Solex Energy Q1 FY27 earnings call
In brief
Solex AGM outlines ₹40,000M FY27-FY30 capex plan with ₹45,000M+ revenue target by FY28
- Management's tone
- Optimistic
- What was said
- Leaned positive
- Guidance
- First guidance issued
- Analyst pushback
- Low
- Stock, next session
- −1.89% (Nifty 50 −0.36%)
- FY26 revenue grew 143.9% to ₹16,211M with EBITDA ₹1,867M and PAT ₹983M; order visibility crossed ₹34,000M.
- Investment programme of ~₹40,000M between FY27 and FY30 covers 2.2 GW cell capacity by FY28 and first 5 GWh BESS by FY29.
- Revenue target of more than ₹45,000M by FY28 alongside scaling cell line from 2.2 GW to 5.2 GW by early FY29.
- Solex plans overseas expansion through Solex Europe and Solex USA to position as a trusted global solar manufacturing brand.
- Final dividend of ₹0.55 per share declared for FY26 along with auditor and director reappointments.
An AI read of the company's transcript · the filing
The numbers
The quarter, Q1 FY27
| This quarter | A year ago | Last quarter | Margin | |
|---|---|---|---|---|
| Revenue | ₹261 cr | — | −70.5% | |
| EBITDA (excl. other income) | ₹29 cr | — | −70.6% | 11.1% |
| Net profit | ₹8 cr | — | −86.2% | 3.1% |
| EPS (₹) | ₹7.39 | — | −86.2% |
From the company's filed results for the quarter ended 30 Jun 2026 (consolidated), not from the call. EBITDA here excludes other income, so it can differ from the figure management quotes.
What moved the numbers, as management explained it
- FY26 revenue grew 143.9% to ₹16,211M; chairman attributed growth to 'capabilities, quality and discipline built over decades' and 'market recognition' without quantifying volume, price or mix drivers.
- FY26 EBITDA reached ₹1,867M (margin ~11.5%) and PAT ₹983M; no specific cost, mix, volume or one-off drivers discussed at the AGM.
The numbers management led with
- Order book / Order visibility: Crossed ₹34,000 Million
- Investment programme FY27-FY30: Approximately ₹40,000 Million capex over FY27-FY30
- Solar cell capacity target: 2.2 GW by FY28, scaling to 5.2 GW by early FY29
- BESS (Battery Energy Storage Systems) capacity target: 10 GWh battery pack and container assembly capacity; first 5 GWh phase by FY29
- Revenue aspiration FY28: More than ₹45,000 Million
Guidance
Guidance on this call
| What | For | What management said |
|---|---|---|
| Revenue potential | FY28 | more than ₹45,000 Million by FY28 |
| Investment programme | FY27-FY30 | approximately ₹40,000 Million between FY27 and FY30 |
| Cell capacity phase 1 | FY28 | 2.2 GW of cell capacity by FY28 |
| Cell capacity scale-up | early FY29 | scale it to 5.2 GW by early FY29 |
| BESS phase 1 | FY29 | first 5 GWh phase of BESS capacity by FY29 |
| BESS total plan | — | plans for 10 GWh of battery pack and container assembly capacity |
What changed since the Mon 17 Aug 2026 call
| What | On the Mon 17 Aug 2026 call | On this call |
|---|---|---|
| Cell line commissioning timeline (restated) | 2.2 GW N-type TOPCon+ cell line (phase 1 of 5 GW) targeted for commissioning by end of calendar year 2027 | build 2.2 GW of cell capacity by FY28 |
| Capex programme framing (restated) | Cell project cost INR1,050 cr (INR700 cr debt + INR350 cr equity via NCDs/CCDs); 2.5 GW module line dropped | investment programme of approximately ₹40,000 Million between FY27 and FY30 covering cells, BESS, geography |
| Revenue ambition (new) | FY27 revenue guidance maintained; 5-6% PAT margin target reaffirmed (FY27) | targeting revenue potential of more than ₹45,000 Million by FY28 |
| Order book framing (restated) | Order book INR3,400 cr with INR845.84 cr executable by Dec 31, 2026 | order visibility has crossed ₹34,000 Million |
| PAT margin guidance (not repeated) | 5-6% PAT margin target reaffirmed (FY27) | Not mentioned |
| BESS plan detail (new) | Not detailed on Q1 FY27 call | First 5 GWh phase of BESS capacity by FY29 within 10 GWh total plan |
The business
By business
Module Manufacturing
FY26 delivered ₹16,211M revenue (+143.9%) with EBITDA ₹1,867M and PAT ₹983M; order visibility crossed ₹34,000M; ALMM tailwinds cited as reinforcing.
