Can Solar Industries Maintain Its Explosive Growth Momentum in Defence and Mining Segments?
About Solar Industries India Ltd
Solar Industries India Ltd is a leading manufacturer of industrial explosives, detonators, and defence ammunition. With a presence in over 65 countries, it has become a key global supplier for mining and defence requirements. The company’s diversification into defence manufacturing has significantly boosted profitability and order visibility.
Q2 FY26 results reaffirm the company’s strong execution capabilities with a record defence revenue contribution and resilient performance in international markets.
Financial Highlights (Q2 FY26)
| Metric | Q2 FY25 | Q2 FY26 | Change |
|---|---|---|---|
| Revenue | ₹1,716 Cr | ₹2,082 Cr | +21.3% |
| EBITDA | ₹444 Cr | ₹552 Cr | +24.3% |
| EBITDA Margin | 25.9% | 26.5% | +0.6 pts |
| PAT | ₹286 Cr | ₹344 Cr | +20.3% |
Revenue ₹2,082 Cr — driven by strong defence orders and stable mining demand.
EBITDA ₹552 Cr — supported by higher value-add from defence ammunition exports.
PAT ₹344 Cr — shows sustained profit momentum despite seasonally weaker domestic mining volumes.
Traders tracking defence-linked indices can refer to Nifty Option Review for related setups.
Peer Comparison
| Company | Segment | EBITDA Margin |
|---|---|---|
| Solar Industries | Explosives & Defence | 26.5% |
| Premier Explosives | Explosives | 16.2% |
| HBL Power | Defence Components | 14.5% |
Solar Industries continues to outperform peers due to its integrated model, global expansion, and defence diversification.
Strengths & Weaknesses
Strengths
|
Weaknesses
|
Despite cost pressures, Solar Industries’ execution discipline and global reach keep its growth trajectory robust.
Opportunities & Threats
Opportunities
|
Threats
|
With strong visibility in both domestic and international orders, Solar Industries remains a top defence-sector performer for FY26–27.
Valuation & Investment View
- Short-term: Positive bias from robust order inflow and execution pace.
- Medium-term: Margin sustainability key as defence mix rises.
- Long-term: Positioned to benefit from Make-in-India and export-led defence growth.
Investors looking for defence-linked cues may refer to BankNifty Option Review for near-term sentiment updates.
Investor Takeaway
Indian-Share-Tips.com Nifty Expert Gulshan Khera, CFP®, notes that Solar Industries’ consistent growth in explosives and defence manufacturing showcases its execution strength and long-term sustainability. Explore more insights at Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
Related Queries on Defence and Explosives Stocks
- How Is Solar Industries Strengthening Its Defence Business?
- What Are the Growth Drivers for India’s Explosives Industry?
- Which Defence Stocks Show Consistent Export Momentum?
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions.
