Solar Stock Jumps Over 9 Per Cent After Bagging Order Worth Rs 897,47,00,000 From m NTPC Renewable Energy Ltd

The shares of the company saw a spurt in volume by more than 3.25 times on BSE.

Today, shares of Gensol Engineering Ltd jumped 9.34 per cent to an intraday high of Rs 780 per share from its previous closing of Rs 713.35 per share. The stock’s 52-week high is Rs 1,377.10 per share while the stock is up by 10 per cent from its 52-week low of Rs 712 per share. The shares of the company saw a spurt in volume by more than 3.25 times on BSE.

Gensol Engineering Limited (BSE: 542851, NSE: GENSOL), a prominent leader in the renewable energy sector specializing in solar power engineering, procurement, and construction (EPC) services, has secured a significant EPC contract from NTPC Renewable Energy Limited (NTPC REL). This contract entails the Development of 225MW-AC (Equivalent To 276 MWDC) Grid grid-connected solar PV Projects at GSECL Solar Park (Stage-III), Khavda located in the Rann of Kutch, Gujarat.

The total bid value for this project, including operations and maintenance (O&M) for a duration of three years, amounts to approximately Rs 897.47 crore, inclusive of taxes and duties. The contract between NTPC REL and Gensol Engineering Limited was formally executed last week, marking a substantial milestone for both entities in their pursuit of advancing renewable energy infrastructure in India.

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.

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 2,865 crore. The stock gave multibagger returns of 3,740 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.