FY26 revenue ₹16,211M (+143.9%) · FY26 EBITDA ₹1,867M · FY26 PAT ₹983M · Order visibility ₹34,000M
Solar Cell Manufacturing
Forward integration planned: 2.2 GW N-type cell capacity by FY28, scaling to 5.2 GW by early FY29 to gain control over quality, costs and supply chain.
2.2 GW by FY28 · 5.2 GW by early FY29
Outlook: 2.2 GW cell capacity by FY28; scale to 5.2 GW by early FY29.
Battery Energy Storage Systems (BESS)
First 5 GWh phase planned by FY29 as part of 10 GWh total battery pack and container assembly capacity to address energy storage
5 GWh phase 1 by FY29 · 10 GWh total planned
Outlook: First 5 GWh phase of BESS capacity by FY29, with further expansion thereafter.
International Expansion
Solex Europe and Solex USA being established to build long-term customer partnerships and a trusted global solar manufacturing brand.
Outlook: Build Solex as a trusted global solar manufacturing brand via Solex Europe and Solex USA.
Balance sheet, capex and funding
- Investment programme of approximately ₹40,000M between FY27 and FY30 covering cells, BESS and overseas footprint, with no debt/equity split disclosed at AGM.
The industry, as management sees it
Management sees a multi-decade structural opportunity in the global shift from fossil-fuel-based energy to electricity, with electric mobility, industrial electrification, AI and data centres creating large new pools of clean-power demand. Storage (BESS) is expected to become as critical as generation, and India — backed by ALMM-driven domestic manufacturing — is positioned as a credible alternative global solar supply chain.
Risks management named
- Large projects bring execution challenges during the buildout phase
- Technology evolves rapidly across the solar value chain
- Global trade and supply chains can change unexpectedly
Q&A
No shareholder Q&A took place. The Company Secretary invited two registered speaker shareholders (Mr Sarvjeet Singh and Mr Manjit Singh) to address the meeting, but NSDL informed the company that neither was present. As a result, no member questions were addressed on the floor and no live investor pushback on the capex or strategic plans could be observed. E-voting results were scheduled to be declared within two working days.
What was said
Topic by topic, in the order it was spoken
Three-Decade Journey & Endurance · Dr. Chetan Shah (Chairman and Managing Director)
- Solex began its journey in the mid-1990s when solar was an emerging idea and costs were high
- Invested in quality, manufacturing capability and customer relationships over multiple cycles
- Positioning the company today as building 'for the next generation of energy'
FY26 Financial Performance · Dr. Chetan Shah (Chairman and Managing Director)
- Revenue of ₹16,211 Million, growth of 143.9% over the previous year
- EBITDA of ₹1,867 Million; PAT of ₹983 Million
- Order visibility crossed ₹34,000 Million — framed as market recognition of capability, quality and discipline
Industry Context & Structural Opportunity · Dr. Chetan Shah (Chairman and Managing Director)
- World is moving from fossil-fuel-based energy to electricity; solar sits at the heart of this transition
- Electric mobility, industrial electrification, AI and data centres are creating massive clean-power demand
- Management framed this as a multi-decade structural opportunity, not a short-term cycle
Solar Cell Manufacturing Strategy · Dr. Chetan Shah (Chairman and Managing Director)
- Move into solar cell manufacturing to gain greater control over quality, costs and the supply chain
- ALMM-driven strengthening of domestic manufacturing reinforces the strategic rationale
- Lays the foundation for a more integrated, resilient and globally competitive Solex
Battery Energy Storage Systems (BESS) · Dr. Chetan Shah (Chairman and Managing Director)
- Plans for 10 GWh of battery pack and container assembly capacity
