2:1 bonus share; Rs 1,000 crore order book & FIIs increase stake: Multibagger stock hit upper circuit as it powers up Trident's Budhni textile unit with 10.6 MWp rooftop solar project

The stock gave multibagger returns of 200 per cent in just 1 year and a whopping 3,900 per cent in 3 years.

Today, one of the Top Gainers on BSE, shares of Gensol Engineering Limited hit a 5 per cent upper circuit to an intraday high of Rs 926.20 per share from its previous closing of Rs 840.10. The stock has been hitting back-to-back upper circuits in the recent trading sessions. The shares of the company saw a spurt in volume by more than 1.20 times on BSE.

Gensol Engineering Ltd, a diversified clean energy company offering solar EPC, electric vehicle manufacturing and leasing services, has significantly expanded its operations. They acquired nearly all shares of Gensol Clean Energy, a new subsidiary focused on renewable energy generation using solar and wind and secured a major 70 MW portion of a battery storage project from Gujarat Urja Vikas Nigam Limited. This project marks their entry into the battery storage market and strengthens their position in clean energy solutions. Additionally, Gensol Electric Vehicles, a subsidiary of Gensol Engineering, received approval for its new electric car to be manufactured in a new plant with a capacity of 30,000 cars per year. This, along with securing contracts for two solar power projects, demonstrates their commitment to clean energy and positions them as a key player in India's transition to a sustainable future.

Gensol Engineering Limited today announced the successful completion of a significant 10.6 MWp rooftop solar project for Trident Limited in Madhya Pradesh. This project marks a major milestone for both companies, showcasing Gensol's expertise in sustainable energy solutions and propelling Trident Limited towards its clean energy goals.

The project utilises high-efficiency Bi-facial solar modules, strategically chosen to maximise energy output and ensure long-term durability. This innovative approach aligns perfectly with India's ambitious renewable energy targets and contributes significantly to the development of a robust green energy infrastructure.

Equipped with close to 20,000 solar panels, this colossal rooftop solar plant is estimated to generate enough clean energy to offset close to a staggering 11,000 tonnes of carbon dioxide emissions annually. By significantly reducing its reliance on fossil fuels for power generation, Trident Limited demonstrates exceptional environmental stewardship and makes a substantial contribution towards a cleaner future. This project serves as a powerful inspiration for other industries, paving the way for a more sustainable world powered by the sun.

By leveraging their expert design and execution capabilities, Gensol meticulously maximised the available rooftop space at Trident's Budhni plant, ensuring optimal capture and utilisation of solar energy. The successful completion of this project exemplifies the transformative power of collaboration between leading companies. By embracing clean energy solutions like rooftop solar, Trident takes a giant leap towards environmental responsibility and reduces its carbon footprint.

Additionally, the company has completed a 160 MW solar power plant in Bhavnagar, Gujarat for Continuum Green Energy, solidifying its expertise in large-scale solar projects with this sixth major ground-mounted installation. The Rs 128 crore project adds to Gensol's over 600 MW portfolio of diverse solar solutions (rooftop, ground-mounted, floating) delivered across India under various contract models, and showcases their full-service capabilities in developing, operating, and managing these projects, contributing to a sustainable future for Gujarat through solar energy.

In Q3FY24, the company's revenue surged 335 per cent to Rs 227 crore, driven by strong growth across all segments. This resulted in a significant improvement in profitability, as the company turned a net loss of Rs 2 crore in Q3FY23 into a net profit of Rs 12 crore in Q3FY24, marking a turnaround (734 per cent).

The company's performance for the first nine months of FY24 has been strong, with all key financial metrics showing significant growth compared to the same period in FY23. Revenue nearly tripled to Rs 584 crore, and PAT more than doubled to Rs 34 crore, demonstrating strong growth across all business segments and improved operational efficiency. The shares of the company have ex-traded bonus shares in the ratio 2:1 on October 17, 2023.

The company has a market cap of over Rs 3,400 crore and as of December 31, 2023, the company’s order book stands at over Rs 1,000 crore. As of December 2023, FIIs bought 4,84,721 shares and increased their stake to 2.94 per cent compared to 2.57 per cent in September 2023 while DIIs increased their stake to 0.84 per cent in December 2023 compared to 0.75 per cent in September 2023.

An ace investor, Mukul Agrawal owns 5,70,000 shares or 1.51 per cent stake in the company. The stock gave multibagger returns of 200 per cent in just 1 year and a whopping 3,900 per cent in 3 years. Investors should keep an eye on this Small-Cap stock.

Disclaimer: The article is for informational purposes only and not investment advice.