India’s solar energy sector is witnessing rapid growth, driven by the country’s ambitious renewable energy goals. As the world’s third-largest emitter of carbon dioxide, India is increasingly turning to solar power to reduce its carbon footprint and transition to cleaner energy. With abundant sunlight, favorable government policies, and significant investments in solar infrastructure, India has become a global leader in solar capacity installation.
The sector not only promises a cleaner future but also creates jobs, boosts economic growth, and reduces dependency on fossil fuels. India’s commitment to solar energy positions it as a key player in the global green energy transition. In this push, one company is gaining the most as its order book has gone up significantly.
Government Subsidies
Government policies are significantly supporting the solar sector through incentives like subsidies, tax benefits, and favorable regulations. Initiatives such as the Production-Linked Incentive (PLI) scheme, tax exemptions on solar equipment, and Renewable Purchase Obligations (RPO) are encouraging both domestic manufacturing and renewable energy adoption.
Additionally, the government is promoting solar projects through financial support, easing land acquisition, and facilitating grid integration. These policies create a favorable environment for solar companies, enhancing profitability and growth opportunities. As a result, solar firms can expand their operations, attract investments, and contribute more to India’s renewable energy targets.
Share Price
The shares of Borosil Renewables Ltd. are locked at a 5% upper circuit of Rs. 574 as compared to the previous close of Rs. 547 as of January 08, 2025.
Recent Update
Kiran Kheruka, a promoter of Borosil Renewables, acquired 96,000 shares, amounting to a 0.07 percent stake in the company through open market transactions. The purchase, valued at Rs 5.4 crore, raised Kheruka’s stake from 3.57 percent to 3.64 percent.
When promoters increase their stake in a company, it is often viewed positively, as it indicates confidence in the company’s future growth. Following this development, Borosil Renewables’ stock price surged, hitting its 5 percent upper circuit limit for two consecutive sessions, reflecting market optimism after the promoter’s acquisition.
Financial Outlook
Borosil Renewables Ltd. experienced a decline in sales from Rs 402 crore in September 2023 to Rs 372 crore in September 2024. The company’s EBITDA also dropped from Rs 32 crore to Rs 29 crore during the same period. Despite maintaining a steady operating profit margin (OPM) of 8% in both years, Borosil Renewables faced a significant downturn in net profit. While the company reported a net profit of Rs 30 crore in September 2023, it incurred a loss of Rs 13 crore in September 2024, indicating a challenging financial performance over the past year.
Management Commentary
Kheruka also forecasted a ‘very good future’ for the solar industry. “We see a good run to this because there’s a very large demand for solar energy in the country, and there’s a very large requirement for solar panels. Therefore, we expect that there should be absolutely no problem in selling the capacity as soon as we have it,” he said.
About the Company
Borosil Renewables specializes in the production of extra clear patterned glass and low iron solar glass, primarily used in photovoltaic panels, flat plate collectors, and greenhouses. As the largest manufacturer of low-iron textured solar glass in India, the company holds a market share of over 20%. Additionally, Borosil Renewables has a strong presence in Germany, where its overseas subsidiaries control 65% of the solar glass market. The company’s innovative solutions and strategic market positions have made it a key player in the global solar glass industry.
Written By: Dipangshu Kundu
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