Vikram Solar Ltd

- Vikram Solar plans to finance its capex programs through a disciplined mix of debt and equity, emphasizing capital prudence. - They aim to maintain interest and debt service coverage ratios above 2.5 and net-debt-to-equity below 1.5, even at peak debt. - Capex phasing and financing tranches are sequenced to avoid overburdening any single source, including internal accruals. - The company has a well-structured, diversified financing mix and grows while maintaining strong financial discipline. - Debt levels are projected around INR 3,200 crores by March 2027, slightly below earlier INR 3,500 crores expectations. - The capex outlay includes a 9-gigawatt cell facility commissioning by FY27 and wafer-ingot facility commissioning by FY29. - Interest costs will be capitalized during capex periods, moderating P&L impact till commissioning. - No explicit mention of immediate equity fundraising was made, but equity is part of the balanced financing strategy.

- **9-gigawatt TopCon cell plant**: Phased commissioning through Q4 FY27, first cell rollout in Dec 2026; capitalized at approx. INR 5,400 crores for 12 GW (spread over FY27 and FY28). - **3-gigawatt cell facility** planned for FY28, completing cell-level integration. - **Wafer-ingot facility**: 12-gigawatt capacity with first 6 GW phase approved (~INR 3,700 crores), commissioning by FY29, followed by remaining capacity later. - **Battery Energy Storage System (BESS)**: 15 GWh capacity journey started; 5 GWh cell-to-pack facility commissioning by March 27, 7.5 GWh battery cell manufacturing phases in FY29 and FY30. - **Backward integration focus**: Emphasis on assembling and manufacturing cell and wafer-ingot capacities in India. - **Capex financed** through disciplined mix of debt and equity, maintaining financial guardrails (Interest and debt service coverage >2.5, net debt-to-equity <1.5). - **Cell machinery procurement** shifted from Thailand to China with approx. 10% cost increase. Overall, strategic investments aim for a fully integrated solar manufacturing campus at Gangaikondan and expansion into BESS, supporting long-term market leadership.

- FY26 achieved 40% YoY revenue growth to INR 4,800 crores, with sales volume up 76% to 3.3 GW. - FY27 plans to deliver approximately 7.5 to 8 GW of capacity, targeting 74% EBITDA growth over FY26, aiming for EBITDA of INR 1,500 to 1,600 crores. - Module capacity scaling from 9.5 GW currently to 15.5 GW post Gangaikondan 6 GW module plant commissioning. - 9 GW TopCon cell plant scheduled phased commissioning through Q4 FY27, with an additional 3 GW planned in FY28 for full cell integration. - Commencement of wafer-ingot facility adding 6 GW in FY29, further backward integration. - BESS capacity growth initiated, aiming for 15 GWh by FY30. - Strong multi-year demand outlook supported by over 80 GW Non-DCR demand and ~28 GW live DCR tenders. - Focus on capturing a growing domestic demand with deep integration and technology alignment ensuring sustainable growth.

- FY27 Guidance: Targeting 7.5 to 8 GW capacity with EBITDA growth of approximately 74% over FY26, aiming for INR 1,500 to 1,600 crores EBITDA. - Margins: Expected to maintain strong EBITDA per watt peak with potential rationalization but overall margin expansion due to scale. - FY28 Outlook: EBITDA per watt peak expected around INR 5 (down from INR 6 in FY26) with further capex trimming costs by about INR 1 per watt. - Profitability: FY26 reported a 10% PAT margin; growth supported by operating leverage and stable margins despite cost pressures. - EPS: PAT grew to INR 470 crores in FY26, and with EBITDA projected to increase substantially in FY27, earnings per share are expected to follow a strong upward trajectory. - Balance Sheet: Debt planned to peak around INR 3,200-3,500 crores with disciplined capital management, supporting sustainable growth.

- As of March 31, 2026, Vikram Solar's order book stood at 8.2 gigawatts, with 7.2 GW domestic orders. - Out of the domestic orders, 6 GW are expected to be executed in FY27, mostly in the non-DCR segment. - Around 1.2 GW remains in the order book for the residual portion of the 87 GW grandfathered non-DCR projects. - The transition from non-DCR to DCR orders is ongoing, with renegotiations for margin optimization; final inclusion depends on this. - The company has about 1 GW of export orders primarily in non-Indian markets like North Africa, EU, Australia, and the Middle East. - Distribution orders have been excluded from the formal order book due to shift to spot buying by distributors in the DCR regime. - Overall, the company targets approximately 7.5 to 8 GW production and corresponding sales in FY27, supported by its order book and new capacity.