Oswal Pumps Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Oswal Pumps Ltd filed with BSE on 21 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Oswal Pumps reported FY26 operating income of Rs 2,064 crore, up 44.3% year-on-year, with Q4 FY26 operating income at Rs 510 crore, up 39.8%. Full year PAT reached Rs 376 crore, a record, while Q4 EBITDA margin moderated to 23.2% due to competitive tender pricing and input cost pressures. Management outlined an FY27 growth target of 20-25%, describing the year as back-ended pending the anticipated rollout of PM-KUSUM 2.0.
Numbers mentioned
Operating income: INR2,064 crores (FY26)
p. 3
“For the full year, operating income reached INR2,064 crores, the highest in the company's history, marking a robust year-on-year growth of 44.3%.”
Vivek Gupta, page 3 of the filed PDF · View the filing
Operating income: INR510 crores (Q4 FY26)
p. 3
“Closing the year on a strong note, Q4 FY26 operating income stood at INR510 crores, reflecting a year-on-year growth of 39.8%, underpinned by disciplined and large-scale execution under PM-KUSUM and various state government schemes, and further reinforcing our position as a trusted leader in solar-powered irrigation solutions across India.”
Vivek Gupta, page 3 of the filed PDF · View the filing
Operating EBITDA: INR118 crores, 23.2% margin (Q4 FY26)
p. 3
“Operating EBITDA for Q4 FY26 stood at INR118 crores, translating into a margin of 23.2%.”
Vivek Gupta, page 3 of the filed PDF · View the filing
Operating EBITDA: INR514 crores, 24.9% margin (FY26)
p. 3
“For the full year, operating EBITDA grew 22.4% year-on-year to INR514 crores, with a healthy margin of 24.9%.”
Vivek Gupta, page 3 of the filed PDF · View the filing
PAT: INR376 crores (FY26)
p. 4
“FY26 also marked a historic milestone on the profitability front, with PAT reaching INR376 crores, the highest the company has ever recorded, representing a year-on-year growth of 34.1%.”
Vivek Gupta, page 4 of the filed PDF · View the filing
PAT: INR93 crores, 44.8% YoY growth (Q4 FY26)
p. 4
“The momentum carried strongly into the final quarter as well, with Q4 FY26 PAT coming in at INR93 crores, a year-on-year increase of 44.8%.”
Vivek Gupta, page 4 of the filed PDF · View the filing
PAT margin: 17.9% Q4, 18.0% FY26 (Q4 FY26 / FY26)
p. 4
“PAT margins stood at 17.9% for the quarter and 18.0% for the full year, reflecting the underlying earning quality and the resilience of our business model.”
Vivek Gupta, page 4 of the filed PDF · View the filing
Executable order book: 19,912 pumps (as of May 15, 2026)
p. 3
“Our current executable order book as of May 15, 2026 stood at 19,912 pumps.”
Vivek Gupta, page 3 of the filed PDF · View the filing
Near-term pipeline: exceeding 25,000 pumps
p. 4
“Additionally, we have a near-term pipeline exceeding 25,000 pumps, providing healthy revenue visibility for the coming quarters.”
Vivek Gupta, page 4 of the filed PDF · View the filing
Cumulative solar pumping systems executed: 1,06,122 systems
p. 4
“On a cumulative basis since entering the solar pumping space, we have executed over 1,06,122 solar pumping systems directly under PM-KUSUM and allied state government schemes across 15 states, cementing our position as one of the largest suppliers of turnkey solar pumping systems in India.”
Vivek Gupta, page 4 of the filed PDF · View the filing
Net debt: approximately INR135 crores (as of March 31, 2026)
p. 5
“As of March 31, 2026, net debt stood at approximately INR135 crores, translating into a net debt to equity ratio of 0.08x and net debt to operating EBITDA of 0.26x.”
Subodh Kumar, page 5 of the filed PDF · View the filing
Operating cash flow: negative INR77 crores (FY26)
p. 5
“Operating cash flow improved from negative INR142 crores in FY25 to negative INR77 crores in FY26, supported by better working capital discipline and improved collections efficiency.”
Subodh Kumar, page 5 of the filed PDF · View the filing
Operating cash flow: positive INR171 crores (Q4 FY26)
p. 5
“Further reinforcing this improving trend, operating cash flow for Q4 FY26 stood positive at INR171 crores.”
Subodh Kumar, page 5 of the filed PDF · View the filing
Cash conversion cycle: 172 days (as of March 31, 2026)
p. 5
“Our cash conversion cycle as of March 31, 2026, stood at 172 days as compared to 177 days as of December 31, 2025, reflecting gradual improvement in working capital efficiency.”
Subodh Kumar, page 5 of the filed PDF · View the filing
Receivable days: 155 days
p. 5
“Receivable days remained elevated at 155 days relative to historical levels, primarily due to delay in collection from state nodal agencies under the PM-KUSUM and Magel Tyala schemes.”
