Synopsis:- A US-based solar energy developer has placed an order worth roughly Rs.7.75 crore for a 25 MVA power transformer to be supplied to a project site in Hemet, California, marking an export win for an Indian transformer manufacturer whose order book has so far leaned heavily on the domestic power sector.
Shares of an Indian power and distribution transformer manufacturer drew attention on Tuesday after the company disclosed a purchase order from a US-based solar energy developer. The order, valued at approximately Rs. 7.75 crore, or about USD 820,000, covers the supply of a 25 MVA power transformer for a project in Hemet, California, with execution to be completed within 14 months. The company confirmed that none of its promoters hold any interest in the ordering entity and that the contract does not qualify as a related party transaction.
With a market capitalization of Rs. 1,992.92 crore, the shares of Marsons Limited were trading at Rs. 115.80 per share, up 2.80 percent from its previous closing price of Rs. 112.65 apiece. It is trading at a P/E of 43.02.
Order Update
According to the filing dated June 16, 2026, the order has been placed by a solar energy developer based in the United States for a 25 MVA power transformer to be installed at a site in Hemet, California. The contract is to be executed over 14 months, and the company has stated that the award falls outside the scope of related party transactions, with no promoter or group company holding any interest in the awarding entity. At Rs. 7.75 crore, the order is modest in absolute terms, working out to roughly 4.6 percent of Marsons’ FY25 standalone revenue of Rs. 168 crore, but its significance lies less in the rupee value and more in the geography and end-use it opens up.
A Step Into the US Renewable Market
Marsons has built its recent order book largely around Indian utilities and power infrastructure developers, including a Rs. 23.01 crore order from Datta Power Infra for 160 MVA and 120 MVA transformers booked as recently as February 2026. An order tied to a US solar project marks a different kind of customer, supplying equipment for renewable generation infrastructure in a market where transformer specifications, certifications and delivery timelines tend to be more demanding than in much of the company’s existing book.
Whether this turns into repeat business from the same developer or others in the US solar segment will depend on how the 14-month delivery plays out, but the order at least gives the company a reference point for future export bids. It is also worth noting that the stock has fallen roughly 30 percent over the past year despite Tuesday’s gain, and trades at close to 17 times book value, a valuation context that sits alongside the company’s recent revenue growth.
Financials
The order lands against a balance sheet that looks materially different from where Marsons stood two years ago. Borrowings have been pared down from roughly Rs. 15 crore in FY23 to about Rs. 1 crore by March 2026, and debtor days have shortened from over 800 to 160, signs of a working capital cycle that has tightened considerably as revenue expanded from under Rs. 6 crore in FY24 to Rs. 245 crore in FY26.
Operating cash flow turned positive after 2 years of negative OCF while a fresh equity infusion lifted reserves to over Rs. 100 crore and cut the company’s reliance on debt funding. Profitability looks strong on paper, with return on equity at 27.2 percent and return on capital employed at 25.4 percent for the latest year, though the stock’s valuation, at a P/E of 43.02 and 9.2 times book value, already prices in a continuation of that growth.
Business Overview
Incorporated in 1976, Marsons Limited manufactures, supplies, erects, tests and commissions power and distribution transformers ranging from 10 KVA units up to 160 MVA, 220 kV class transformers, and holds ISO 9001 certification along with CPRI, ERDA and NABL accreditation.
For the quarter ended March 2026, Marsons reported sales of Rs. 92 crore against Rs. 56 crore in the same quarter last year, while net profit rose exponentially to Rs. 23 crore from Rs. 9 crore. For FY26, revenue came in at Rs. 245 crore, up sharply from roughly Rs. 6 crore in FY24, a scale-up that coincided with net profit of Rs. 46 crore for the year, against a near break-even FY24.
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