Skip to content

    Sahaj Solar

    SAHAJSOLAR
    Capital Goods·12 Nov 2025
    Management Summary

    Sahaj Solar delivered a resilient H1 FY26 performance with 13% YoY revenue growth and 33% YoY EBITDA growth, despite the seasonal impact of monsoon. The company secured a robust order book and entered a significant partnership with IDMP for solarizing bulk milk coolers, promising substantial future revenue. While facing temporary challenges with increased receivables and capex delays, management anticipates a strong H2 and aggressive growth from new initiatives and subsidiaries.

    Highlights

    5

    • Revenue from operations of Rs. 111 crore in H1 FY26, reflecting 13% year-on-year growth over Rs. 98 crore in the same period last year.

    • EBITDA grew 33% year-on-year to Rs. 11 crore with a stable 10% margin in H1 FY26.

    • Profit after tax (PAT) was Rs. 5 crore, maintaining a stable 5% margin in H1 FY26.

    • Closed H1 FY26 with a healthy order book of Rs. 320 crore as of September 30, 2025, providing solid visibility for the remainder of the year.

    • Exclusive strategic partnership with IDMP to solarize 10,000 bulk milk coolers over three years, with a potential revenue of Rs. 800-1,000 crore and 18%+ EBITDA margin.

    Concerns

    3

    • Receivables increased in H1 FY26 due to specific projects in Maharashtra and BESS, though expected to clear by December 2025.

    • Capacity expansion delayed due to prolonged monsoon and the need to upgrade machinery for G12R technology.

    • Finance costs increased in H1 FY26 from Rs. 3 crore (FY25) to Rs. 14 crore due to full utilization of a working capital loan disbursed in January 2025.

    Key financials

    Single quarter

    06 metrics
    1. 01Revenue from Operations₹111 Cr+13%YoY
    2. 02EBITDA₹11 Cr+33%YoY
    3. 03EBITDA Margin10%
    4. 04Profit After Tax₹5 Cr
    5. 05PAT Margin5%

    Order Book

    high confidence

    Total Value

    ₹ 320 crores

    as of 2025-09-30

    quantified

    Execution

    Historically, the second half has been our strong figure and we expect execution to accelerate meaningfully as we progress through the second half of the Financial Year 2026.

    Composition

    Africa (Zambia)(geography)
    ₹ 60 crores

    Pipeline

    qualified rfp

    More than Rs. 600 crore of tenders bidded, technically qualified for >Rs. 450 crore, expecting Rs. 350 crore in next 2-3 months.

    "The company has a healthy order book providing solid visibility, with significant pipeline from tenders and new strategic partnerships."

    Source:
    Prepared remarks

    Capital allocation

    3
    medium confidence
    CategoryHeadline
    Capex

    Capex disclosed

    Primarily debt for working capital and new plant capex

    Debt

    Gross ₹14 crores

    Liquidity

    Liquidity disclosed

    IPO proceeds were used for working capital.

    Guidance & targets

    15
    CategoryTargetPriority
    Revenue
    H2 FY26 Revenue
    ₹260-300 crores
    		High
    Revenue
    Full FY26 Revenue Growth
    35-40%
    		High
    Margin
    Cumulative FY26 PAT Margin
    8.5-9%
    		High
    Margin
    H2 FY26 PAT Margin
    >10%
    		High
    Margin
    BMC Segment EBITDA Margin
    18%+
    		High
    Order Book
    BMC Business Revenue
    ₹800-1,000 crores
    		High
    Order Book
    BMC Execution (FY26)
    100+ units
    		High
    Order Book
    BMC Execution (Next FY)
    ~2,000 units
    		High
    Growth
    Subsidiaries Growth
    100%+
    		High
    Growth
    Overall Company Growth (Conservative)
    40-50%
    		High
    Growth
    Overall Company Growth (Cumulative with Subsidiaries)
    3-4 fold
    		High
    Project Execution
    African EPC Contract (Zambia 110 MW)
    ₹60-65 crores
    		High
    Project Execution
    UPNEDA RESCO Tender Execution
    8,200 MW
    		High
    Project Execution
    Gujarat IPP Project
    Complete and charge
    		High
    New Vertical
    Solar Panel Recycling
    Come up
    		High

    H2 FY26 Revenue and PAT Margin

    next quarter (H2 FY26 results)
    CurrentH1 FY26 Revenue: ₹111 Cr, PAT Margin: 5%
    TargetH2 FY26 Revenue: ₹260-300 Cr, PAT Margin: >10%

    Why it matters

    Verifies management's expectation of a strong second half, crucial for achieving full-year guidance.

    Historically, the second half has been our strong figure and we expect execution to accelerate meaningfully as we progress through the second half of the Financial Year 2026. ... So, if you talk about the absolute number, it will be somewhere around Rs. 260 crores to Rs. 300 crore of turnover in H2. ... So, in H2, it was 10%, I think? ... Yes, you are right. So, in H2, we can expect more than 10% this year?

