1. At a Glance
EBITDA ₹531 Cr (+76% YoY). PAT ₹131 Cr (+9319% YoY). 350 MW added including first wind project. First standalone battery storage project bagged. Debt refinanced cheaper. Stock P/E 40x. In short: ACME isn’t just chasing sunlight—it’s bottling it for later.
2. Introduction with Hook
Picture this: A solar company that not only sells sunshine but now rents out moonlight (read: storage). ACME Solar just pulled a Netflix—pivoted from just content (solar) to full-stack streaming (solar + wind + BESS). Q1 FY26 numbers? Blazing hot. Net profit jumped so high you’d think it was on Elon Musk’s launchpad.
3. Business Model (WTF Do They Even Do?)
ACME builds giant solar farms, mixes in wind turbines for spice, and now throws in battery storage like a Tesla on steroids. Then they sell power to government-backed offtakers at fixed tariffs. Basically, they harvest sun and wind, package electrons, and send invoices. “Green energy but with Wall Street swagger.”
4. Financials Overview
- Revenue: ₹584 Cr (+72%)
- EBITDA: ₹531 Cr (Margin 91%)
- PAT: ₹131 Cr (Margin 22.4%)
- Cash PAT: ₹254 Cr (+346%)
Commentary:
Margins so fat they could survive a keto diet. Debt/EBITDA at 4.2x – not squeaky clean, but not Titanic either.
5. Valuation
- P/E: 40x – priced like a tech stock.
- EV/EBITDA: ~15x (approx).
Fair Value Range: ₹240 – ₹300.
“If paying 40x earnings makes sense to you, you probably also think airport Maggi is a steal.”
6. What’s Cooking – News, Triggers, Drama
- Maiden 50 MW wind project in Gujarat commissioned.
- 550 MWh BESS project bagged with NHPC.
- 4×300 MW solar projects commissioned with CRISIL AA-/Stable ratings.
- Tariff adoption secured for 6,970 MW portfolio.
- Debt refinancing at 8.5% fixed – interest cost down by 95 bps.
“More plot twists than your average Netflix thriller.”
7. Balance Sheet
| (₹ Cr) | FY24 | FY25 |
|---|---|---|
| Borrowings | 8,535 | 10,976 |
| Net Worth | 2,591 | 4,511 |
| Total Assets | 13,201 | 18,404 |
Takeaway:
Debt is high but manageable. Assets doubled. Equity jumped thanks to profits & expansions.
8. Cash Flow – Sab Number Game Hai
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Operating CF | 1,263 | 1,429 | 1,543 |
| Investing CF | -1,410 | -1,882 | -3,976 |
| Financing CF | 215 | 215 | 3,408 |
“Cash from ops solid. Investing outflow = expansion binge. Financing inflow = debt party.”
9. Ratios – Sexy or Stressy?
| Metric | Value | Comment |
|---|---|---|
| ROE | 7.5% | Meh. Needs sun cream. |
| ROCE | 8.4% | Better, but not fire. |
| D/E | ~2.5x | Leverage alert but stable. |
| OPM | 90% | Chef’s kiss. |
10. P&L Breakdown – Show Me the Money
| (₹ Cr) | FY23 | FY24 | FY25 |
|---|---|---|---|
| Revenue | 1,295 | 1,319 | 1,405 |
| EBITDA | 1,173 | 1,089 | 1,235 |
| PAT | -3 | 698 | 251 |
“PAT dipped FY25 due to one-offs, but Q1 FY26 is back to beast mode.”
11. Peer Comparison
| Company | P/E | ROE | CMP/BV |
|---|---|---|---|
| NTPC | 13.8 | 13.6% | 1.8x |
| Adani Green | 95.1 | 14.6% | 2.3x |
| JSW Energy | 50.8 | 7.4% | 2.5x |
| ACME Solar | 40.1 | 7.5% | 3.6x |
“Valuation is premium, returns average. Market betting on growth.”
12. Miscellaneous – Shareholding, Promoters
- Promoter Holding: 83.41% (rock solid).
- FIIs: 5.76% (slightly up).
- Public: 4.2%.
No anchor exits, no governance drama. Just sun, wind, and batteries.
13. EduInvesting Verdict™
ACME Solar isn’t just a solar player anymore—it’s morphing into a renewables conglomerate with wind and storage edges. Growth is real, margins stellar, but debt and valuations are clouds on an otherwise sunny horizon.
Final Word:
“A solid renewable pit stop. Just don’t expect it to hand out free electrons.”
Written by EduInvesting Team | 26 July 2025
Tags: ACME Solar, Q1 FY26 Results, Renewable Energy, Battery Storage, EduInvesting Premium
