Fujiyama Power Systems makes and sells integrated solar power systems for Indian households, manufacturing solar panels, inverters and batteries under one roof and selling them through a 10,100-plus channel partner network, with over 90% of revenue from B2C customers. In FY26 it earned Rs 26,545 million, with roughly 40% from panels, 40% from power electronics and 20% from batteries, and expanded EBITDA margin to 18.5% from 16.1% in FY25. Q1 FY27 revenue jumped 125.3% year on year to Rs 13,457 million and EBITDA margin rose to 18.9%, showing the economics of scale and backward integration. The company holds about 10% of the on-grid rooftop solar inverter and panel market, a niche with a few large integrated players and many smaller assemblers; its margin level is well above typical manufacturing averages, pointing to a differentiated position.
The durability of that margin rests on assets that take time and money to replicate. The 15-25 year distribution relationships, 8,900 plus channel partners as of May 2026 (now over 10,100) and 600-plus field service engineers create switching costs for dealers who need fast delivery and aftersales support. The company holds the highest SKU count in rooftop solar power conditioning and ships orders within 24 hours, reducing dealer inventory needs. Backward integration adds another layer: in-house Mono PERC DCR cell production at Dadri, now operating above 80% utilization, gives it a cost and regulatory edge as the June 2026 mandate requiring DCR cells for subsidy projects takes hold. Raising stakes in Jio Energy and Jio Cables to 50% brings aluminum frames, PV ribbon, busbars, junction boxes and solar cables in-house, turning a commodity panel assembly business into a vertically integrated one. No long-term contracts exist, but the service network and exclusive product mix such as Sigma hybrid PCU create persistent repurchase behavior.
The next 18-24 months are defined by capacity coming online and utilization climbing. The 2,000 MW solar panel line at Ratlam is commissioned, the 2,000 MW power electronics line was commissioned in August 2026, and the 2,000 MW lithium-ion battery line is scheduled for Q2 FY27; a 1,200 MW TOPCon solar cell line with Rs 350 crore capex is being set up at the same site. Management expects Ratlam to run at about 50% utilization in FY27 and reach roughly 80% by Q4 FY28, with peak revenue potential around Rs 5,000 crore when fully utilized. On that path, FY27 revenue guidance was raised from 50% to 70% growth, implying about Rs 45,127 million, and channel partners are targeted to exceed 15,000 by FY28. The company is also adding Odisha, Uttarakhand and southern states, moving from 8,900 to 10,100-plus partners already. By early 2028 the business should have 3.5 GW of panel capacity, 4 GW of power electronics and 2 GW of battery capacity, with its own TOPCon cells feeding a large part of panel production.
Management's track record supports the timeline. In December 2025 it said the 1 GW Dadri cell line would be operational within a month and Ratlam would commission by March 2026; the February 2026 call confirmed Dadri at around 40% utilization and on track to 80%, and the May 2026 call confirmed the Ratlam panel line and gave specific Q1 and Q2 FY27 commissioning dates for inverters and batteries. The August 2026 call showed those promises kept: panels and power electronics are commissioned, the battery line remains on schedule, and revenue growth guidance was upgraded from 50% to 70%. Financial delivery matched: H1 FY26 revenue grew 61.5% year on year to Rs 11,650 million with EBITDA margin of 17.9%, FY26 EBITDA margin came in at 18.5%, and Q1 FY27 normalized PAT margin was 12.3%. The company expects no equity dilution for FY27 capex, funding Rs 200 crore from debt, Rs 100 crore from IPO proceeds and Rs 200 crore from internal accruals; net debt to equity improved to 0.25 in FY26 from 0.85 in FY25. The Bawal fire caused a Rs 1,436 million exceptional loss, but insurance settlement is expected by end FY27 and alternate manufacturing arrangements kept the margin impact under 0.5%.
Earnings visibility is strong if the ramp holds. With FY27 revenue growth guided at 70% and PAT margin guided at 11-13%, operating profit could scale well past Rs 5,000 million before the full Ratlam contribution; Q1 FY27 already shows 125% growth and 12.3% normalized PAT margin. The decisive variable is utilization: new plants are running at 40-50% on one shift, and they need to reach 80% by Q4 FY28 to deliver the Rs 5,000 crore peak revenue and the expected margin uplift from in-house TOPCon cells. The kill shot is a delay in the subsidy policy or a slower battery line ramp, because the model depends on PM Surya Ghar installations and on new capacity absorbing fixed costs. The tension in the data is that revenue guidance has been raised while the Bawal fire and BIS queries introduce one-off costs; the resolution is structural, not operational, because the underlying gross margins improved with backward integration and the fire impact is isolated and insured. Watch whether monthly rooftop installation rates, channel partner additions, and Ratlam utilization stay on the disclosed trajectory; any sustained miss on those points would falsify the thesis.
companyname: Fujiyama Power Systems Limited ticker: UTLSOLAR sector: Solar energy, power electronics, rooftop solar solutions Fujiyama Power Systems (ticker UTLSOLAR) is a power electronics and energy solutions company that designs, manufactures and sells complete rooftop solar systems for Indian households and small businesses. The company is roughly 30 years old, built around an inverter business, and began adding solar charge controllers to its products from 2008. Its products - solar panels...
Read the full report →capex, margin expansion, regulatory approval, geographic expansion
FY27 revenue growth guided at 50% driven by capacity utilization and new facilities
Guidance upgradedconsistent
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