    How to verify

    key_financials.metrics[label='Revenue from Operations']

    Risks & concerns

    5
    RiskSeverity

    Seasonal impact on solar industry and project execution

    H1 is typically softer due to monsoon, impacting project execution, but H2 is historically stronger. — Management acknowledged

    medium

    Working capital intensity and payment cycles

    EPC business has 45-60 day cycle, but government/solar water pumping can be 90-120 days, with payments often lumpy and delayed in H1. — Management acknowledged

    medium

    Competition in solarization of milk chiller segment

    Existing thermal battery and lead-acid battery technologies have low success rates or challenges, giving Sahaj's solution a performance advantage. — Management downplayed

    low

    Increased receivables from specific projects

    Receivables increased in H1 due to Maharashtra and BESS projects, but expected to clear 80-90% by December 2025. — Management acknowledged

    medium

    Delays in capacity expansion

    Expansion delayed by monsoon and the decision to upgrade to G12R technology, but seen as a long-term benefit. — Management acknowledged

    medium

    Q&A highlights

    7

    “In the first year, in this financial year, we see that we will have some sort of three-digit execution number. But following this, from the financial year '26-'27, we expect the gradual increase. In that next year, we are looking at somewhere around 2,000 to 3,000 executions, and the number will increase gradually. ... we are looking at Rs. 800 crores to Rs. 1,000 crores of revenue in the next three years from BMC business. ... we are looking at 18% plus margin here.”

    Clarifies the phased rollout, significant revenue potential (Rs. 800-1000 Cr over 3 years), and high EBITDA margins (18%+) for the new IDMP partnership.

    asked by Mukesh Panjwani

    3 min read6 chapters

    Detailed Narrative

    01

    Resilient H1 FY26 Performance Amidst Seasonal Headwinds

    Sahaj Solar delivered a resilient performance in H1 FY26, with revenue from operations reaching Rs. 111 crore, marking a 13% year-on-year growth from Rs. 98 crore in the prior period. EBITDA grew significantly by 33% year-on-year to Rs. 11 crore, maintaining a stable 10% margin. Profit after tax stood at Rs. 5 crore with a 5% margin. This performance was achieved despite the typical H1 softness in the solar industry due to the monsoon season, which usually impacts project execution.

    02

    Strategic Partnership with IDMP for Bulk Milk Cooler Solarization

    A key highlight is the exclusive strategic partnership with IDMP (National Dairy Development Board subsidiary) to deploy hybrid solar battery systems for approximately 10,000 bulk milk coolers across Gujarat, Uttar Pradesh, Rajasthan, and Northeast over the next three years. This initiative is projected to generate Rs. 800-1,000 crore in revenue over three years, with an anticipated EBITDA margin exceeding 18%. The first 100+ rollouts are targeted for FY26, contributing Rs. 10-15 crore, with a new solar-only product launching in January 2026.

    03

    Robust Order Book and Pipeline Visibility

    As of September 30, 2025, Sahaj Solar boasts a healthy order book of Rs. 320 crore, providing strong revenue visibility for the remainder of FY26. The company has also bidded for over Rs. 600 crore in tenders, technically qualifying for more than Rs. 450 crore, from which Rs. 350 crore is expected to convert into orders within the next 2-3 months. Additionally, Sahaj is one of four qualified bidders for UPNEDA's 500 MW RESCO tender, targeting 80-100 MW of execution within 1-1.5 years.

    04

    Diversification into New Verticals and International Expansion

    Beyond its core solar water pumping and grid-tied EPC business, Sahaj Solar is actively developing solar-plus-storage solutions for fisheries, fruits, and vegetable industries, with modular products already developed. Internationally, the company has a 110 MW EPC contract in Zambia, with groundbreaking expected in January 2026 and revenue realization in H1 FY27 (Rs. 60-65 crore). This geographic diversification aims to mitigate seasonal impacts and tap into new growth markets.

    05

    Capacity Expansion Delays and Financial Costs

    The company's planned capacity expansion faced delays due to the prolonged monsoon season and a strategic decision to upgrade machinery from TOPCon to the more advanced G12R technology. Debt increased from Rs. 3 crore in FY25 to Rs. 14 crore in H1 FY26, primarily due to the full utilization of a working capital loan disbursed in January 2025 for Gujarat and BESS projects. Management expects similar finance costs in H2 due to new fund requests for upcoming projects.

    06

    Long-Term Growth Outlook and Subsidiary Contribution

    Sahaj Solar projects a conservative year-on-year growth of 40-50% for its standalone business. Its subsidiaries are expected to grow at over 100% year-on-year, contributing significantly to the overall growth. Cumulatively, the company anticipates a 3-4 fold growth in revenue over the next 3-4 years, driven by product diversification, market penetration, and strategic partnerships. The second half of FY26 is expected to see accelerated execution, with H2 revenue projected between Rs. 260-300 crore and PAT margins exceeding 10%.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.