Solar Industries India delivered exceptional financial results for Q2 FY27, with consolidated net profit surging 78.86% year-on-year to ₹617.02 crore compared to ₹344.97 crore in the same quarter of the previous fiscal year. However, the company's revenue from operations declined 69% year-on-year to ₹3,518.92 crore from ₹2,082.22 crore in Q2 FY26. On a sequential basis, the company's profit declined 5.44% and revenue declined 4.07% quarter-on-quarter. For the half-year period (H1 FY27), net profit soared 86% to ₹1,270 crore compared to ₹684 crore on a year-on-year basis, with revenue reaching ₹7,187 crore against ₹4,227 crore in H1 FY26.
The company demonstrated strong operational efficiency with EBITDA surging 75% year-on-year to ₹1,021 crore compared to ₹582 crore in Q2 FY26. As reported by Solar Industries, EBITDA margin improved by 107 basis points to 29.02% from 27.95% in the previous year, beating the estimated 27%. The improvement in EBITDA margin was supported by a higher contribution from the defence business and overseas revenues. The company's order book stood at ₹20,178 crore as of September 30, providing strong visibility for future execution across its business segments.
According to Managing Director and CEO Manish Nuwal, the company's performance was supported by contributions from domestic explosives, international explosives and defence segments. The defence segment's contribution to revenue increased to 29% in Q2 from 24% a year ago, highlighting the growing significance of this segment. The domestic explosives business delivered healthy performance supported by demand from mining and infrastructure sectors, with Nuwal noting stronger customer engagement, expanded manufacturing footprint and technical-service capabilities. International explosives accounted for 43% of revenue, compared with 46% in the corresponding period last year. The total order book of ₹20,178 crore includes defence orders worth ₹17,568 crore, demonstrating strong pipeline visibility.
Following the strong Q2 performance, Solar Industries shares responded positively in the market with the stock gaining 7.48% to ₹20,860 against the previous close of ₹19,408. The company's market capitalization rose to ₹1.84 lakh crore with total 0.68 lakh shares changing hands amounting to a turnover of ₹136.29 crore. The stock had a beta of 0.85 in the last one year, indicating low volatility, and has gained 72% from the 52-week low of ₹11,641 reached on December 18, 2025. The relative strength index (RSI) stands at 49.3, signaling the stock is trading neither in the overbought nor oversold zone, while shares are trading higher than all key moving averages.
