Summary: Banganga Paper Industries adopted solar power in February 2025, resulting in significant cost savings, improved quarterly and annual financials, and a 200% stock price surge over one year.
Banganga Paper Industries Limited, formerly Inertia Steel Limited, made headlines by taking a decisive step toward renewable energy adoption.
The company, known for its manufacturing of high-quality kraft paper, had announced that its wholly owned subsidiary, Banganga Paper Mills Limited, signed a Power Purchase Agreement (PPA) with Livint Green Technologies Ltd. to secure solar power under a captive model.
Fast forward to today, and the impact of that February agreement is starting to unfold. Under the deal, Livint Green Technologies Ltd. took responsibility for developing, owning, and operating a 2.5 MW DC ground-mounted solar power plant at Karjat Village in Ahmednagar District. This facility now supplies clean energy directly to Banganga’s Nashik manufacturing unit, ensuring a stable, cost-effective power source.
Since April 1, the company has begun realising savings of ₹2.30 to ₹2.50 per unit compared to the grid rate of ₹10.85, with a further ₹1.50 per unit expected through government subsidy. A Wheeling and Banking Agreement also allows surplus solar power to be stored with the state discom for later use, enhancing energy efficiency and reliability.
The financial turnaround has also been evident. In the March 2025 quarter, Banganga Paper Mills reported a sharp jump in revenue from operations to ₹20.49 crore, compared to ₹0.11 crore a year ago—marking a year-on-year growth of 18,998.51%. Profit after tax stood at ₹1 crore, turning positive from a loss of ₹0.01 crore in the same quarter last year.
On a full-year basis, revenue surged to ₹58.10 crore in FY25 from ₹0.39 crore in FY24, recording an annual growth of 14,645.25%. Net profit also saw a turnaround, climbing to ₹1.88 crore from a ₹0.02 crore loss the previous year. These strong financials, paired with the solar initiative, position Banganga as a rising example of industrial transformation powered by sustainability.
On Monday, Banganga Paper Industries' share price is trading at ₹67.45 per share. The stock price has seen a surge of 200% in the last one year, where the stock has jumped from ₹22.54 per share to its current market price of ₹67.45 per share.
Disclaimer: The article is for informational purposes only and not an investment advice.
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