Enforcement Directorate Raipur Holds 1.37 Per Cent Stake: Solar & EV Solution Provider Announces 10:1 Stock Split; Order Book Stands At Rs 7,000 Crore
The stock has a PE of 6x whereas the industry PE is 30x with Enforcement Directorate Raipur holds a 1.37 per cent stake.
Gensol’s Board has approved a stock split, reducing the face value of its shares from Rs 10 to Re 1. This tenfold split is expected to enhance liquidity and improve affordability for retail investors, making it easier for a larger pool of investors to participate in the company’s growth. The increased availability of shares in the market may lead to higher trading volumes, potentially improving price discovery and market participation. The record date will be announced in due course, as a result is awaited from the scrutinizer.
Additionally, Gensol Engineering Limited has successfully commissioned a Rs 40 crore ground-mounted solar power plant in Panchet, Dhanbad, Jharkhand, demonstrating their expertise in challenging terrains. Spanning 40 acres, this project, which includes five years of operations and maintenance, is expected to generate over 15 million units of clean energy annually for commercial use. The complex site conditions, characterized by loose soil, hard rock, and mining excavations, necessitated innovative engineering solutions such as advanced Mounting Structure Systems and high-efficiency PV modules. This initiative is projected to offset 21,000 metric tonnes of CO₂ emissions annually, significantly contributing to Jharkhand's renewable energy goals and bolstering its energy security by reducing reliance on fossil fuels.
About the Company
Gensol Engineering Limited, founded in 2012, has rapidly become a prominent player in the renewable energy landscape, offering comprehensive solutions encompassing solar EPC services in India and the Middle East, advanced solar tracking through Scorpius Trackers, and a significant push into electric mobility with EV leasing and manufacturing. With a workforce exceeding 500 professionals, Gensol has executed over 770 MW of solar projects, establishing itself as a top-tier EPC provider, and is further expanding its portfolio into battery energy storage and green hydrogen, while simultaneously driving the adoption of electric vehicles through its manufacturing facility and leasing services, catering to a diverse clientele.
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Results: According to Quarterly Results, the net sales increased by 30 per cent to Rs 345 crore and the net profit increased by 6 per cent to Rs 18 crore in Q3FY25 compared to Q3FY24. In its nine-month results, the net sales increased by 42 per cent to Rs 1,056 crore, EBITDA increased by 89 per cent to Rs 246 crore and net profit increased by 34 per cent to Rs 67 crore in 9MFY25 compared to 9MFY24. Looking at its annual results, the net sales increased by 142 per cent to Rs 963 crore and the net profit increased by 129 per cent to Rs 53.5 crore in FY24 compared to FY23.
The company has a market cap of over Rs 500 crore and has an order book of Rs 7,000 crore as of December 31, 2024. The stock is down 88.2 per cent from its 52-week high of Rs 1,125.75 per share and gave multibagger returns of over 500 per cent in 5 years. The stock has a PE of 6x whereas the industry PE is 30x with Enforcement Directorate Raipur holds a 1.37 per cent stake. Investors should keep an eye on this small-cap stock.
Disclaimer: The article is for informational purposes only and not investment advice.