ACME Solar Holdings, a key player in the renewable energy sector, recently disclosed a significant drop of over 77% in its consolidated net profit, plummeting to ₹122 crore for the March quarter. This sharp decline was primarily attributed to an exceptional gain recorded in the corresponding period of the previous year. In the first quarter of FY24 (January-March), the company reaped an exceptional gain of ₹696 crore from the sale of 369 MW of operational solar assets in Punjab, Uttarakhand, and Karnataka. As a result, the net profit for Q4 FY24 surged to ₹532.3 crore, bolstered by this one-time gain.
Financial Performance:
Despite the substantial decrease in net profit, ACME Solar Holdings managed to boost its total income to ₹539.2 crore in the fourth quarter, up from ₹318 crore in the same period last year. However, the company also witnessed a rise in its finance costs, climbing to ₹205.5 crore from ₹177.3 crore in the January-March period of FY24. Additionally, depreciation and amortisation expenses saw an increase to ₹102.2 crore from ₹61.2 crore in Q4 FY24.
Strategic Moves and Expansion:
In a strategic move, ACME’s wholly-owned subsidiary, ACME Sikar Solar Private Ltd, successfully launched Phase-II of a 112.5 MW solar project in Bikaner, Rajasthan. This development brings the commissioned capacity of ACME Sikar Solar Private Ltd to 165 MW out of the planned 300 MW, with the remaining capacity currently undergoing commissioning. Furthermore, the company disclosed the divestment of 369 MW of operational assets in Q4 FY24, resulting in a substantial exceptional gain of approximately ₹696 crore.
Company Outlook and Achievements:
With a net debt standing at ₹7,507 crore as of FY25, ACME Solar Holdings continues to solidify its position as a leading integrated renewable energy player. The company boasts a diversified portfolio of 6,970 MW across solar, wind, FDRE, and hybrid solutions. Notably, ACME ranks among the top 10 renewable energy Independent Power Producers in India, with an operational capacity of 2,705 MW and an under-construction capacity of 4,265 MW. The company’s focus on strategic expansion and sustainable growth signifies its commitment to driving the renewable energy agenda forward.
In a nutshell, ACME Solar Holdings’ recent financial performance reflects the dynamic nature of the renewable energy sector and the company’s strategic initiatives to navigate through challenges and capitalize on opportunities in the market. As the company continues to expand its operational capacity and explore new avenues for growth, its position as a key player in the renewable energy landscape is set to strengthen further in the coming years.
