GK Energy Limited: Powering Growth with Solar-Powered Revolution

Pune-based GK Energy Limited, a leading EPC provider of solar-powered agricultural pump systems, reports significant growth in revenue and profits. The company filed an addendum to DRHP with SEBI, preparing for an IPO to raise ₹500 crore. It boasts an impressive order book and strong financials.

In a significant stride toward renewable energy solutions, Pune-based GK Energy Limited has expanded its operations. This key player in engineering, procurement, and commissioning (EPC) services specializes in solar-powered agricultural water pump systems. On filing an addendum to its Draft Red Herring Prospectus (DRHP) with SEBI, the company gears up for an ambitious public offering.

Over the past two fiscal years, GK Energy has reported substantial financial growth. The revenue from operations saw a 3.8-fold increase, operating EBITDA multiplied by 11.6 times, and profit after tax jumped over 13 times. These figures underscore the company's ability to leverage an asset-light model, yielding high returns on equity and capital employed.

The IPO aims to generate ₹500 crore, with ₹422.46 crore earmarked for long-term working capital and general corporate purposes. As of late September 2024, GK Energy contributed significantly to India's PM-KUSUM Scheme, achieving impressive installation numbers. IIFL Capital Services Limited and HDFC Bank Limited serve as lead managers for this issue, indicating a promising step forward for GK Energy's growth trajectory.

(With inputs from agencies.)