The stock fell as much as 6% in early trade before erasing all losses to trade 0.35% higher at ₹1,090 as of 12:19 pm.
The reversal came after investors initially reacted to the Centre’s decision to grant relief under the ALMM regime, which had raised concerns over increased competition from imported solar cells.
Speaking to CNBC-TV18, Vinay Rustagi, Chief Business Officer at Premier Energies, said the ALMM policy continues to be instrumental in supporting India’s domestic solar manufacturing ecosystem.
He said the latest relief has been extended only to one segment and remains “small in the overall scheme of things”, adding that the company does not expect any material impact on domestic manufacturers.
Rustagi also said Premier Energies’ production for the next six months is already sold out, reflecting continued strength in domestic demand.
The executive added that the company’s expansion plans remain on track, with 5.6 GW of module capacity already operational, while its ingot and wafer capacity expansion is progressing as scheduled. He said the planned investments are already funded, and the company has no requirement to raise external capital for the ongoing capacity additions.
Looking beyond the current policy framework, Rustagi said ALMM-1, which covers solar modules, represents an addressable market of around ₹80,000 crore, while ALMM-2, applicable to solar cells, is estimated at nearly ₹30,000 crore.
Kotak Institutional Equities said the government’s move would effectively shift a large part of the market towards the non-DCR segment over the next two quarters.
The brokerage noted that nearly two-thirds of demand from the commercial and industrial (C&I) and independent power producer (IPP) segments remains exempt from mandatory domestic solar cell usage, ensuring a smoother transition towards indigenous cell manufacturing.
Q4 earnings results
Premier Energies had reported a strong March quarter, with net profit rising 64% year-on-year to ₹456.8 crore, while revenue increased 38% to ₹2,230 crore.
The company said strong execution and the ramp-up of its recently expanded 1.6 GW cell capacity, which operated at 84% utilisation, drove the performance. Cells accounted for 58% of the order book, supporting profitability.
The company ended FY26 with an order book of 9,383 MW, valued at ₹14,010 crore, with more than two-thirds expected to be executed during FY27. It has also guided for ₹5,100 crore of capital expenditure in FY27 as part of its broader ₹12,000 crore investment programme spanning FY26-FY28, while reiterating that it currently has no exposure to export markets.
