Apollo Green Energy Limited Share Price

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Unlike most other companies in the renewable sector that have popped up recently with a pitch deck and taglines around sustainable energy, AGEL has had over three decades of experience in this industry, having been founded way back in 1994. Part of the Apollo Group, which has created businesses in areas such as healthcare and logistics among others, AGEL possesses an operational track record that no pure play startup can offer.

The clean energy space is its core competency involving both solar, wind and storage projects. However, what makes it stand apart from other companies offering similar services is that it does not limit itself to just project development. Rather, it is involved in the entire process starting from engineering design, procurement and finally reaching the stage of construction.

And, its clients make the point. From NHPC to Adani Green to IOCL, the list of clients goes on but the one thing they have in common is that it is hard to come by their business. Having won it and kept winning them over is an indicator of its ability to deliver results, a critical parameter for assessing the performance of companies.

Earnings contributions come mostly from the EPC portion of their operations. They have a trading section involving tyres and tubes, which may appear strange, considering the industry; however, it's an old legacy from when the Apollo Group was much more diversified and not focused on power. This division doesn't shine too brightly in the narrative; nonetheless, it does contribute, and it is a well-established one.

Apollo Power operates out of Gurgaon, with the registered office located in New Delhi. The Managing Director of Apollo Power is the one who founded it all back in the day, Raaja Kanwar, while Sanjay Gupta is the CEO of the company. Both individuals boast significant experience in energy and infrastructure, meaning they will not have to get acclimated to their position in the case of some large government tender.

The forecasted financials present decent grounds for optimistic expectations. The forecasts made for fiscal year 27 are quite impressive – revenues of ₹2,050 crore and net profit close to ₹162 crore. Such forecasts do not revolutionize the field; nevertheless, they represent a good way to move forward. When it comes to borrowing, the gearing ratio is forecast to remain below 0.76x until March 2025.