Solar company bags new order worth Rs 60,34,00,000 from Maharastra State Electricity Distribution Co. Ltd

The stock is up by 36.3 per cent from its 52-week low of Rs 342 per share.

Sahaj Solar Limited has been awarded a Letter of Empanelment (LoE) and Rate Contract by Maharashtra State Electricity Distribution Co. Ltd (MSEDCL) for the design, manufacture, supply, installation, testing, and commissioning of 2,000 off-grid DC solar photovoltaic water pumping systems with capacities of 3 HP, 5 HP, and 7.5 HP. This Rs 60.34 crore (inclusive of GST) contract, awarded under the "Magel Tyala Saur Krushi Pump" scheme, also includes a 5-year warranty, repair, and maintenance agreement. The project must be completed within 12 months of the LoE issuance and will provide these systems to farmers across Maharashtra.

Earlier, the company received a Letter of Intent (LOI) from the Punjab Energy Development Agency (PEDA), a Punjab government undertaking, for the design, manufacture, engineering, supply, installation, commissioning, and testing, including a 5-year warranty and maintenance, of 1797 KW of grid-interactive rooftop/ground-mounted solar photovoltaic power plants on government buildings. This project represents a portion of PEDA's larger initiative to install 20 MW of solar capacity. The order, valued at Rs 6.37 crore (inclusive of GST), is a domestic contract and must be completed within 105 days of receiving the work order.

Sahaj Solar, a 2010-founded renewable energy company, manufactures solar PV modules in its 100 MW Gujarat plant. Offering mono, polycrystalline, and advanced PERC modules, the company caters to domestic and international markets. Beyond manufacturing, Sahaj Solar provides solar water pumping systems and comprehensive EPC services for residential to large-scale solar projects. Expanding its global reach, Sahaj Solar has incorporated a subsidiary in Uganda to harness solar energy for various consumers. The company is also actively involved in projects like BSF solar power plants and potential partnerships for solar module production. This dual focus on project execution and domestic manufacturing positions Sahaj Solar as a key player in the solar energy sector.

According to half-yearly results, the net sales increased by 61.16 per cent to Rs 98.12 crore, EBITDA increased by 92.09 per cent to Rs 8.41 crore and net profit increased by 157.15 per cent to Rs 4.70 crore in H1FY25 compared to H1FY24. In its annual results (FY24), the company reported net sales of Rs 201 crore and net profit of Rs 13 crore.

The company has a market cap of over Rs 500 crore and shares have an ROE of 53 per cent & an ROCE of 40 per cent. The stock is up by 36.3 per cent from its 52-week low of Rs 342 per share. Investors should keep an eye on this solar pump stock.

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