Solar Industries Bags Rs 158 Crore Defence Order; Company’s M-Cap Hits Rs 1.5 Lakh Cr

Nagpur-based Solar Industries India Limited has secured a fresh Rs 158 crore order from the Ministry of Defence, further cementing its growing presence in India’s defence manufacturing sector.

Announced on June 23 through a regulatory filing with stock exchanges, the order for the advanced version of the system, Nagastra-1R, capable of night operations, was placed a day earlier and is slated for completion within 12 months.

This development underscores Solar’s disciplined long-term strategy and sustained investments in the defence vertical, once seen as unprofitable but now a significant growth driver.

In a recent investor insight with CNBC-TV18, Pankaj Tibrewal, Founder and CIO of Ikigai Asset Manager, praised Solar Industries as a textbook example of wealth creation through high-conviction investing.

He recalled identifying the company when its market cap was merely Rs 1,000 crore, long before it caught market attention. “They raised only Rs 80 crore through the 2006 Initial Public Offering (IPO) and diluted equity just once for Rs 100 crore,” Tibrewal noted, highlighting their capital discipline.

Solar’s market cap stands tall at Rs 1.5 lakh crore now, with the promoter family still holding nearly 75% and consistently investing in the business, even during lean defence years.

Backed by this vision, Solar Industries posted a strong March 2025 quarter. Net profit jumped 43.4% YoY to Rs 348 crore, revenue rose 34.5% to Rs 2,166.6 crore, and Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) surged 52.6% to Rs 539.7 crore. Margins improved to 24.2% from 22% a year ago.

Solar Industries is a long-term value creator in India’s strategic manufacturing ecosystem with rising defence orders to its wholly-owned subsidiary Solar Defence & Aerospace Limited (formerly Economic Explosives Limited), strong financials, and promoter-led conviction.