Shares of ACME Solar Holdings Ltd. surged 10% on Thursday, continuing their rally after a 10% jump the previous day, marking a two-day gain of 20%. The surge comes after the newly listed company reported a massive 152% year-on-year increase in net profit for the December quarter, prompting strong investor interest.
In the third quarter of FY25, ACME Solar's net profit soared to Rs 112 crore, up from Rs 44.4 crore in the same period last year. This growth was driven by a modest 5.2% increase in revenue, which reached Rs 349 crore, and a 10.8% rise in operating profit, which stood at Rs 307 crore. The company's Ebitda margin also improved significantly, rising to 88% from 83.6%.
On a sequential basis, net profit jumped by over 600%. Additionally, ACME Solar's net debt to net worth ratio stood at 1.6 times as of Q3 FY25, primarily due to debt repayments made using proceeds from its initial public offering.
ACME Solar is a leading solar energy company with a mission to advance clean and energy in India for net zero emissions.
The stock rose on Wednesday after hitting Rs 167.75, its lowest level since its listing on Nov. 13, 2024.
ACME Solar Share Price
Shares of ACME Solar rose as much as 10% to Rs 210 apiece and were trading at the same level as of 10:28 a.m. This compares to a 0.58% advance in the NSE Nifty 50.
The stock has fallen 16.91% in the last 12 months. Total traded volume so far in the day stood at 5.6 times its 30-day average. The relative strength index was at 46.
The one analyst tracking the company maintains a 'buy' rating, according to Bloomberg data. The average 12-month consensus price target implies an upside of 52.1%.
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