Solar Industries India (SOLARINDS) Q4 24/25 earnings summary

Executive summary

• Achieved record FY25 revenue of ₹7,540 crore and PAT of ₹1,288 crore, up 24% and 47% year-over-year, with Q4 revenue at ₹2,167 crore and PAT at ₹346 crore.

• International business grew 18% year-over-year, accounting for 38% of annual revenue; defense revenue surged 162% to ₹1,355 crore, contributing 18% of FY25 revenue.

• Order book exceeds ₹17,000 crore, with over ₹15,000 crore from defense, including a landmark Pinaka rocket order.

• Final dividend of ₹10 per share recommended for FY25, up from ₹8.5 in FY24, subject to shareholder approval.

• Acquisition of controlling stake in Problast Group, South Africa, consolidated from July 1, 2024.

Financial highlights

• FY25 consolidated revenue: ₹7,540.26 crore vs ₹6,069.52 crore; net profit: ₹1,287.93 crore vs ₹875.23 crore.

• Q4FY25 EBITDA: ₹546 crore, up 47% year-over-year; FY25 EBITDA: ₹2,031 crore, up 44% year-over-year.

• EBITDA margin reached 27% in FY25, exceeding guidance; gross margin at 23.67%.

• Net debt turned negative at ₹(276) crore as of FY25, with cash and investments at ₹1,222 crore.

• Basic and diluted EPS (consolidated) for FY25 was ₹133.65, up from ₹92.38 in FY24.

Outlook and guidance

• FY26 revenue guidance set at ₹10,000 crore, with defense expected to contribute over 30% and defense revenue guidance at ₹3,000 crore.

• CapEx plan of ₹2,500 crore for FY26, funded mainly through internal accruals and some debt.

• Aims to double revenue to ₹20,000 crore in four years, barring major economic disruptions.

• Continued focus on explosives, accessories, and related services as the core business segment.