Solar Power EPC Company Secures 22 MW Ground Mount Solar PV Project with Order Value of Rs 88 Crore from a Leading Steel Products Company in Punjab
The stock gave multibagger returns of 3,650 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 36x and an ROE of 21 per cent.
Gensol Engineering Limited (BSE: 542851, NSE: GENSOL), a leading player in the renewable energy sector specializing in solar power engineering, procurement, and construction (EPC) services, has secured a first large turnkey Solar project from a leading steel product company in Punjab. The project involves the development of a 22 MW ground-mounted solar PV power plant, with a total contract value of Rs 88 Crore is set to be executed over a 6-month period.
The project will utilize high-efficiency Bi-facial solar modules, strategically chosen to maximize energy output and ensure long-term durability. This innovative approach aligns perfectly with India’s ambitious renewable energy targets and contributes significantly to developing a robust green energy infrastructure. Led by solar power, renewable solutions are gaining traction in the C&I segment as they allow commercial establishments and industries to decarbonize their energy consumption and cut down their carbon footprint, embrace sustainability.
By leveraging its expert design and execution capabilities, Gensol will ensure optimal capture and utilization of solar energy that will help the customer make its manufacturing processes more sustainable and responsible. The awarding of this contract to Gensol highlights the company’s growing expertise and proven track record of delivering renewable energy projects.
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 revolutionizing 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 specializes in Solar EPC services, having built solar power plants exceeding 590 MWp globally and is dedicated to advancing clean energy and electric mobility solutions.
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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 INR 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: In September 2024, FIIs bought 1,21,608 shares and increased their stake to 2.30 per cent compared to 1.98 per cent in June 2024. The company has a market cap of Rs 2,957 crore. The stock gave multibagger returns of 3,650 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 36x and an ROE of 21 per cent. Investors should keep an eye on this small-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.