HUIL to install ₹11.25 cr solar plant at Mandideep factory
The 5 MW rooftop plant, funded from internal accruals, is expected to generate 69.35 lakh units annually, cutting power costs at the Madhya Pradesh facility.
— 2 earlier stories on Hindusthan Insulators & Industries Ltd. →What's new
- Board approved a 5 MW rooftop solar plant at Mandideep, MP, costing ₹11.25 cr.
- Entire cost funded via internal accruals.
- Expected generation: 69.35 lakh units/year, leading to savings in energy expenses.
Why this matters
At ₹11.25 cr, the capex is just 1.23% of HUIL's ₹909 cr market cap. For a company that reported a ₹23 cr net loss in June 2025 quarter, the savings will help but won't turn the financials around quickly.
What we're watching
- Timeline for commissioning and actual savings.
- Whether the company pursues more such projects.
- Impact on quarterly energy cost line item.
The full read
HUIL is spending ₹11.25 crore on a rooftop solar plant at its Mandideep factory. The 5 MW facility, funded entirely from internal accruals, is expected to generate 69.35 lakh units annually, cutting power costs for a company that reported a ₹23 crore net loss in the latest quarter. But the outlay is just 1.23% of HUIL's ₹909 crore market cap — too small to move the earnings needle. The move locks in lower energy costs at a loss-making plant, but it won't change the fundamental story anytime soon.
Questions answered
- What is the scale of the solar plant?
- The plant is 5 MW DC / 3.9 MW AC rooftop solar at Mandideep, costing ₹11.25 crore.
- How will it be funded?
- Entirely from internal accruals, no debt.
- What are the expected benefits?
- It is expected to generate 69.35 lakh units annually, leading to savings in energy expenses.
- Is this significant for the company's finances?
- The capex is 1.23% of market cap, so not transformative. However, any reduction in energy expenses helps given the recent net loss of ₹23 crore.
- Why is the company doing this?
- It aligns with sustainability goals and operational efficiency initiatives.
Hindusthan Insulators & Industries Ltd.
Latest quarter · Jun 2025
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All notes on HUIL →- 30 Jun 2026 · 1:15 PM IST HUIL to install ₹11.25 cr solar plant at Mandideep factory
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