Trom Industries Limited (formerly **Trom Solar**) is a premier Engineering, Procurement, and Construction (**EPC**) firm specializing in comprehensive solar energy solutions. Established in **2011** and headquartered in **Gujarat**, the company has evolved from a regional solar integrator into a diversified renewable energy player. Trom provides end-to-end project management—including design, supply, installation, and commissioning—across residential, industrial, and government sectors. --- ### **Core Business Verticals & Service Offerings** Trom Industries operates a multi-faceted business model designed to capture value across the solar lifecycle: * **Solar Rooftop Systems:** Tailored installations for residential homes and large-scale industrial/commercial complexes. * **Ground-Mounted Solar Power Plants:** Development of utility-scale arrays on open land, including grid-interactive systems. * **Solar Street Lighting:** Supply and installation of smart LED street lighting and high-mast systems for public and municipal areas. * **Specialized Solar Solutions:** Off-grid systems, solar water purifiers, and solar pumps for agricultural and rural use. * **Trading & Distribution:** Extensive trading of high-efficiency solar panels, inverters, and functional materials. * **Operation & Maintenance (O&M):** Long-term maintenance services to ensure peak performance, including **10-year** scopes for agencies like **GEDA**. | Operational Metric | Achievement / Status | | :--- | :--- | | **Total Installed Modules** | **100+ MW** of high-efficiency modules | | **EPC Execution Experience** | **70 MW** | | **O&M Portfolio** | **45 MW** | | **Customer Base** | **30,000+** satisfied customers | | **Strategic Partnership** | Authorized Channel Partner for **Reliance Industries Limited** | --- ### **Strategic Pivot: The RESCO Model and Asset Ownership** The company is currently undergoing a strategic transformation to move beyond pure-play EPC contracting toward a model that ensures **revenue stability** and **predictable cash flows**: * **RESCO Model Entry (FY 2025-26):** Trom is pivoting toward the **Renewable Energy Service Company (RESCO)** model. By owning the assets and selling power to corporate clients through long-term contracts, the company protects itself against the volatility of raw material prices inherent in fixed-price EPC contracts. * **Captive Power Generation:** The company is investing in its own **4.8 MW (DC) Solar Power Plant**. This independent asset will serve as a sustainable, recurring revenue stream. * **Geographic Expansion:** While maintaining a dominant position in **Gujarat** and **Maharashtra** (supported by a warehouse in **Gandhinagar**), Trom is aggressively expanding into **Rajasthan** and **Bihar** through utility-scale and decentralized government projects. --- ### **Project Portfolio and Recent Order Wins** Trom serves a marquee client base including **RBI, ONGC, GAIL, Honda, Toyota, Vedanta, Amul,** and **ArcelorMittal Nippon Steel India**. Recent high-value contracts include: | Segment | Client / Project | Capacity / Scope | Value | | :--- | :--- | :--- | :--- | | **Utility-Scale EPC** | Vimal Electronics (Rajasthan) | **6 MW AC** | **₹25.79 Crore** | | **Government Solar** | Bihar Renewable Energy (BREDA) | **12,345** Street Lights | **₹37.65 Crore** | | **Institutional EPC** | Gujarat Metro Rail (GMRC) | **5 MW AC** (15 Stations) | Part of **₹33.10 Cr** bundle | | **Industrial EPC** | Corona Remedies Pvt. Ltd. | **4.25 MW DC** | Part of **₹33.10 Cr** bundle | | **Industrial EPC** | Radhe Industries | **700 KW** | New Win | | **Education Sector** | Bhuj District Education Office | **17 Govt. Schools** | **₹1.41 Crore** | | **Municipal Infra** | Gandhinagar Municipal Corp | Streetlight Empanelment | **₹2.86 Crore** | --- ### **Financial Performance and Capital Structure** Trom Industries successfully listed on the **NSE Emerge** platform in **August 2024**, raising **₹31.37 Crore** to fund working capital and capital expenditures. **Annual Growth Trends:** The company saw a massive **71.7%** revenue jump in **FY25**, reaching **₹93.91 Crore**. While **FY24** net profits were higher due to a specific project mix, the company is currently prioritizing scale and institutional empanelment. | Metric (₹ Cr) | FY25 | FY24 | FY23 | | :--- | :---: | :---: | :---: | | **Total Revenue** | **93.91** | **54.55** | **24.14** | | **Net Profit (PAT)** | **4.61** | **5.69** | **0.29** | **Half-Yearly Performance (H1 FY26 vs H1 FY25):** Recent data indicates a successful shift toward higher-margin projects. Despite a slight revenue moderation, profitability margins have expanded significantly. * **EBITDA Margin:** Increased from **12.96%** to **17.13%** (**+416 Bps**). * **Net Profit Margin:** Increased from **8.93%** to **10.77%** (**+184 Bps**). * **H1 FY26 Net Profit:** **₹4.39 Crore** (up **6.14%** YoY). --- ### **IPO Proceeds Utilization** The **₹28.87 Crore** in net proceeds from the **July 2024** IPO (allotted at **₹115 per share**) is being deployed as follows: * **Working Capital:** **₹16.52 Crore** to support larger project cycles. * **Capital Expenditure:** **₹4.50 Crore** for solar plant development. * **General Corporate Purposes:** **₹7.84 Crore**. --- ### **Risk Profile and Mitigation Challenges** Investors should note the following headwinds that impacted the **FY 2024-25** performance: * **Fixed-Price Contract Vulnerability:** An increase in **import duties** on **solar glass** compressed margins in **FY25**, as the company had to honor older contracts at pre-duty rates. * **Supply Chain & Commodity Volatility:** Fluctuations in **steel, copper, and rare earth** prices directly impact EPC margins. * **Regulatory Risks:** Dependence on government subsidies and evolving safety/environmental compliance can alter project economics. * **Competitive Pressure:** Intense pricing wars from international players (China/Europe) and domestic EPC firms. * **Financing Complexity:** Securing large-scale project financing remains a hurdle for rapid scaling in the utility segment. --- ### **Future Outlook and Market Drivers** Trom Industries is positioned to benefit from India’s aggressive renewable energy targets: * **National Alignment:** Capitalizing on India’s goal of **500 GW non-fossil fuel capacity by 2030**. * **Demand Surge:** Leveraging the projected **6.30% annual growth** in India's electricity demand through 2027. * **Innovation Roadmap:** The company is exploring **Smart Grid Development**, **IoT integration**, and **Energy Storage Systems (ESS)** to modernize its service portfolio and maintain a technological edge.