Borosil Renewables stock hits 5% lower circuit after Q3 results 2025, slides to 10-week low

Shares of Borosil Renewables, a leading solar glass manufacturer and a subsidiary of the Borosil Group, were locked in the 5% lower circuit in early morning trade on February 17, hitting a 10-week low of ₹472.45 apiece after investors reacted negatively to the company’s December quarter results.

The consolidated revenue for the quarter stood at ₹361 crore, compared to ₹330 crore in Q3FY24 and ₹373 crore in Q2FY25. 

Its EBITDA stood at ₹5 crore, down significantly from ₹24.08 crore in Q3FY24. The sharp decline in EBITDA was primarily due to lower profitability in Indian operations, driven by falling selling prices. In terms of bottomline, the company’s net loss widened to ₹30 crore from ₹16 crore net loss in the same period last year.

The company stated that the imposition of a 10% Basic Customs Duty (BCD) on imports from October 1, 2024, did not impact the landed prices of imported glass. It was primarily due to a sharp and continuous drop in FOB prices from China in Q2FY25, further compounded by a reduction in ocean freight costs in Q3FY25. Additionally, non-routine repair expenses of ₹4.59 crore and the debit of rights issue expenses amounting to ₹2.01 crore further impacted EBITDA.

Exporters from China and Vietnam slashed solar glass FOB prices by as much as 32% between June and September, bringing domestic prices to unsustainable levels and threatening industry survival, the company said in its earnings report. 

Export sales, including those to SEZ customers, totaled ₹16.02 crore in Q3FY25, accounting for 6% of turnover, compared to ₹34.39 crore in the preceding quarter when exports made up 13% of turnover. The company stated that all major export markets are witnessing lower demand due to limited local manufacturing, as cheap modules imported from China dominate installations.

Stock down 27% in 2 months

The stock has lost 27% of its value over the past two months, falling from ₹643.90 apiece to the current trading price of ₹472.45.

Borosil Renewables, India’s first producer of solar glass, plays a key role in manufacturing low-iron, textured solar glass used in solar photovoltaic modules for the power sector.

With power demand on the rise, solar power has remained the largest source of new capacity additions for the past seven years. The Indian government’s ambitious goal of achieving 280 GW of solar power installations by 2030, along with initiatives like the imposition of BCD, the Production-Linked Incentive (PLI) scheme, and a preference for domestic solar modules, is driving continued growth in demand for solar glass in India.

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