Subodh Kumar, page 5 of the filed PDF · View the filing
Combined pipeline in rooftop, utility and C&I solar: approximately 300 MW (as of date)
p. 4
“Across the rooftop solar, utility, and C&I solar segments, we have built a healthy combined pipeline of approximately 300 MW as of date.”
Vivek Gupta, page 4 of the filed PDF · View the filing
Cost of debt repaid from IPO proceeds: 8.5% to 9%
p. 15
“Cost of debt, okay. It was around 9% cost at that time. 8.5% to 9% approximate cost.”
Vivek Gupta, page 15 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Overall revenue growth — 20% to 25% · FY27
stated firmly by Subodh Kumar
p. 6
“For FY27, we are targeting overall growth of 20% to 25% over the previous year.”
Subodh Kumar, page 6 of the filed PDF · View the filing
Revenue phasing — H1 FY27
stated conditionally by Subodh Kumar
p. 6
“This year is expected to have a distinctly back-ended growth profile, with the first two quarters likely to witness a moderate but temporary revenue decline due to the timing of project award and execution schedules, with execution momentum building progressively in the second half of the year.”
Subodh Kumar, page 6 of the filed PDF · View the filing
Sustained growth momentum — 30% to 40% · medium term, beyond FY27
stated as an aspiration by Subodh Kumar
p. 6
“Looking beyond FY27, we are targeting a sustained growth momentum of 30% to 40% in the medium term, as execution across these multiple fronts gathers pace.”
Subodh Kumar, page 6 of the filed PDF · View the filing
Operating EBITDA margin — 22.0% to 23.0% · FY27
stated firmly by Subodh Kumar
p. 6
“From a profitability standpoint, we expect operating EBITDA margin for FY27 to be in range of 22.0% to 23.0%.”
Subodh Kumar, page 6 of the filed PDF · View the filing
Operating EBITDA margin — beyond FY27
stated as an aspiration by Subodh Kumar
p. 6
“Beyond FY27, we do expect margins to improve gradually as operating leverage strengthens, and market conditions normalize.”
Subodh Kumar, page 6 of the filed PDF · View the filing
PAT margin — 15% to 16% · FY27
stated firmly by Subodh Kumar
p. 6
“PAT margins are expected to be in range of 15% to 16% for FY27, broadly in line with the operating margin trajectory.”
Subodh Kumar, page 6 of the filed PDF · View the filing
Pump and motor capacity expansion capex — Q3 FY27
stated firmly by Vivek Gupta
p. 4
“Pump and motor capacity expansion and automation: we expect the entire capex program scheduled for completion by Q3 FY27.”
Vivek Gupta, page 4 of the filed PDF · View the filing
Solar module plant expansion (1 GW phase) — 1 GW · Q1 FY27
stated firmly by Vivek Gupta
p. 4
“And in solar module plant, with respect to our solar module facility, we expect the first phase of expansion comprising 1 GW of solar module to be completed by Q1 FY27.”
Vivek Gupta, page 4 of the filed PDF · View the filing
Solar module plant expansion (0.5 GW phase) — 0.5 GW · Q3 FY27
stated firmly by Vivek Gupta
p. 5
“The remaining 0.5 GW expansion is planned to be completed by Q3 FY27 in line with our phased execution strategy.”
Vivek Gupta, page 5 of the filed PDF · View the filing
Total capex for FY27 — around INR350 crores · FY27
stated firmly by Vivek Gupta
p. 8
“So, we expect to fulfil all those facilities by Q3; a little bit might remain in aluminium extrusion or something, but by the end of this year, I think we will infuse around INR350 crores of total capex this year in FY27.”
Vivek Gupta, page 8 of the filed PDF · View the filing
Revenue from non-pump diversified segments (PM Surya Ghar, solar panel, inverter) — around INR1,000 crores · this year
stated as an aspiration by Vivek Gupta
p. 19
“This year, ballpark, I am expecting a business of around INR1,000 crores in this direction this year.”
Vivek Gupta, page 19 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said they are awaiting PM-KUSUM 2.0 announcement, but have diversified with Magel Tyala and rooftop orders providing a strong order book for Q1 and Q2, while remaining conservative on new diversification execution.
Answered by Vivek Gupta
Asked by Renu Baid: What is the expected H1 FY27 growth/decline and how dependent is the 20-25% guidance on PM-KUSUM 2.0 orders?
p. 7
“So definitely, as soon as we get the announcement for PM KUSUM 2.0, a very clear growth trajectory will emerge with a lot of clarity.”
Vivek Gupta, page 7 of the filed PDF · View the filing
Management said the initial focus for rooftop is on execution experience rather than profitability, though backward integration should eventually support margins similar to guided levels.
Answered by Vivek Gupta
Asked by Renu Baid: What profitability is expected from the new rooftop solar segment versus the core business?
p. 7
“So, we are not focusing on profitability in the first phase; we are focusing on execution and seeing what challenges arise.”
