Solar Industries Share Price Surges 25% in 2 Weeks on Defence Orders and Strong Q4 FY25 Results

Solar Industries India share price hit a new all-time high of ₹16,814.30 on June 3, 2025, rising 3% intraday despite weakness in the broader market. The stock has gained 25% over the past 2 weeks and nearly doubled (up 98%) since its February low of ₹8,479.30. With this rally, its market capitalisation has crossed ₹1.5 trillion for the first time.

Solar Industries Share Price Jumps 25% in 2 Weeks: Key Reasons 

1. Fresh ₹402 crore Order from Coal India

On May 31, 2025, Solar Industries announced a ₹402 crore order from Coal India for supplying cartridge explosives and accessories over two years, signalling healthy demand.

2. Robust Q4 and FY25 Financial Performance

• Q4FY25 EBITDA rose 47% YoY to ₹546 crore
• Q4FY25 PAT grew 42% YoY to ₹371 crore
  FY25 EBITDA grew 44% YoY to ₹2,031 crore
• FY25 PAT rose 47% YoY to ₹1,288 crore
• EBITDA margin stood at a strong 27%, above guidance

3. Booming Defence Segment

• Defence revenue in Q4FY25 jumped 162% YoY from ₹517 crore to ₹1,355 crore
• Defence order backlog stands at ~₹15,200 crore (11.2x FY25 defence revenue)
• The company aims to generate ₹10,000 crore in total revenue in FY26
• Defence share in revenue is expected to rise from 18% to over 30%
• Long-term defence revenue is projected at ₹8,000 crore in 4–5 years (CAGR of over 40%)

4. Strategic Investment in Defence Expansion

Solar has announced a ₹2,500 crore capex plan for FY26. It also signed an MoU with the Maharashtra government to invest ₹12,700 crore over 10 years in a Mega Defence & Aerospace Project in Nagpur. This project will focus on producing UAVs, drones, counter-drone systems, new generation explosives, and military aircraft components.

About Solar Industries India

Solar Industries India manufactures industrial and defence explosives, propellants, warheads, and initiating systems. It operates 32 plants across 9 Indian states and has 7 overseas units in Africa, Turkey, and Indonesia.

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Conclusion

Solar Industries’ stock surge is backed by strong earnings, aggressive defence expansion, large orders, and sector tailwinds. With increasing demand in both industrial and defence segments, the company is poised for sustained long-term growth.

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