Shares of Oswal Pumps surged nearly 6% to Rs 422.85 during Monday's trading session after the company announced a major win under the Government of India's PM Surya Ghar – Muft Bijli Yojana. The company has secured 63 MW of grid-connected rooftop solar projects across Bihar, unlocking a cumulative revenue opportunity of more than Rs 500 crore.
According to the company's exchange filing, the projects carry an installation order value of approximately Rs 247 crore, while an additional long-term revenue potential of around Rs 257 crore is expected over 10 years through energy supply under the RESCO (Renewable Energy Service Company) model.
The landmark orders have been awarded by North Bihar Power Distribution Company Limited (NBPDCL) and South Bihar Power Distribution Company Limited (SBPDCL). The projects will cover 57,492 residential consumer installations across the Motihari, Saharsa, and Ara circles in Bihar.
This marks a significant strategic milestone for Oswal Pumps as it expands beyond its traditionally strong PM Kusum portfolio and strengthens its footprint in the fast-growing distributed rooftop solar segment. The move is expected to diversify the company's revenue streams and improve long-term earnings visibility through annuity-like income from energy supply contracts.
Under the PM Surya Ghar programme, beneficiary households are expected to receive around 15,000 units of solar power during the contract period, reducing dependence on conventional grid electricity while generating substantial savings on power bills.
The projects will be executed under a CAPEX-plus-RESCO model, encompassing design, engineering, procurement, installation, commissioning, financing, and operations and maintenance for a period of 10 years. All installations are targeted to be commissioned within nine months of PPA execution.
Commenting on the development, Vivek Gupta, Chairman and Managing Director of Oswal Pumps, said the order win represents a pivotal step in the company's solar expansion strategy and reflects its growing capabilities in delivering large-scale distributed solar projects. He added that the company remains committed to supporting India's transition toward clean and decentralised energy solutions.
Stock performance and technical outlook
Oswal Pumps has delivered impressive returns to investors, with the stock rallying nearly 30% over the past three months. The company currently commands a market capitalisation of around Rs 4,538 crore, while its 52-week high stands at Rs 888.
From a technical perspective, the stock continues to exhibit positive momentum. Its 14-day Relative Strength Index (RSI) is at 55, indicating a neutral-to-bullish trend, with no signs of overbought conditions. The stock is trading above six of its eight key simple moving averages (SMAs), signalling underlying strength, although it remains below its 150-day and 200-day SMAs.
