Acme Solar shares hit 10% upper circuit for second consecutive day after strong Q3 results

ACME Solar

Acme Solar Holdings shares surged by 10 percent to get locked in the upper circuit for the second consecutive day on January 30. This comes after the company posted strong Q3 FY25 results on January 29.

Acme Solar Holdings' shares were trading at Rs 210.35 at the time of writing.

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The company posted significant growth in both revenue and profit. Its revenue from operations rose by 5.24 percent year-on-year to Rs 349.01 crore, while profit jumped by an impressive 152.1 percent YoY to Rs 112.06 crore.

Quarter-on-quarter, the company saw improvements, with revenue climbing 34.45 percent and profit soaring 632.42 percent. Operating income also rose 43.35 percent compared to the previous quarter, and 16.49 percent year-over-year.

EBITDA margin stood at 90 percent in Q3 FY25 compared to 85 percent in Q3FY24, driven by favourable operating leverage. PAT margin reached 28 percent in Q3 FY25, as against 12 percent in Q3 FY24.

Earnings Per Share (EPS) for Q3 FY2025 was at Rs 2.17, which implied an increase of 193.24 percent year-over-year.

This week, ACME Solar Holdings also signed a power purchase agreement (PPA) with state-owned company NHPC, entailing a project with capacity installation of 680 MW. As per the exchange filing, the project is under the Firm and Dispatchable Renewable Energy (FDRE) tender of 1,400 MW issued by NHPC.

The company is into developing, building, owning, operating and maintaining utility-scale renewable energy projects. This is done through its in-house engineering, procurement and construction (EPC) division and its operation and maintenance (O&M) team. ACME Solar Holdings generates revenue by selling electricity to various off-takers, including central and state government-backed entities.

IPO proceeds of Rs 2,070 crore have been utilised till January 25, 2025 towards debt repayment resulting in substantial reduction in O/S Debt, the company said in the exchange filing.