Solar module maker Saatvik Green Energy is preparing to sharply step up investments over the next two years, with capital expenditure expected to rise to about Rs 2,500 crore in FY27. The company plans to accelerate its capacity expansion and deepen backward integration as its sees strong demand and improving export prospects.
The planned spending follows a heavy investment phase in FY26, when the company is deploying nearly Rs 1,850 crore largely towards expanding module capacity and setting up solar cell manufacturing. According to CEO Prashant Mathur, part of these projects will spill over into FY27, alongside fresh investments that will lift overall capex.
What did Prashant Mathur say?
“In FY26, we are focusing on strengthening our module base and initiating cell manufacturing. In FY27, we will continue these projects and add new ones to reach around Rs 2,500 crore of capex,” Mathur told Fe in an interaction. “The longer-term goal is to build an integrated manufacturing platform, moving from modules to cells and eventually into ingots and wafers, which will improve cost control and margin stability.”
New manufacturing lines are scheduled to begin commercial production from April, with a phased ramp-up through the first quarter of the new financial year. Mathur said close to 4 GW of high-efficiency module capacity will be progressively commissioned, catering to large domestic utility-scale projects as well as select export markets, including the US.
Context: Backdrop of the expansion
The expansion comes at a time when module pricing has seen volatility. During the December quarter, prices rose by about 14–16% sequentially, driven by higher input costs such as silver, copper and steel, along with swings in polysilicon prices. “Solar manufacturing is closely linked to raw material cycles. Price increases largely reflect cost pass-through rather than any demand weakness,” he said.
Despite near-term cost pressures, the company expects margins to remain resilient. Ebitda margins of around 13% are structurally healthy for the sector, Mathur said, adding that backward integration would help smoothen volatility over time.
The US market is emerging as a key opportunity. Historically contributing less than 1% of revenues due to tariff and compliance hurdles, it could become a meaningful growth driver as global supply chains diversify.
Beyond modules, Saatvik has also entered the inverter segment for residential and small commercial rooftops, with domestic sales underway, while integrated solar manufacturing remains its core strategic focus.