Oswal Pumps , a leading manufacturer of solar pumping systems in India, has reported robust financial results for the first quarter, setting the stage for significant growth in the coming year.

Q1 Financial Highlights

The company's Q1 performance showcased impressive year-over-year growth:

• Operating income reached Rs 5,139.00 million, up 36.80% year-over-year and 40.90% quarter-over-quarter
• EBITDA stood at Rs 1,408.00 million with a margin of 27.40%
• Profit After Tax (PAT) was Rs 947.00 million, representing an 18.40% margin

Strong Order Book and Growth Outlook

Oswal Pumps maintains a robust order book of 29,961 pumps, valued between Rs 700.00-800.00 crores. The company's management has provided an optimistic guidance, projecting revenue growth of 50-60% with EBITDA margins of 27-29%.

Expansion Plans

To meet growing demand, Oswal Pumps is significantly expanding its manufacturing capacity:

• Increasing pump production capacity from 2 lakh to over 5 lakh pumps per annum
• Adding 1.50 GW solar module capacity

Market Position and Government Schemes

The company holds a strong 31% market share in the PM-KUSUM scheme, a government initiative promoting solar energy in agriculture. Maharashtra is expected to be the largest revenue contributor for Oswal Pumps in the coming year.

Product Development

Oswal Pumps is diversifying its product range, with plans to introduce new industrial pump products:

• Helical pump sampling planned by Q3
• Development of boiler feed pumps, chemical pumps, and high-pressure pumps in progress

Management Commentary

During the earnings call, Vivek Gupta, Chairman and Managing Director of Oswal Pumps, expressed confidence in the company's growth trajectory: "We are quite very hopeful that we will achieve this as per the timeline. And simultaneously, we had planned 1.5 gigawatt in the solar module for the expansion. So, accordingly, the Company is working very aggressively in that direction as well."

Gupta also highlighted the company's strong position in the market, stating, "Our major strength is that in India, in the solar pumping system, the biggest service network is with Oswal today. It is the biggest network we have."

Future Outlook

The management remains optimistic about the future, citing several factors supporting growth:

• Anticipated launch of PM-KUSUM 2.0 by the end of the fiscal year
• Expanding presence in multiple states across India
• Growing export business, expected to contribute 3-4% of revenue

With its strong market position, expanding capacity, and favorable government initiatives, Oswal Pumps appears well-positioned to capitalize on the growing demand for solar pumping systems in India's agricultural sector.

Conclusion

Oswal Pumps' Q1 results and future outlook paint a picture of a company on a strong growth trajectory. However, as with any rapidly growing business, investors should remain mindful of potential challenges such as market competition, policy changes, and execution risks associated with rapid expansion.

Oswal Pumps Limited , a key player in the pump manufacturing industry, has significantly bolstered its position in the solar energy sector by acquiring additional shares in its wholly-owned subsidiary, Oswal Solar Structure Private Limited. The company completed the acquisition of 5,23,72,121 equity shares for a total consideration of INR 303.76 crore through a rights issue allotment.

Acquisition Details

The acquisition, finalized on July 22, 2025, was executed in line with the objectives outlined in Oswal Pumps' prospectus dated June 17, 2025. The newly acquired shares have a face value of INR 10 each. Following this transaction, the paid-up equity share capital of Oswal Solar Structure Private Limited has increased to INR 64.87 crore.

Subsidiary Performance

Oswal Solar Structure Private Limited, incorporated in January 2022, has shown remarkable growth in its short operational history:

The subsidiary, which operates a solar module manufacturing facility in Karnal, Haryana, has demonstrated a significant leap in turnover from INR 593.22 million in FY 2023-24 to INR 4,522.46 million in FY 2024-25, marking a substantial growth in its operations.

Strategic Implications

This investment underscores Oswal Pumps' commitment to expanding its footprint in the renewable energy sector, particularly in solar module manufacturing. The move aligns with the company's strategic objectives and potentially positions it to capitalize on the growing demand for solar energy solutions in India.

Regulatory Compliance

The company has duly informed the stock exchanges about this acquisition, complying with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The disclosure provides transparency to shareholders and the market about the company's strategic moves and financial commitments.

As the renewable energy sector continues to gain prominence, Oswal Pumps' enhanced stake in its solar subsidiary could be seen as a strategic step towards diversifying its business portfolio and tapping into the burgeoning solar energy market in India.