HVR Solar Annual Reports, Balance Sheet and Financials

HVR Solar Private Limited Standalone Balance Sheet (Rs. in crores).

Particulars	31-03-2025	31-03-2024
Equity
Share capital	3.00	0.50
Reserve & surplus	7.19	2.68
Non current liability
Long term liabilities	10.71	12.01
Deferred tax liabilities	0.20	0.15
Long term provision	0.21	-
Current liabilities
Short term borrowings	19.79	17.54
Trade payables – outstanding dues of micro and small enterprises	7.88	2.32
Trade payables – outstanding dues other than micro and small enterprises	2.72	2.89
Other current liabilities	2.72	2.09
Short term Provisions	2.69	0.63
Total equity and liabilities	57.13	40.84
Non-current assets
Plant property & equipment	3.73	3.28
Intangible assets	0.02	0.03
Capital work in progress	0.46	-
Non current investment	0.10	0.10
Other non current assets	0.37	0.52
Current assets
Inventories	19.70	13.38
Trade receivables	29.47	20.58
Cash and cash equivalent	0.66	0.63
Short term loans and advances	1.46	1.21
Other current assets	1.15	1.09
Total	57.13	40.84

HVR Solar Private Limited Standalone Profit & Loss Statement (Rs. in crores).

Particulars	31-03-2025	31-03-2024
Income
Revenue from Operations	100.54	66.12
Other Income	0.83	0.17
Total Income	101.37	66.29
Expenses
Cost of material consumed	49.24	42.67
Purchase of trading items	34.38	10.54
Changes in inventories	-3.53	2.01
Employee benefit expense	3.34	2.17
Financial costs	3.10	2.85
Depreciation and amortisation expense	0.54	0.44
Other expenses	4.63	3.60
Total Expenses	91.70	64.30
Profit/ Loss before tax for the period	9.67	1.99
Current tax	2.66	0.64
MAR credit utilised/(entitlement)	-	0.02
Deferred tax	0.04	-0.06
Earlier year tax adjustment	-0.04	0.01
Profit/ Loss after tax for the period	7.01	1.38
Earning per share
Basic	76.41	40.58
Diluted	76.41	40.58

HVR Solar Private Limited Standalone Cash Flow Statement (Rs. in crores).

Particulars	31-03-2025	31-03-2024
Cash Flow from Operating Activities
Net Profit/(loss) Before Tax	9.67	1.99
Depreciation	0.54	0.44
VIP service consumed	-	0.03
Interest expenses	3.10	2.85
Interest received	-0.01	-0.09
Profit on sale of car	-	-0.02
Working capital adjustments:
Inventories	-6.32	0.16
Trade receivables	-8.89	-7.30
Short term loans and advances	-0.25	-1.02
Other non current assets	0.15	0.04
Short term borrowing	2.26	6.46
Trade payables	5.39	-0.43
Long term provisions	0.21	-
Short term provisions	0.03	-
Other current assets	-0.05	-0.03
Other current liabilities	0.62	0.49
Cash generated from operation	6.47	3.57
Income tax paid	-0.60	-0.11
Net cashflow from operating activities	5.87	3.46
Cash Flow from Investing Activities
Purchase of fixed assets	-1.45	-0.98
Sale of fixed assets	-	0.05
Investment in mutual funds interest received	0.01	0.09
Net Cash from / (used in) Investing Activities	-1.45	-0.84
Cash Flow from Financing Activities
Increase in borrowings	-1.29	0.59
Interest paid	-3.10	-2.85
New shares issued	-	0.19
Net Cash from/(used in) Financing Activities	-4.40	-2.07
Net Increase/decrease in Cash & cash equivalents	0.03	0.55
Cash and cash equivalents at the beginning of the year	0.63	0.08
Cash and cash equivalents at the end of the year	0.66	0.63

Summary of the Cash Flow Statement for the years 2025 and 2024:

Operating Activities Analysis

Cash flow from operating activities improved significantly, rising from ₹3.46 crore in FY 2024 to ₹5.87 crore in FY 2025. This improvement is primarily driven by a higher net profit before tax (₹9.67 crore vs ₹1.99 crore), indicating stronger operational profitability. Non-cash adjustments such as depreciation and interest expense also contributed positively. However, working capital movements present a mixed picture. In FY 2025, increases in inventories (₹6.32 crore) and trade receivables (₹8.89 crore) consumed cash, suggesting higher working capital requirements or slower collections. On the positive side, increases in trade payables (₹5.39 crore) and short-term borrowings (₹2.26 crore) supported cash generation. Overall, the operating cash flow remains strong, but working capital efficiency appears to be under pressure.

