During Friday’s trading session, the shares of one of the leading solar manufacturers in India that produces high-quality Monocrystalline and Topcon solar panels surged by around 4.5 percent on the NSE.
The company’s management expects a revenue growth of approximately 70-75 percent CAGR in the next 2-3 years, and has outlined several strategic initiatives to support this trajectory. Here’s an overview:
With a market capitalisation of Rs. 986.8 crores, the shares of Australian Premium Solar (India) Limited closed in the green at Rs. 499.9, up by around 3 percent, as against its previous closing price of Rs. 485.5.
Management Guidance:
Australian Premium Solar is targeting a revenue CAGR of 70-75 percent over the next 2-3 years, with healthy operating margins. The company also aims to become a leading solar solutions provider in Gujarat, and anticipates higher profit margins further through the solar pumps product line.
Currently maintaining a net debt-free status, the company intends to maintain low debt levels going forward. While 67.71 percent of its revenue is currently derived from solar module manufacturing, it plans to aggressively expand its EPC services for higher margins.
Preliminary steps are also being taken to explore export opportunities in the U.S. and neighbouring countries. The company also aims to introduce new product lines and expand its EPC vertical, with a strategic focus on expanding into new regions across India, such as Maharashtra, Haryana, Jharkhand, Rajasthan, Tripura, and Madhya Pradesh, particularly in the solar pump segment.
Update on New Manufacturing Facility:
The company is advancing its manufacturing capabilities with a new manufacturing unit spanning 26,000 sq. meters, comprising both newly acquired and leased space. This unit is dedicated to TOPCon solar panels and will have a total capacity of 800 MW. Phase I of 400 MW is expected to be operational by the end of Q1 FY26, while Phase II will follow approximately a year later.
In addition to expanding module capacity, the company announced its expansion into solar cell manufacturing with a planned 4 GW TOPCon solar cell facility in Ahmedabad in Q4 FY25. Phase 1 of this project will deliver 1 GW and will be operational in the next 18–24 months, with the remaining 3 GW to be implemented in two subsequent phases at 9-12 months intervals.
This expansion will strengthen backwards integration in solar module manufacturing, as solar cells account for ~40 percent of the total module costs. The company plans to utilise 65-70 percent of the solar cells internally, enhancing both efficiency and cost control.
Once production begins, the first 1 GW phase is expected to generate Rs. 650-750 crore in revenue, supported by robust EBITDA margins in the range of 25-30 percent in the first year.
The total capex for Phase 1 is estimated at Rs. 750-800 crore, which includes infrastructure for the full 4 GW capacity, and Rs. 500-600 crore for the remaining 3 GW. Funding will be sourced through internal accruals and debt, with the project also qualifying for government incentives—20 percent from the state and 5-10 percent from the central government.
Financials & Others:
Australian Premium Solar experienced significant growth in its revenue from operations, showing a year-on-year rise of around 267 percent from Rs. 75 crores in H2 FY24 to Rs. 275 crores in H2 FY25.
Similarly, its net profit increased during the same period from Rs. 6 crores to Rs. 27 crores, indicating an impressive rise of around 350 percent YoY. In terms of key financial metrics, Australian Premium Solar has a Return on Equity (RoE) of 58.5 percent and a return on capital employed (RoCE) of 71.2 percent, with a debt-to-equity ratio of 0.1.
The core business of Australian Premium Solar (India) Limited is divided into three categories: manufacturing of solar panels & solar modules, installation services for solar rooftop, and installation of solar pumps.
In the solar panel segment, the company is engaged in manufacturing both monocrystalline and polycrystalline solar panels. It is a leading indigenous solar solutions provider specialising in the manufacturing of solar modules, along with offering EPC services for diverse applications.
Written by Shivani Singh
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