1. Introduction

Fujiyama Power Systems Limited (UTL Solar) is a leading manufacturer of solar inverters, solar panels, lead-acid and lithium-ion batteries, UPS systems and e-rickshaw chargers. The company earns revenue mainly through sale of solar products across the B2C and B2B channels, supported by 6,874 channel partners . Its products are used in residential, commercial and industrial applications, providing energy storage, power backup and solar generation solutions.

2. Key Clients & Manufacturing Facilities

The company supplies to a wide network of dealers, distributors, retail channel partners and institutional buyers. Fujiyama operates four manufacturing facilities located across Himachal Pradesh and Uttarakhand, enabling production of solar panels, inverters, UPS systems and batteries . These units are integrated with testing lines, assembly floors and R&D support infrastructure, helping the company maintain product quality, reduce logistics cost and expand capacity with efficient turnaround.

3. Product Portfolio & Order Book

Its portfolio covers solar panels, solar batteries, hybrid/off-grid inverters, online UPS, DC power systems and e-rickshaw chargers, offering more than 519 SKUs to meet diverse customer needs . These products fit across the customer’s entire power backup and solar lifecycle, improving system efficiency and reducing dependence on grid power. Revenue contribution in FY25 came from solar panels (₹6,618.68 mn), solar batteries (₹3,170.94 mn) and inverters/UPS (₹3,659.40 mn) . Execution is supported by a strong distribution network and rising B2C demand.

4. Merger, Capex & Expansion Plans

The company was formed by acquiring the entire business of M/s Fujiyama Power Systems as a going concern in 2018, gaining its intellectual property, commercial rights and goodwill . Expansion plans include scaling solar panel capacity, strengthening lithium battery assembly, and enhancing R&D for inverter technologies. The company continues to invest in modern machinery and automation to meet the growing demand for solar and energy-storage products.

5. Employees, Exports, Geography & Bankers

Fujiyama exports to 10 countries, with export revenue forming 4.19% of FY24 revenue . It has a large dealer-driven domestic presence across India. The company employs skilled manpower across manufacturing and sales, supported by reputed bankers for working capital needs.

MANAGEMENT & VISION

The management team, led by experienced promoters with over two decades in the solar and power-electronics industry, aims to strengthen the company’s position in the integrated solar manufacturing and energy-storage ecosystem. Their near-term vision focuses on expanding market share in B2C solar inverters, lithium batteries and residential rooftop solutions, supported by product innovation and deeper channel penetration.

Long-term plans include building a globally competitive solar-electronics platform, expanding exports and increasing automation across facilities. Funding for capex is expected to be arranged through internal accruals, IPO proceeds, and selective debt, supported by strong cash flows and improving profitability (FY24 EBITDA margin at 18.81%) .

INDUSTRY OVERVIEW

India’s solar energy and power backup industry is expanding rapidly due to rising electricity demand, grid instability, government incentives and growing preference for clean energy. The solar inverter market grew from ₹39.1 billion in CY19 to ₹68 billion in CY24, driven by rooftop solar penetration and residential needs .

In solar batteries, the residential segment holds the largest share (36.1–37.6% in FY19–25), expected to rise to 39.7% by FY31 due to increasing electricity bills and demand for energy independence .

Commercial and industrial usage is also increasing due to peak-hour tariff optimisation and backup requirements. Globally, solar inverters and energy-storage markets are expected to grow at 8–12% CAGR, with India expected to outpace global growth due to high solar adoption and supportive policies. Market leaders include Waaree Energies, Luminous, Livguard, Exicom and Microtek, but Fujiyama stands out with end-to-end capabilities across inverters, batteries and panels, supported by 519 SKUs and strong R&D.

KEY RISK FACTORS

1. Operational Risk

Manufacturing facilities are concentrated in northern India. Any disruption due to natural calamities, labour issues, or machinery breakdown could significantly affect production, impacting revenue, delivery schedules and customer relationships .

2. Geographical Concentration

The clustering of facilities in specific regions exposes the company to location-specific risks such as political instability, logistical bottlenecks or regulatory changes that may adversely affect operations and supply chains .

3. Import Dependency

The company imports significant raw materials and equipment, especially from China. Any restrictions, duty changes or geopolitical tensions may increase costs and disrupt production timelines, impacting profitability and cash flows .

4. Price Decline Risk

A fall in solar product prices due to technology shifts or intense competition may reduce margins. The company may not fully pass on price changes to consumers, affecting revenue and profitability .

5. Financial Valuation Risk

High valuation ratios compared to peers may expose the company to market volatility. Any slowdown in growth or earnings may affect investor sentiment and lower market capitalisation relative to revenue .

6. Working Capital Pressure

With large dealer networks and high SKU volumes, the company faces working capital challenges. A rise in receivables or inventory cycles may increase reliance on short-term borrowings, affecting liquidity.

KEY STRENGTHS & OPPORTUNITIES

1. Integrated Product Ecosystem

Fujiyama offers a complete solar and power-backup suite—panels, batteries, inverters, UPS systems and chargers—creating cross-selling opportunities. This integration improves customer retention and positions the company as a one-stop solution provider.

2. Strong Distribution Network

With 6,874 channel partners across India, the company has deep retail penetration, enabling faster scale-up, strong brand recall and stable B2C-led revenue growth (B2C FY25 revenue: ₹13,794.33 mn) .

3. Rapid Revenue Growth

The company achieved 45% revenue CAGR between FY22–FY25, supported by strong inverter and battery demand. EBITDA margins improved from 12.06% to 18.81% and ROE reached 39.40% in FY25 .

4. Broad SKU Range

With 519 SKUs, the company caters to diverse needs across residential, commercial and industrial segments. This reduces dependence on any single product category and enhances customer choice .

5. R&D-Driven Product Development

The company invests in inverter technologies and battery innovations, supporting higher efficiency and reliability. Strong R&D improves competitiveness against players lacking diverse inverter or battery capabilities .

6. Growing Export Footprint

Exports to 10 countries and rising interest in lithium-based products provide long-term growth potential, supported by expected global acceleration in solar adoption and storage system demand.