Ganesh Green Bharat Ltd Q1 FY27 Earnings Analysis

- Company targets a minimum growth of 50%-70% annually over the next 5 years. - Expected revenue for FY27 is in the range of INR1,500 crores to INR1,700 crores, potentially exceeding INR1,700 crores if execution pace improves or new orders are received. - BESS segment is a key growth driver with significant orders, including a 1 gigawatt hour capacity order from NTPC REL. - Order book and bid pipeline sufficient for 1.5 years, with ongoing tenders worth INR3,000 crores in modules and INR1,500 crores in BESS. - Production capacity utilization for solar modules was 76% in FY26; target is 85% utilization in FY27. - Strategic focus on expanding solar cell manufacturing depending on tender success and government policy. - Increased revenue contribution expected from higher margin EPC and BESS segments supporting growth and profitability.

- Ganesh Green Bharat expects continued strong growth, targeting 50%-70% revenue growth annually over the next 5 years. - FY27 revenue guidance is INR1500-1700 crores, possibly exceeding INR1700 crores with new orders. - PAT margin expected to improve from 7% in FY26 to 8-9% in FY27 and FY28, driven by higher-margin EPC business and BESS projects. - EBITDA margin in BESS segment anticipated around 13-14%. - EPS grew 131% in FY26 to 30.31; further improvement expected alongside revenue and margin growth. - Order book of INR2200 crores and active tender participation worth over INR2500 crores support revenue visibility. - Working capital and debt expected to be managed prudently; fundraising planned at favorable valuations to support expansion. - Enhanced operational efficiency and strategic procurement aim to improve profitability despite raw material price volatility.

- Planning to expand solar cell manufacturing capacity up to 1 gigawatt with tentative capex around INR 300 crores (Page 16). - Earlier 1-gigawatt plant cost was about INR 800 crores; current costs are lower due to idle Chinese line availability and better support (Page 16). - A larger investment of INR 750 to 800 crores planned for lithium battery cell and Battery Energy Storage System (BESS) manufacturing, including Battery Management Systems (Page 12). - Module capacity expansion planned from 1.1 GW to 2 GW in phases, potentially accelerated to 2026 based on strong demand and new orders (Page 9). - Capex and working capital expected to increase with new projects; currently managing with own funds and bank working capital facilities, considering future fundraises at better valuations (Pages 17, 15). - No clear roadmap for peak debt yet; capex funded mainly from internal accruals plus bank funding (Page 18).

- Current fundraising primarily through bank loans to support working capital and project execution. - Company is managing projects mostly using its own funds at present. - Plans to take more loans from banks as project scale and working capital needs increase. - Fundraising through equity is planned in the future but only at a strong valuation to enable significant growth. - No immediate equity fundraising planned; will be considered after achieving higher valuation. - Debt-to-equity ratio is presently low; company intends to maintain a safe and manageable debt level during expansion. - Additional funds will be taken as needed based on project scale and order book growth, with a focus on efficient working capital management. Overall, incremental debt funding is ongoing and equity fundraising is planned but not immediate, dependent on company valuation and business growth.

- Current order book includes 500 MW in modules. - Participated in non-DCR tenders for about 2,000 MW, providing 1 to 1.5 years of work visibility. - Total bid value in modules stands at INR 3,000 crores (INR 2,000 crores in modules, plus additional INR 1,000 crores). - For BESS, bids participated worth around INR 1,500 crores; expected to secure orders between INR 1,000 to 1,500 crores. - Total order book combining modules and BESS sufficient for approximately 1.5 years. - Actively bidding for more tenders, including around INR 2,000 MW non-DCR projects. - Focus remains on non-DCR projects due to better material availability and quality. - BESS order from NTPC REL approximately 1 GWh capacity secured.