Rs 4,754 Crore Order Book: Defence Explosives Manufacturing Company Bags New Orders Worth Rs 1,286.40 Crore from Domestic & International Clients

The stock is up by 82 per cent from its 52-week low of Rs 5,553.65 per share and gave multibagger returns of 850 per cent in 5 years.

Solar Industries India Limited (SIL) has secured significant new orders totalling Rs 1,286.40 crore from both domestic and international clients.

Firstly, the company has received a substantial order worth Rs 887 crore from Singareni Collieries Company Limited. This domestic order entails the supply of specialized explosives and initiating systems for overburden blasting operations over a two-year period.

Secondly, SIL has secured international orders valued at Rs 399.4 crore for the supply of defence products. These products will be delivered to an undisclosed international client over a three-year timeframe.

These new orders underscore SIL's strong market position and its ability to deliver high-quality products and services to both domestic and international clients.

Solar Industries Ltd (SIL) is one of the world’s leading manufacturers of bulk explosives, packaged explosives and initiating systems, which find applications in the mining, infrastructure and construction industries. SIL also ventured into the defence segment in 2010 and diversified into manufacturing propellants for missiles and rockets, warheads and warhead explosives.

The company has a market cap of over Rs 90,000 crore and has delivered good profit growth of 28.1 per cent CAGR over the last 5 years. As of September 30, 2024, the company’s order book stands at Rs 4,754 crore and including the above orders the company’s current order book stands at over Rs 6,000 crore.

The shares of the company have an ROE of 33.4 per cent and an ROCE of 34.7 per cent. The stock is up by 82 per cent from its 52-week low of Rs 5,553.65 per share and gave multibagger returns of 850 per cent in 5 years. Investors should keep an eye on this mid-cap stock.

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