1. At a Glance
From rooftops to boardrooms, Solarium Green Energy is a fast-growing EPC solar company with integrated services and a 230 Cr topline in FY25. Promoters are slowly exiting, interest costs are rising like summer heat, and debtor days now need a calendar instead of a calculator.
2. Introduction with Hook
Imagine if your electricity bill was a Bollywood villain — Solarium walks in like Sunny Deol from Border, yelling “Aata Majhi Satakli!” and slapping down sunlight to power factories, homes, and even Himalayan chill zones.
- FY25 Revenue: ₹230 Cr
- FY25 PAT: ₹19 Cr
- MoU signed with NISE for Himalayan solar heating R&D (June 2025)
- 3-Year Profit CAGR: 109%
- Promoter Holding: Down from 78% to 58% (uh oh)
3. Business Model (WTF Do They Even Do?)
Solarium is the quintessential EPC (Engineering, Procurement, Construction) solar player. Their scope includes:
- Solar rooftop projects (Residential, Commercial, Industrial, Govt)
- Design, procurement, commissioning, O&M
- Solar equipment resale (modules, inverters, etc)
- Logistics, supply chain, & financing (yes, they offer the money too)
- Operations & Maintenance services (hello AMC margins)
Basically, they’re your Uber, Uber Eats, and Uber Finance of solar, all in one — minus the discount codes.
4. Financials Overview
| Metric | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Revenue (Cr) | ₹167 | ₹99 | ₹177 | ₹230 |
| EBITDA (Cr) | ₹5 | ₹6 | ₹24 | ₹26 |
| EBITDA Margin | 3% | 6% | 14% | 11% |
| PAT (Cr) | ₹2 | ₹2 | ₹16 | ₹19 |
| ROE | 7% | 18% | 56% | 23% |
| EPS (₹) | ₹6.83 | ₹5.8 | ₹51.97* | ₹8.92 |
*FY24 had one-time IPO impact. Don’t expect this again unless they IPO weekly.
5. Valuation
Current Price: ₹422
PE Ratio: 47.3x
Book Value: ₹67.8
Market Cap: ₹879 Cr
Valuation Feels:
- High PE for EPC solar? Yep.
- Strong growth? Also yep.
- But interest cost, promoter exit, and rising working capital days suggest a re-rate is possible.
EduFair Value Range™:
₹280 – ₹360 based on 18–24x normalized FY26E EPS of ₹15
6. What’s Cooking – News, Triggers, Drama
- June 2025: ₹35.3 Cr order from Kirloskar Solar Technologies
- June 2025: MoU with NISE for Himalayan solar R&D
- June–July 2025: Sharp price movement triggered SEBI queries — company says “market hai bhai, humne kuch nahi kiya”
- Promoter holding dropped 20% in one quarter (sip chai, read again)
Watch out for institutional meetings and fresh order announcements.
7. Balance Sheet
| Item | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Equity Capital | 3 | 3 | 3 | 21 |
| Reserves | 0 | 2 | 17 | 121 |
| Borrowings | 15 | 27 | 31 | 68 |
| Total Liabilities | 32 | 44 | 77 | 234 |
| Fixed Assets | 5 | 6 | 5 | 6 |
Key Points:
- Leverage doubled (₹31 Cr → ₹68 Cr)
- Net Worth 6x’d due to equity infusion
- Assets jumped 3x, indicating expansion — but execution risk exists
8. Cash Flow – Sab Number Game Hai
| Year | CFO | CFI | CFF | Net Cash |
|---|---|---|---|---|
| FY22 | ₹6 Cr | -₹2 Cr | -₹4 Cr | -₹1 Cr |
| FY23 | -₹4 Cr | -₹4 Cr | ₹10 Cr | ₹2 Cr |
| FY24 | ₹0 Cr | -₹3 Cr | ₹2 Cr | -₹2 Cr |
| FY25 | -₹62 Cr | ₹2 Cr | ₹135 Cr | ₹75 Cr |
Key Points:
- FY25 cash flow is IPO-funded; not ops-driven
- Core operations are cash negative
- Inventory + receivable build-up is eating liquidity
9. Ratios – Sexy or Stressy?
| Ratio | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| ROE | 7% | 18% | 56% | 23% |
| ROCE | – | 18% | 56% | 20% |
| Debtor Days | 14 | 27 | 65 | 144 |
| CCC (days) | 10 | 44 | 91 | 195 |
Verdict:
The growth story is exciting, but debtors are chilling for too long, and working capital looks like a TikTok time-lapse of a mountain hike.
10. P&L Breakdown – Show Me the Money
| Item | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|
| Sales | 167 | 99 | 177 | 230 |
| EBITDA | 5 | 6 | 24 | 26 |
| OPM (%) | 3% | 6% | 14% | 11% |
| PAT | 2 | 2 | 16 | 19 |
| EPS (₹) | ₹6.83 | ₹5.8 | ₹51.97 | ₹8.92 |
Note: FY24’s EPS spike was pre-IPO math gymnastics — post-IPO capital has diluted it back.
11. Peer Comparison
| Company | CMP (₹) | P/E | ROE | OPM | Sales (Cr) | PAT (Cr) |
|---|---|---|---|---|---|---|
| Solarium Green | 422 | 47.3 | 23% | 11% | 230 | 19 |
| Techno Electric | 1544 | 47.5 | 13% | 15% | 2268 | 134 |
| KEC Intl | 871 | 40.6 | 12% | 6.9% | 21847 | 570 |
| Kalpataru | 1198 | 36.4 | 9.6% | 9.1% | 22315 | 561 |
Key Point:
Solarium is punching above its market cap — high PE, small base, lower margins than established peers. But yes, it’s growing fast and has niche solar R&D plans.
12. Miscellaneous – Shareholding, Promoters
| Category | Mar 2025 |
|---|---|
| Promoters | 58.34% (down from 78%) |
| FIIs | 2.87% |
| DIIs | 6.16% |
| Public | 32.63% |
Notes:
- Promoter stake falling fast. Red flag if trend continues.
- Institutional investors (FII/DII) nibbling — but early-stage bets.
- Analyst meets are happening — narrative is being built.
13. EduInvesting Verdict™
Solarium Green Energy Ltd is like that solar startup on Shark Tank: flashy topline, scalable vision, but a working capital vampire and promoter who’s sneakily exiting the stage.
Is it a green multi-bagger or just a short-circuit away from overheating? Time will tell. Until then, investors better keep one eye on the sun… and the other on the debtor days.
Metadata
– Written by EduInvesting Research Desk | July 15, 2025
– Tags: Solar Energy, SME IPOs, Solarium, CleanTech, Renewable Energy, India Solar Stocks, Green Energy Turnkey Projects, Promoter Exit Risk
