Solar Industries Wins ₹2,150 Crore Defence Order

28 Feb 2025 , 03:43 PM

Solar Industries has received an order of ₹2,150 crore for the supply of defence products from its subsidiary. The order was placed by an international body and is to be completed within six years.

Earlier this month, the company’s management revised FY25 revenue growth guidance to be below the projected 30% growth due to a slowdown in the domestic market.

The defence segment continues to be robust but revenue estimates may be up by 5-10% depending on project wins. The Pinaka order has a delivery timeline of 8 to 12 years. Although overall revenue growth would be lower than estimates made earlier, the company sees a better profit margin.

Solar Industries witnessed a 55% increase in net profit for the December quarter, reaching ₹314.87 crore, compared to the ₹203 crore reported in the same quarter last year. For the same quarter last year, revenue for the period stood at ₹1,429.14 crore, up 38% to ₹1,973.08 crore.

EBITDA jumped 48% at ₹527 crore vs ₹355.3 crore a year ago. The company’s EBITDA margin rose to 26.7%, compared with 25% a year earlier. In December 2024, Solar Industries had bagged another ₹2,039 crore defence supply order from international customers to be delivered over a span of four years.