Vivek Gupta, page 7 of the filed PDF · View the filing
Management said capex will be split between the parent company (automation and capacity, funded by ~INR90 crore IPO proceeds) and Oswal Solar's capacity expansion to 2.1 GW plus backward integration, totalling around INR350 crore for the year.
Answered by Vivek Gupta
Asked by Nitin Kaushik: What is the FY27 capex guidance and where will it be directed?
p. 8
“So, we will infuse the entire IPO proceeds of around INR90 crores by Q3, which was taken for automation and capacity enhancement.”
Vivek Gupta, page 8 of the filed PDF · View the filing
Management attributed the delay mainly to Maharashtra government payment timing, related to elections and MSEDCL administrative distractions, and said a large payment was received just after quarter-end.
Answered by Vivek Gupta
Asked by Puneet J: Why did receivable days increase despite prior expectations of a decrease, and is this state-specific?
p. 9
“But the biggest thing that happened, Puneet ji, is that on March 31st the Maharashtra government made a payment of around INR116 crores, which was reflected in our books on April 2nd.”
Vivek Gupta, page 9 of the filed PDF · View the filing
Management said the industry expects fairer pricing but noted new entrants sometimes bid aggressively, making outcomes uncertain.
Answered by Vivek Gupta
Asked by Karan Kamdar: Are tender prices expected to rise in line with increased input costs under PM-KUSUM 2.0?
p. 11
“So, they desperately take some such calls somewhere that the price goes down; so, this becomes very tough, it's not in our hands.”
Vivek Gupta, page 11 of the filed PDF · View the filing
Management estimated the expanded capacity could support a top line of about Rs 6,000-6,500 crore without further expansion.
Answered by Sanjeev Sancheti
Asked by Nitin Gandhi: What is the peak revenue potential once pump and solar module capacity expansions are complete?
p. 16
“So that will give me a 6,000 plus top line without adding any further capacity expansion.”
Sanjeev Sancheti, page 16 of the filed PDF · View the filing
Management said current cost pressure stems from geopolitical uncertainty affecting the whole industry, but expects margins to improve once the situation stabilizes given aligned backward integration.
Answered by Vivek Gupta
Asked by Nitin Gandhi: Could margins fall below 22% due to supply chain disruption and price escalation?
p. 16
“Then we are very sure that our profit margins will increase from here instead of decreasing because fundamentally everything is very aligned, backward integration is aligned, those capacities are increasing, and even our team is doing value engineering very aggressively on other things.”
Vivek Gupta, page 16 of the filed PDF · View the filing
Management confirmed early internal work on inverters, framed as backward integration to be used within its own projects rather than sold standalone, expecting positive contribution to profitability.
Answered by Vivek Gupta
Asked by Hardik: Is the company entering the solar inverter space and how will this affect margins given competitive pressure?
p. 17
“We are seeing it as a facilitation for ourselves, as has been our old strategy with all our backward integrations; we have never made them a revenue model.”
Vivek Gupta, page 17 of the filed PDF · View the filing
Risks flagged
Sequential margin moderation from competitive tender pricing and input cost pressures linked to geopolitical uncertainty
p. 3
“The sequential moderation in Q4 margins is attributable to competitive tender pricing and input cost pressures stemming from prevailing geopolitical uncertainty.”
Vivek Gupta, page 3 of the filed PDF · View the filing
Delayed collections from state nodal agencies under PM-KUSUM and Magel Tyala schemes
p. 5
“Receivable days remained elevated at 155 days relative to historical levels, primarily due to delay in collection from state nodal agencies under the PM-KUSUM and Magel Tyala schemes.”
Subodh Kumar, page 5 of the filed PDF · View the filing
Possible temporary revenue decline in H1 FY27 due to delay in PM-KUSUM 2.0 rollout
p. 10
“So, to be on the safer side, we assume that H1 might be a little affected or it might not be.”
Vivek Gupta, page 10 of the filed PDF · View the filing
Elevated input costs from ongoing geopolitical tensions and competitive tendering pricing dynamics
p. 6
“The slightly lower margins are due to elevated input cost arising from ongoing geopolitical tensions along with competitive pricing dynamics in the tendering environment, which we believe is transitionary.”
Subodh Kumar, page 6 of the filed PDF · View the filing
Potential further delay in PM-KUSUM 2.0 announcement affecting Q3 execution
p. 13
“No, no, sorry. I just before Vivek ji answer, I want to just correct that the order in hand is about 19,000, but there is a pipeline of 25,000 which is again largely related to KUSUM and Magel-Tyala.”
Sanjeev Sancheti, page 13 of the filed PDF · View the filing
Uncertain execution challenges in new diversified business lines such as rooftop solar
p. 7
“But since this is a new diversification line, we are a little conservative about the execution challenges we might face, so we are being a bit conservative there.”
Vivek Gupta, page 7 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.