Title : Kirloskar Electric Company Limited
Author : Khushi Solanki
Introduction
Kirloskar Electric Company Limited, a flagship company of the Kirloskar Group, is a renowned Indian multinational conglomerate that has been a major player in the electrical engineering industry for over nine decades. Established in 1946, the company has grown exponentially, diversifying its product portfolio to cater to the ever-evolving needs of the power generation, transmission, and distribution sectors. With a strong commitment to innovation, quality, and customer satisfaction, Kirloskar Electric has established itself as a trusted name in the industry, supplying a wide range of products and services, including generators, motors, transformers, and electrical panels, to customers across the globe. Today, the company continues to be a leader in the electrical engineering sector, driven by its vision to provide sustainable and reliable energy solutions.
Objective :
To find out the Beta of Kirloskar electric company and its significance
Literature Review :
Epileptic Electric Power Generation and Supply : Causes, Impact, and Solution
The paper “Epileptic Electric Power Generation and Supply in Nigeria: Causes, Impact, and Solution” by Johnson Olaosebikan Aremu explores Nigeria’s chronic electricity problems. It highlights key causes such as corruption, poor infrastructure, monopolization, over-reliance on hydroelectric power, and lack of planning. The impact includes business closures, rising unemployment, high production costs, environmental pollution, and discouraged foreign investment. To solve these issues, the paper recommends declaring a power sector emergency, fighting corruption, investing in infrastructure, adopting prepaid meters, and diversifying energy sources. The author emphasizes that stable electricity is crucial for Nigeria’s economic development. The economic impact has been severe, leading to business failures, increased unemployment, high production costs, industrial decline, and social unrest. Many multinational companies, including Michelin and Dunlop, have left Nigeria, while small businesses struggle to afford alternative energy sources. Additionally, excessive generator use has caused environmental and health hazards, and billing disputes between electricity providers and consumers have led to protests.
The Analysis of the Reaction of the Romanian Companies Supplying Electrical Energy to the Modification of the Geopolitical Context and of the Internal Legislative Frame
The document examines the impact of geopolitical factors and legislative changes on Romanian electricity companies, emphasizing energy security, efficiency, and sustainability. It discusses the country’s energy dependency, particularly on nuclear and coal power, which helps reduce reliance on imports but poses environmental and modernization challenge.Geopolitical influences: Romania aligns with EU energy policies, focusing on efficiency, sustainability, and market competition. However, increasing reliance on imported natural gas poses long-term risks.
The study concludes that adapting to EU energy trends, increasing renewable investments, and enhancing efficiency are crucial for Romania’s long-term energy security and economic stability.
Data Collection :
Kirloskar electric company limited data was downloaded for period 23-3-24 to 23-3-25 and data was manipulated to find out the Friday closing prices were calculated of NIFTY50=X and Kirloskar electric company =Y, Y was regression on X.
Data Analysis :
Equation : KECL= 1.039+1.350 NIFTY 50
Interpretation :
The regression equation describes the relationship between the Nifty 50 (X) and the KECL share price (Y), indicating that KECL share price is the dependent variable, while Nifty 50 is the independent variable. The positive coefficient of 1.350 suggests that for every unit increase in Nifty 50, KECL share price is expected to increase by 1.350 units.With 47 observations (), the -squared value is 0.05815, indicating that approximately 5.815% of the variation in KECL share price can be explained by changes in Nifty 50, while the remaining 94.185% is attributable to other factors not included in the model. The F-value of the model is 2.7781.The p-value for the slope is 0.10251, which is greater than the conventional threshold of 0.05, indicating that the relationship between Nifty 50 and KECL share price is not statistically significant at the 5% level. Consequently, this model does not provide strong evidence of a significant linear relationship between Nifty 50 and KECL share price.
Conclusion :
KECL’s beta of 1.350 indicates that it is more volatile than the market, suggesting that KECL shares may experience higher fluctuations compared to the broader market.It is a short term invest company.
Referances :
Johnson Olaosebikan Aremu (2019): Epileptic Electric Power Generation and Supply in Nigeria: Causes, Impact and Solution
Vasile Robu & Elena Claudia Serban & Marina Badileanu (2007): The Analysis of the Reaction of the Romanian Companies Supplying Electrical Energy to the Modification of the Geopolitical Context and of the Internal Legislative Frame.