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Published: May 15, 2026
Updated: May 15, 2026

Bondada Engineering

Going great guns in solar energy

Bondada Engineering (BEL), a Rs 2,800 crore solar EPC company based in Hyderabad, has announced an ambitious and aggressive investment plan of Rs 10,000 crore spread over four years to meet its target to build a 25 Gigawatt (Gw) renewable energy capacity.

The company is also exploring a big foray into data centres and defence manufacturing. Revealing this, Raghavendra Rao, Chairman & MD, said, “It will contribute significantly to our topline in the coming years. Around Rs 2,000 crore investment will go into defence manufacturing, including acquisitions and augmentation of power plants.”

He continued, “We have capabilities in both the primary elements – connectivity and round-the-clock power required for data centres. We can also execute all the related aspects and hand over to operators. We are in discussions with hyper-scalers to set up data centres for them.” In February this year, the company partnered Bryanston Renewables, FZCO Dubai, UAE for the development of green data centres in India and select international markets.

Of the planned 25 Gw renewable capacity by 2030, around 16 Gw will come from solar and 9 Gw from battery energy storage (BESS). Again, of 16 Gw solar, around 2 Gw will be deployed for the company’s own storage and around 6.5 GWh is estimated for BESS EPC.

VANADIUM CELLS

The group has commissioned renewable energy projects of 1.3 Gw capacity and currently has around 7.4 Gw capacity under execution. On vanadium flow batteries, which are an alternative to lithium-ion batteries, Mr Rao said, “We are work-ing with industry players like Bharat Heavy Electrical (BHEL) and NLC India on vanadium flow batteries and have participated in NTPC tenders. Further, we are also collaborating with scientists and experts in this space.”

The company got involved in telecom infrastructure in 2012, prior to venturing into renewable energy. It also has a presence in energy conservative products like green construction products, LED lights, solar street lights and brushless DC (BLDC) motors, in addition to manufacturing of transmission towers. Nearly 75% of its revenue is contributed by the solar business, 15% from telecom and the balance 10% from products manufacturing.

The company came out with its IPO in August 2023 at a fixed price of Rs 75 with a Rs 10 face value and got listed on the BSE-SME platform, where it is still being traded regularly. In August 2024, after a year of listing, the company approved a 1:5 stock split, reducing the face value from Rs 10 to Rs 2. The management has recently confirmed their desire to switch over to the BSE main board, going forward. After the IPO, the company has raised funds twice. In December 2024, it raised Rs 185 crore by issuing 31,25,448 equity shares @ Rs 591.90 (FV Rs 2) each, and in the second round, it raised Rs 55 crore through a preferential issue in August 2025 by issuing 15.66 lakh shares @ Rs 351.20 per share to non-promoters. Currently, as per March 2026 data, the promoter group holds a 61.57% stake in the equity capital of Rs 22.33 crore and the remaining 38.43% is spread among 16,157 public shareholders.

HUGE GROWTH

On a consolidated basis, during the last five financial years, the company has achieved robust growth in its all-round performance. Revenue from operations grew from Rs 287 crore in FY21 to Rs 2,843 crore in FY26. During the same period, the EBITDA margin also went up sharply from Rs16.24 crore to Rs 326.61 crore and from 5.7% to 11.5% respectively. Net profit and the NPM also witnessed multi-fold growth from Rs 9.21 crore and 3.2% in FY21 to Rs 211.08 crore and 7.4% respectively in FY26. As such, during the last five financial years, revenue, EBITDA and net profit have witnessed a CAGR of 71%, 101% and 114% respectively.

As of year-end (March 2026), the total debt stands at Rs 275.16 crore — comprising Rs 15.69 crore long-term and Rs 259.47 crore short-term — towards working capital. However considering the bank balance of Rs 261.53 crore, it largely enjoys a net debt-free status. The order book of Rs 7,147 crore as of year-end and recent additions of six big prestigious orders worth Rs 4,314 crore have not only strengthened the company’s position but have also provided excellent revenue visibility for at least three financial years in a row uptill FY29.

Currently, the stock is trading at Rs 322 with a yearly high-low of Rs 510/215, translating into a PE of 17.86, based on FY26 earnings. All three of the company’s verticals — EPC, services and products — are performing excellently and are poised to expand exponentially, if everything goes as planned. Moreover, the business outlook for the existing verticals, executing capabilities, enhanced capacities, timely diversification in BESS and data centres, etc., points to a promising future for the company. Of course, timely execution with an improved EBITDA margin holds the key to the stock’s success going forward.

The current market capitalisation of Rs 3,600 crore, a fresh investment announcement of Rs 10,000 crore supported by a strong order book of Rs 11,461 crore look impressive and attract investment attention in the stock. However, amidst the present geopolitical scenario and market volatility with poor clarity on trends, we would suggest that potential investors enter at the current level, keeping room to add at declines at appropriate opportunities ahead. Investments with a 2- year horizon could reap a decent appreciation.