Solar Company Secures EPC Contract Worth Rs 967.98 Crore for 245 MW Solar PV Project at Khavda RE Power Park, Rann of Kutch in Gujarat
The stock gave multibagger returns of 1,200 per cent in 3 years and has delivered good profit growth of 52.1 per cent CAGR over the last 5 years with a PE of 34x and an ROE of 20 per cent.
Gensol Engineering Limited (BSE: 542851, NSE: GENSOL), a leading player in the renewable energy sector, has further solidified its position as a key driver of India's energy transition by securing a significant EPC contract. The company has been awarded a contract by a renowned public sector undertaking for the development of a 245 MW Solar PV Project at the prestigious Khavda RE Power Park in Gujarat. This contract, valued at approximately Rs 967.98 crore (inclusive of GST), includes three years of comprehensive O&M services.
This marks Gensol's second major project win at the Khavda Solar Park within a short span, underscoring the company's strong market presence and execution capabilities. Earlier this month, the company secured an EPC contract worth Rs 1,062.97 crore for a 275 MW Solar PV Project – part of the larger 795 MW Solar PV Development Package – at the same location. With these two significant projects, Gensol will now be responsible for the cumulative development of 520 MW of Solar PV capacity at the Khavda Solar Park, a site poised to become the world's largest hybrid renewable energy park.
By leveraging its expertise in solar EPC services, Gensol remains committed to driving sustainable energy solutions that align with the nation’s vision for a greener and more energy-efficient future. By harnessing innovative technologies and fostering a culture of excellence, the company aims to play a pivotal role in decarbonizing the nation's energy landscape, ensuring a greener future for future generations.
Anmol Singh Jaggi, MD and Chairman of Gensol Engineering shared, “These back-to-back orders at Khavda Solar Park are a testament to Gensol's commitment to delivering high-quality, sustainable energy solutions. India is on a remarkable journey towards energy independence, and renewable energy is at the forefront of this transformation. Gensol is proud to be a key contributor to this national endeavour.”
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About Gensol Engineering Ltd
Established in 2012, Gensol Engineering Limited, part of the Gensol group, provides comprehensive engineering, procurement and construction (EPC) services for solar power plants globally, with a proven track record of installing over 770 MW of solar capacity across ground-mounted and rooftop installations. Committed to sustainability, Gensol is revolutionising the Indian EV industry by setting up a state-of-the-art manufacturing facility in Pune for electric three-wheelers and four-wheelers, capable of producing 30,000 vehicles annually. Additionally, they offer extensive EV leasing solutions for passenger, fleet and cargo needs, having already leased over 3,000 EVs with plans to expand significantly. Headquartered in India, Gensol specialises in Solar EPC services, having built solar power plants exceeding 590 MWp globally and is dedicated to advancing clean energy and electric mobility solutions.
Results: According to Quarterly Results, the net sales increased by 14 per cent to Rs 347 crore and net profit increased by 29 per cent to Rs 23 crore in Q2FY25 compared to Q2FY24. In its half-yearly results, the net sales increased by 49 per cent to Rs 710 crore and net profit increased by 52 per cent to Rs 50 crore in H1FY25 compared to H1FY24. Looking at its annual results, the net sales increased by 142 per cent to Rs 963 crore and net profit increased by 129 per cent to Rs 53.5 crore in FY24 compared to FY23.
Order Book: Gensol Engineering Limited has announced a robust solar EPC order book worth Rs 5,424 Crore, comprising projects from both the public and private sectors. These projects are slated for completion within 12-18 months. Additionally, Gensol has secured orders for Battery Energy Storage Systems (BESS) under the BOO model, further solidifying its position in the renewable energy sector. With a total revenue visibility of Rs 10,382 crore across solar, BESS, and solar power generation segments, Gensol is well-positioned to capitalise on the growing demand for clean energy solutions.
Other Updates: The company has a market cap of over Rs 2,800 crore. The stock gave multibagger returns of 1,200 per cent in 3 years and has delivered good profit growth of 52.1 per cent CAGR over the last 5 years with a PE of 34x and an ROE of 20 per cent. Investors should keep an eye on this small-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.