Premier Energies Ltd Company Profile

With 29 years in the solar industry, the company has become India's second largest integrated solar cell and module manufacturer, boasting an annual installed capacity of 2 GW for solar cells and 3.36 GW for solar modules as of March 31, 2024. The company operates five manufacturing facilities across Hyderabad, Telangana, all situated on owned land. These facilities include cutting-edge solar cell and module lines, with planned expansions to further increase their production capabilities. Notably, Unit II is India’s first LEED gold rated solar manufacturing facility. The company has also pioneered in producing India’s first bifacial monocrystalline PERC solar cell and leads in exporting solar cells to the U.S. market. Their diversified operations encompass manufacturing solar PV cells and modules, executing EPC projects, and offering O&M services, with a strong focus on leveraging India’s growing solar market.

Premier Energies Limited Assets Overview

Premier Energies Limited’s asset portfolio shows robust growth across recent years. As of December 31, 2023, the total assets stand at ₹29,387.32 crore, a notable increase from ₹21,106.88 crore as of March 31, 2023. This rise is primarily driven by significant expansions in both non-current and current assets. Non-current assets have surged to ₹13,698.62 crore, up from ₹10,549.47 crore, with substantial investments in property, plant, and equipment. Current assets have also seen a substantial increase, reaching ₹15,688.70 crore from ₹10,557.41 crore. This growth reflects a strong inventory base and enhanced liquidity, positioning the company favorably for future developments and opportunities.

Premier Energies Limited Equity and Liabilities Overview

Premier Energies Limited’s financial structure reflects robust growth and increasing stability. As of December 31, 2023, the total equity stands at ₹5,535.10 crore, a rise from ₹4,242.49 crore on March 31, 2023. This growth includes equity attributable to the owners of the company, which increased to ₹5,404.76 crore from ₹4,112.15 crore.

The company’s total liabilities have also grown, reaching ₹23,852.22 crore from ₹16,864.39 crore, driven by significant increases in both non-current and current liabilities. Non-current liabilities rose to ₹9,823.21 crore, while current liabilities surged to ₹14,029.01 crore, reflecting the company's expanded operations and financial obligations.

Premier Energies Limited Income Overview

Premier Energies Limited has demonstrated significant growth in its income over recent periods. For the period ending December 31, 2023, the total income reached ₹20,327.62 crore, a notable increase from ₹14,632.12 crore for the year ending March 31, 2023. This growth is driven primarily by a substantial rise in revenue from operations, which soared to ₹20,172.06 crore from ₹14,285.34 crore. Although other income decreased slightly to ₹155.56 crore from ₹346.78 crore, the overall income growth underscores the company’s expanding business and operational success.

Premier Energies Limited Expenses Overview

Premier Energies Limited’s expense profile highlights a period of increased operational scale and cost management. For the period ending December 31, 2023, total expenses amounted to ₹18,589.44 crore, up from ₹14,721.91 crore for the year ending March 31, 2023. Key expense categories include a substantial rise in the cost of materials consumed, which reached ₹15,660.27 crore from ₹11,105.19 crore. Despite a decrease in purchases of stock-in-trade and other costs, increases in finance costs and depreciation reflect the growing scale of the company's operations. The overall expense growth aligns with the company's significant revenue growth, indicating robust operational expansion.

Premier Energies Limited Profit and Tax Overview

Premier Energies Limited’s financial performance shows a strong recovery in profitability for the period ending December 31, 2023. The restated profit before tax and share of profit from associates reached ₹1,738.18 crore, a significant turnaround from a loss of ₹89.79 crore in the previous year. The total restated profit before tax, including the share of profit from associates, stood at ₹1,748.05 crore.

The total tax expense for this period was ₹474.03 crore, comprising current tax of ₹173.43 crore and a deferred tax charge of ₹300.60 crore. Despite a higher tax burden, the restated profit for the period was ₹1,274.02 crore, a notable improvement from a loss of ₹133.36 crore in the prior year. This performance underscores a robust recovery and growth trajectory for Premier Energies Limited.

Premier Energies Limited Cash Flow Overview

For the period ended December 31, 2023, Premier Energies Limited demonstrated a notable improvement in its cash flow from operating activities, despite a net outflow of ₹394.58 crore. This contrasts sharply with the previous year, which saw a net inflow of ₹366.85 crore, and a substantial increase from the ₹49.64 crore inflow in the year ending March 31, 2022. However, the company's investing activities resulted in a significant net cash outflow of ₹4,053.16 crore due to substantial investments and asset purchases. On the positive side, financing activities generated a robust inflow of ₹5,965.81 crore, largely from long-term borrowings and equity issuances. Consequently, the company's cash and cash equivalents at the end of the period rose substantially to ₹2,163.77 crore, up from ₹645.70 crore at the end of March 2023 and ₹800.99 crore in March 2022. This indicates a strong liquidity position despite heavy investment outflows.

AI Insights: Analyzing Company Growth and Financial Performance

AI analysis highlights the company’s strategic growth and financial stability. With expanded capacities to 2 GW for solar cells and 3.36 GW for solar modules, it stands as a key player in the solar industry. Financially, robust cash flow from financing activities and increased cash reserves showcase its strong financial health. AI models forecast continued growth driven by advanced technology investments and expanding market opportunities. The company’s strategic moves, including new solar cell technologies and high-value EPC projects, are set to reinforce its market position and drive long-term success.