The Pune-based renewable energy company has been allocated 1 lakh rooftop solar projects of 1 kilowatt (kW) each, giving the order a combined capacity of 100 megawatts (MW).
The contract is worth about ₹454.5 crore, including GST, based on a rate of ₹45,450 per kW.
Put simply, GK Energy has been selected to install a small 1 kW rooftop solar system at each of 1 lakh homes. Together, those installations add up to a sizeable 100 MW solar project.
The scope of work includes designing, engineering, supplying, installing, testing and commissioning the rooftop solar systems. GK Energy will also be responsible for their operation and maintenance for five years.
Individual projects are to be completed within 60 days of the respective work orders being issued.
The company described the contract as a one-time domestic order and said its promoters, promoter group and group companies have no interest in the entity awarding the contract.
Also Read: Thinking of going solar? Here’s what a 3 kW system can power and what It costs
Profit jumps 54% in Q1
The latest order comes after GK Energy reported strong growth in the first quarter.
Consolidated net profit rose 54% year-on-year to ₹57 crore from ₹37 crore, while revenue increased 55.4% to ₹505 crore from ₹325 crore.
EBITDA rose 44% to ₹82.4 crore. However, the EBITDA margin narrowed to 16.3% from 17.6% a year earlier, indicating that costs grew faster than operating profit despite the sharp increase in revenue.
Profit before tax increased to ₹80.3 crore from ₹50.5 crore.
GK Energy operates two main businesses — engineering, procurement and construction (EPC) of solar projects and trading in solar cells and other products. EPC remained the company’s biggest revenue contributor during the quarter.
The ₹454.5-crore rooftop solar contract is also significant relative to the company’s existing business: its value is equivalent to nearly 90% of the ₹505 crore revenue GK Energy generated in the latest quarter.
GK Energy shares were trading 8.62% higher at ₹134.81 on the NSE at 3:30 pm on Wednesday.
Also Read: GK Energy says ₹1,000-crore order book puts FY27 revenue target on track
