INA Solar’s Manish Gupta says a 1.6–1.8 GW order book provides visibility for FY27, with Rs. 2,500 crore in capex planned for solar cell manufacturing and KUSUM projects

INA Solar’s Manish Gupta says a 1.6–1.8 GW order book provides visibility for FY27, with Rs. 2,500 crore in capex planned for solar cell manufacturing and KUSUM projects

The Electrical Post:

In an exclusive interaction during the Q4 FY26 conference call, Mr. Manish Gupta, Chairman & Whole Time Director of Insolation Energy Limited, shared insights into the company's order pipeline, margin outlook, cell manufacturing strategy and ambitious capital expenditure plans, highlighting INA Solar's preparations for its next phase of growth through backward integration and capacity expansion.

INA Solar stands at the forefront of India's solar revolution, delivering cutting-edge TOPCon, Bifacial & Monofacial solar panels backed by innovation and uncompromising quality. Its state-of-the-art manufacturing facilities leverage AI and robotics to ensure precision, efficiency, and reliability in every panel it produce.

Speaking on demand visibility, Gupta revealed that the company currently has an order book of approximately 1.6 GW to 1.8 GW for FY27, providing strong execution visibility for the ongoing financial year.

He further indicated that additional business opportunities are emerging under the evolving ALMM Part 2 framework, with INA Solar already having signed Memorandums of Understanding with several companies while discussions with more customers are underway.

According to Gupta, fresh agreements for module sales utilizing ALMM-compliant cells as well as DCR cell supplies are expected to materialize over the next one to two months.

Margin Outlook Remains Stable Despite Raw Material Inflation

Addressing concerns over rising raw material costs witnessed in recent months, Gupta acknowledged that some pressure on margins could emerge in the near term.

However, he emphasized that INA Solar intends to adopt a balanced approach by absorbing a portion of the cost increases internally while passing on some of the impact to customers.

"Some margin pressure may be there, but we believe that on a delta basis, some margin we will absorb and some margin we will pass through to customers," he explained.

He noted that the company's response would remain dependent on prevailing market conditions, adding that clarity regarding the overall pricing environment is likely to emerge over the coming months.

Gupta highlighted that the company continues to supply material against its existing order book, while future orders may involve price adjustments wherever necessary.

He also emphasized INA Solar's proactive procurement strategy, noting that the company generally maintains two to three months of raw material inventory at its facilities to hedge against price volatility.

According to Gupta, raw material pricing adjustments are largely linked to dollar fluctuations, and the company continues to work with customers to incorporate escalation mechanisms where feasible.

TOPCon Cell Project to Drive Next Margin Expansion

One of the most significant growth catalysts for INA Solar remains its 4.5 GW TOPCon solar cell manufacturing facility, which management expects to commence operations during the fourth quarter of FY27.

Gupta stated that the operationalization of the cell manufacturing plant is expected to deliver a meaningful improvement in profitability.

The company currently maintains an EBITDA margin of approximately 14%, but management believes that backward integration through cell production could significantly enhance earnings.

"Once our cell capacity becomes operational, EBITDA margins can improve from 14% to around 17–18%," Gupta said.

The ramp-up, however, will be phased rather than immediate.

Management expects commissioning activities to begin in Q4 FY27, followed by a gradual increase in production levels over the subsequent three to four months.

Gupta expressed confidence that the entire 4.5 GW facility would achieve full ramp-up by Q1 FY28, enabling the company to unlock the full benefits of vertical integration.

Open Market Cell Sales Also Under Consideration

While a substantial portion of cell production is expected to support INA Solar's captive module manufacturing operations, Gupta indicated that the company may also participate actively in the external cell market.

He believes that opportunities in the non-DCR segment are likely to remain attractive for another 12–18 months, given the sizeable pipeline of projects already tendered under previous regulations.

According to him, more than 45 GW of projects across India are currently linked to non-DCR cells.

He pointed out that several KUSUM projects and tenders issued before October 2025 continue to permit non-DCR cell deployment, creating sustained demand for cell manufacturers.

"As long as there is demand, if some capacity remains available, we will definitely sell in the open market," Gupta said, adding that India's solar ecosystem is evolving into a sizeable standalone market for solar cell suppliers.

Rs. 2,500 Crore Capex Planned for FY27

On the investment front, management outlined an aggressive expansion roadmap for FY27.

Mr. Ravi Dusad informed investors that Unit 3 at the company's Sawarda facility has already been completed following an investment of approximately Rs. 320 crore, with all three production lines now fully operational.

For the solar cell project, INA Solar had drawn Rs. 340 crore from IREDA as of March 31, 2026.

Looking ahead, the company plans to undertake a total capital expenditure of around ₹2,500 crore during FY27.

This includes approximately Rs. 1,500 crore earmarked for the 4.5 GW solar cell manufacturing facility, while another Rs. 1,000 crore will be invested in KUSUM-linked Independent Power Producer projects.

Management is targeting the commissioning of around 300 MW of KUSUM projects as part of its broader IPP strategy.

Integrated Model Expected to Strengthen Competitive Position

Gupta's commentary indicates that INA Solar is entering a critical phase in its evolution from a module manufacturer to a more integrated renewable energy platform.

The combination of a sizable order book, backward integration into cell manufacturing, prudent inventory management, flexible pricing mechanisms and a substantial capex pipeline positions the company to capitalize on India's accelerating solar adoption.

With the commencement of its TOPCon cell facility expected in FY27 and full ramp-up targeted by early FY28, INA Solar is aiming to enhance profitability, deepen supply chain control and strengthen its competitive standing in an increasingly integrated domestic solar manufacturing landscape.
 

Published at : Sep 27, 2026 07:20 AM (IST)

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