in the street lighting segment. Wipro is the market leader in the street lighting segment, with a 19% market share. On the other hand, Phillips dominates the lamps category, with a 34% share. Tube light leadership is shared by H.Q Lamps and Surya Roshni.