 

Investing Activities Analysis

The company reported a net cash outflow from investing activities of ₹1.45 crore in FY 2025, compared to ₹0.84 crore in FY 2024. The primary reason for this increase in outflow is higher capital expenditure (₹1.45 crore), indicating continued investment in fixed assets and growth initiatives. There were no proceeds from sale of fixed assets in FY 2025, unlike a small inflow in the previous year. Minimal inflows from interest on investments suggest limited income from financial investments. Overall, the company is in an expansion or asset-upgradation phase, as reflected by consistent capital investments.

 

Financing Activities Analysis

Cash flow from financing activities shows a net outflow of ₹4.40 crore in FY 2025, higher than the ₹2.07 crore outflow in FY 2024. The main driver of this outflow is significant interest payments (₹3.10 crore), reflecting the company’s reliance on debt and its servicing cost. Additionally, there is a net repayment of borrowings (₹1.29 crore) in FY 2025, compared to a slight increase in the previous year. The absence of new share issuance in FY 2025 also indicates no equity infusion, unlike FY 2024. This suggests the company is gradually reducing its leverage while meeting its debt obligations.

 

Liquidity Position

The company’s cash and cash equivalents increased marginally from ₹0.63 crore to ₹0.66 crore, reflecting stable but modest liquidity growth. While operating cash flows are strong enough to cover investment and financing outflows, the overall liquidity position remains relatively low, indicating limited buffer for unexpected cash requirements 

Financial ratios of HVR Solar Private Limited.

Particulars	31-03-2025	31-03-2024
Current ratio	1.46	1.45
Debt-equity ratio	2.99	9.28
Debt – service coverage ratio	3.464	1.521
Return on equity	68.70%	43.50%
Inventory turnover ratio	4.84	4.10
Trade payables turnover ratio	10.92	9.65
Trade receivables ratio	4.02	3.91
Net capital turnover ratio	6.05	5.79
Net profit ratio	6.97%	2.10%
Return on capital employed	0.60	0.32
Return on investment	1.25	1.52

Summary of Financial Ratio of the year 2025 and 2024.

Current ratio

The current ratio has remained almost stable at 1.46 in FY 2025 compared to 1.45 in FY 2024, indicating that the company continues to maintain adequate liquidity to meet its short-term obligations. However, the ratio is still slightly below the ideal level of 2:1, suggesting moderate liquidity with limited buffer.

 

Debt-equity ratio

The debt-equity ratio has improved significantly from 9.28 in FY 2024 to 2.99 in FY 2025, indicating a major reduction in reliance on borrowed funds. This reflects improved financial stability and a lower risk profile, as the company is gradually strengthening its equity base.

 

Debt – service coverage ratio

The DSCR has increased sharply from 1.521 to 3.464, showing a strong improvement in the company’s ability to meet its debt obligations. This indicates that operating income is now more than sufficient to cover interest and principal repayments, reflecting a healthier financial position.

 

Return on equity

The Return on Equity has improved significantly from 43.50% to 68.70%, indicating that the company is generating much higher returns for its shareholders. This reflects strong profitability and efficient utilization of equity capital.

 

Inventory turnover ratio

The inventory turnover ratio increased from 4.10 to 4.84, indicating improved efficiency in managing inventory. The company is selling and replacing its inventory more frequently, which is a positive sign of operational efficiency.

 

Trade payables turnover ratio

The trade payables turnover ratio increased from 9.65 to 10.92, indicating that the company is paying its suppliers faster than before. This may reflect stronger liquidity and better payment management.

 

Trade receivables ratio

The trade receivables ratio improved slightly from 3.91 to 4.02, suggesting that the company is marginally better at collecting payments from customers. This indicates improved credit control and collection efficiency.

 

Net capital turnover ratio

The net capital turnover ratio increased from 5.79 to 6.05, showing improved efficiency in utilizing working capital to generate sales. This reflects better use of resources and stronger operational performance.

 

Net profit ratio

The net profit ratio has improved significantly from 2.10% to 6.97%, indicating better cost control and higher profitability. The company is more efficient in converting revenue into net profit.

 

Return on capital employed

The Return on Capital Employed has increased from 0.32 to 0.60, indicating better utilization of capital employed in the business. This shows improved operational efficiency and profitability.

 

Return on investment

The Return on Investment has declined from 1.52 to 1.25, indicating a slight reduction in returns generated from total investments. This suggests that while profitability has improved, returns on investments have not grown at the same pace.