Fujiyama Power Systems Limited (UTL Solar) Q2 FY26 Concall Decoded: 72% growth, margins expand, GST plays villain—but solar doesn’t blink

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1. Opening Hook

UTL Solar’s first concall after listing had everything—IPO confidence, factory updates, GST drama, and one clear message: “We are not just selling panels.”

While most solar players obsess over subsidies and utility-scale projects, Fujiyama calmly reminded everyone that power cuts still exist in Bharat. And when power cuts exist, inverters, batteries, and hybrid solar systems sell themselves.

Revenue jumped 73%, margins expanded, ROCE took a temporary chai break, and management blamed GST—not demand—for the Q2 wobble. Fair enough.

The market paused, customers waited, inventory piled up—and UTL kept shipping SKUs like a kirana store during Diwali.

But behind the noise lies a serious story: backward integration clicking, cell manufacturing about to go live, and a business model that lives far away from subsidy roulette.

Read on. This isn’t a “solar hype” story. It’s a power electronics grind story.

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2. At a Glance

• Revenue ₹5,679 Mn (+72.6%) – Growth strong enough to ignore GST tantrums.
• H1 Revenue ₹11,653 Mn (+61.5%) – Scale showing up fast.
• EBITDA Margin 18.1% – Backward integration finally paying rent.
• PAT Margin 11.1% – Profits getting fitter, not flashy.
• B2C Share >90% – No EPC headaches, no DISCOM heartbreaks.
• Net Debt/Equity ~0.35 (Pro-forma) – IPO money doing cleanup duty.

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3. Management’s Key Commentary (Decoded)

“We are not a pure-play solar panel company.”
(Translation: Please stop comparing us to module dumping stories 😏)

“Our growth is not subsidy-driven.”
(Goodbye policy anxiety)

“GST cut caused a one-month demand pause.”
(Customers waited, not vanished)

“Cell plant will be operational within one month.”
(Q4 bonus, not promise)

“Most capacity is for captive consumption.”
(Oversupply fear = not our problem)

“We added 70 distributors, 350 dealers, 20 shoppes.”
(Solar ka FMCG version)

“Inventory rise is temporary.”
(ROCE will forgive us later)

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4. Numbers Decoded

Source table

Metric	Q2