- Rationale: generating electricity alone will not be enough — storage and on-demand delivery will be equally critical
- Designed to make Solex relevant to the next phase of renewable energy
Global Expansion: Solex Europe & Solex USA · Dr. Chetan Shah (Chairman and Managing Director)
- Global customers are seeking diversified and dependable solar supply chains
- India has the talent, manufacturing capability and ambition to be a major global alternative
- Solex intends to participate meaningfully; Europe and USA are positioned as long-term partnerships
Capex & Capacity Buildout FY27-FY30 · Dr. Chetan Shah (Chairman and Managing Director)
- Approximately ₹40,000 Million investment programme — the largest in Solex's history
- 2.2 GW of cell capacity planned by FY28, scaling to 5.2 GW by early FY29
- First 5 GWh phase of BESS capacity to be established by FY29, with further expansion thereafter
- Approach will remain disciplined despite the significant ambition
Revenue Targets & Long-Term Aspirations · Dr. Chetan Shah (Chairman and Managing Director)
- Revenue potential of more than ₹45,000 Million targeted by FY28
- Aspiration is to build an enduring, technologically relevant, financially strong and globally respected company
- Positioned as an inflection point — energy transition accelerating, India emerging as a global solar force
Execution Philosophy · Dr. Chetan Shah (Chairman and Managing Director)
- Quality before quantity — discipline on output standards
- Capability before capacity — capability is built before volume scale
- Trust before scale — long-term relationships take precedence over growth at any cost
Risks & Acknowledgements · Dr. Chetan Shah (Chairman and Managing Director)
- Large projects bring execution challenges during the scale-up
- Technology evolves rapidly across the solar value chain
- Global trade and supply chains can change unexpectedly
- Confidence anchored on three decades of experience, relationships, discipline and resilience
AGM Business Items & Resolutions · Dr. Chetan Shah (Chairman and Managing Director)
- 13 resolutions tabled — five ordinary and eight special business items
- Items included FY26 accounts, final dividend of Rs 0.55/share, CMD remuneration revision, re-appointment of CMD and WTD, Section 185 and 186 authorisations, related-party transactions with subsidiary, and Section 180(1)(c) borrowing-limit increase
- No shareholder speakers attended; e-voting results to be declared within two working days
In their words
FY26 has been a landmark year for Solex. We delivered revenue of ₹16,211 Million, representing a growth of 143.9% over the previous year. EBITDA stood at ₹1,867 Million, while profit after tax reached ₹983 Million. Our order visibility has crossed ₹34,000 Million.
The investment programme of approximately ₹40,000 Million between FY27 and FY30 represents the largest expansion in Solex's history.
Quality before quantity. Capability before capacity. Trust before scale.
To check next time
What management committed to on this call, or the dates they gave.
- Q1 FY27 standalone financial performance and order book conversion to revenue.
- Cell project land acquisition, electricity approval and technology partner sign-offs.
- BESS 5 GWh phase 1 commissioning progress toward FY29 target.
- Solex Europe and Solex USA setup milestones including customer wins.
- Funding mix for the ₹40,000M FY27-FY30 investment programme (debt vs equity split).
Transcript
We have not transcribed this call's recording. Read the company's transcript (PDF).
The stock after the call
| After the call | Close | Stock | Nifty 50 |
|---|---|---|---|
| Next session Tue 22 Sept 2026 | ₹678.95 | −1.89% | −0.36% |
| 5 sessions Mon 28 Sept 2026 | ₹695.45 | +0.49% | −2.71% |
From the close of Mon 21 Sept 2026, ₹692.05: the close before the call day (the call's time is not on file). Adjusted daily closes; the move includes everything else that happened in those sessions.