Suratwwala Business Group Locks in 20% UC After Securing ₹69 Cr Solar Project in Kolhapur
Suratwwala Business Group, the Pune real estate firm that's been quietly building out a second business line in solar, just picked up a contract worth watching. A regional sugar cooperative has handed its subsidiary an EPC order for a mid-sized solar installation in Sangli district, complete with a multi-year maintenance commitment attached. Coming while the company's flagship commercial project in Hinjewadi is still under construction, the order raises a fair question how much of Suratwwala's future growth story is now riding on solar rather than concrete.
Shares of Suratwaala Business Group Ltd are trading at Rs. 25.78, up 19.96 percent on Thursday. The stock touched the intraday high of Rs. 25.78 after opening at Rs. 23.00 before slipping to a low of Rs. 22.99. The company commands a market capitalization of Rs. 447.07 crore.
Rs. 69-Crore Solar Project
The Suratwwala Business Group now added yet another solar contract to its growing EPC business. On September 16 the company informed the stock exchanges that its subsidiary, Suratwwala Natural Energy Resource Private Limited, has received a Letter of Intent from Shree Tatyasaheb Kore Warana SSK Ltd, a sugar cooperative located in the Sangli district, for the construction of a 20 MW AC (28.1 MW DC) solar plant at Kolhapur.
The scope does not stop at construction; it also includes commissioning and a multi-year operations and maintenance agreement, the O&M part of which is worth Rs 50 lakh per year and guarantees an output of just over 42 million units each year. The total value of the contract, before GST, is Rs 69 crore, and according to the filing, the work is expected to be completed within four months of the schedule being finalised.
Massive Revenue Boost
When compared to Suratwwala's standalone figures, this order transitions from routine volume to a material driver of growth . FY24 revenue from operations came in at Rs 720 million (72 Crore) so a single Rs 69 crore contract is worth nearly as much as the whole company billed last year, even before you count the recurring O&M fee. That's a fairly unusual ratio for a company whose core identity, at least until recently, has been Pune real estate. It also says something about who's buying solar right now: cooperative sugar mills run energy-hungry operations, and their willingness to sign EPC deals suggests the buyer base for solar has widened past the usual corporate-rooftop and industrial-park crowd.
Another point worth mentioning is that the filing fails to cause any difficulties among related parties; Suratwwala made it clear that neither any promoter nor any entity in a promoter group has an interest in the awarding company, and that the transaction is completely outside the scope of the RPT rules. Although this may be a minor point, it is important for those carrying out governance due diligence.
The issue that remains unresolved is the timing: for an installation of about 28 MW DC, having a four-month period during which to carry out the work is ambitious according to industry standards, and since Ind AS deals with revenue recognition on EPC contracts, the actual booking of the revenue might be spread out over different quarters rather than all happening at once. Investors keeping an eye on the solar segment will likely want to look at the next couple of quarters' execution before considering this as proof that the segment has scaled.
Financial Performance
Looking at the quarterly results of Suratwwala Business Group Limited, the company’s consolidated revenue from operations increased by 164.07 percent YOY, from Rs. 15.95 crore in Q1 FY26 to Rs. 42.12 crore in Q1 FY27, and declined by 28.57 percent QoQ from Rs. 58.97 crore in Q4 FY26. The company generated 55 percent of its revenue from Solar Unit and 45 percent from Real Estate in Q1 FY27.
In Q1 FY27, the company’s consolidated net profit increased by 75.37 percent YOY, reaching Rs. 9.33 crore compared to Rs. 5.32 crore during the same period last year. As compared to Q4 FY26, the net profit has decreased by 29.7 percent, from Rs. 13.27 crore. The basic earnings per share increased by 70.96 percent and stood at Rs. 0.53 as against Rs. 0.31 recorded in the same quarter in the previous year, FY2026.
Maharashtra's Solar Shift
From a wider view of the market, this agreement is in keeping with a well-known trend in Maharashtra's commercial solar sector. In order to cope with increasing electricity costs, large agro-processing plants and sugar mills are systematically shifting to captive solar installations and entering into EPC contracts. The move is not really being prompted by national policy announcements but rather by simple economic considerations at the level of the individual plant, even though it does match the general effort by the state electricity boards to promote the addition of renewable capacity.
For a company such as Suratwwala, this kind of order flow indicates a market that is not so much focused on pursuing major utility-scale tenders as instead on securing a steady stream of mid-sized contracts from an industrial sector which is only now beginning to switch to sourcing its energy in this way; and if this trend continues, it will be a positive sign for smaller EPC companies who are able to act quickly on execution.
Company Overview
Suratwwala Business Group Limited, a real estate development company based in Pune, was established in 2008 and is most famous for its commercial projects such as Mark Plazzo in Hinjewadi as well as its previous residential developments in Baner; the company possesses a land bank of more than 180 acres, had its shares listed on the main board of both the BSE and the NSE in 2023, and has since launched a solar EPC and PPA business through a separate subsidiary.