IPO Review: Fujiyama Power Systems’ ₹828 Cr Public Issue Explained

India’s rooftops are turning into power plants, one panel at a time, and Fujiyama Power Systems is right at the heart of it. The company makes solar products like panels, inverters, and batteries that help homes and small businesses generate their own green electricity.

Its IPO opens on November 13, 2025, and closes on November 17, 2025. The price band is ₹216-₹228 per share, and the issue size is ₹828 crore. The IPO includes a fresh issue of ₹600 crore and an Offer for Sale of ₹228 crore.

As of now, the GMP stands at ₹0, meaning shares are not trading at a premium or discount in unofficial markets. (Note: GMP is only a rough, unofficial indicator; it can change anytime before listing.)

In this story, you’ll find everything about how the company earns money, what it plans to do with the IPO funds, where it shines, the risks that exist, how it compares to peers, and what long-term investors should think about.

IPO Overview

• IPO Date: November 13 to November 17, 2025
• Total Issue Size: ₹828 crore
• Price Band: ₹216 to ₹228 per share
• Minimum Investment: ₹14,820
• Lot Size: 65 Shares
• Tentative Allotment Date: November 18, 2025
• Listing Date: November 20, 2025 (Tentative)
• GMP: The GMP for the Fujiyama Power Systems IPO is ₹0, reflecting a 0% gain over the issue price, according to Chittorgarh.com.

Disclaimer: GMP is an unofficial indicator and is subject to market volatility.

Business Model: How Fujiyama Power Systems Works

Fujiyama Power Systems is a one-stop solar provider. It does everything, from designing solar products to making them, selling them, and taking care of customers afterward.

The company makes three main products:

• Solar panels: capture sunlight and turn it into energy.
• Inverters: convert that energy into usable household electricity.
• Batteries: store excess power for later use.

It’s among India’s top solar battery makers, with 15.5% market share. With 522 different product types (SKUs), it can serve everyone from homeowners to small factories.

How it makes money:

The company works mainly in the B2C (business-to-consumer) segment, selling directly to retail customers through its 7,371 channel partners, including 725 distributors, 5,546 dealers, and 1,100 exclusive "Shoppe" stores.

In FY25, retail sales brought in ₹1,379 crore, that’s 90% of its total revenue.

How it makes the product:

• Research & Development (R&D): A team of 65 engineers in Delhi designs products and owns patents like rMPPT that help panels grab more sunlight.
• Manufacturing: Four big factories in North India build products; a fifth one is being planned in Ratlam, Madhya Pradesh, using ₹180 crore from the IPO.
• Raw Materials: Most key materials like solar cells come from China (over 92% imports), which can be risky if global supply chains change.
• After-Sales: A team of 602 engineers handles installations and maintenance across India.

Objectives of the IPO

• New Factory in Ratlam (₹180 crore): The new plant in Madhya Pradesh will help it cover western and southern India. Once built, it can make 2 GW worth of solar panels and inverters, and 2 GWh of lithium-ion batteries. Total project cost is ₹272 crore.
• Debt Repayment (₹275 crore): The company has loans of ₹687.65 crore as of September 2025. Clearing a chunk of this will reduce interest payments and improve financial health, lowering its debt-to-equity ratio (currently 0.93x).
• General Corporate Purposes: The rest will fund regular operations, things like marketing, employee costs, raw material purchases, and growth opportunities.

Strengths:

• Strong Growth Track Record: Revenue jumped from ₹665 crore in FY23 to ₹1,550 crore in FY25, growing at over 52% per year. Profit rose six times to ₹156 crore, showing strong demand and solid efficiency.
• High Profitability: The EBITDA margin (profit before costs like interest and taxes) doubled from 7.77% to 16.13% in two years. That means for every ₹100 sold, the company now keeps ₹16 as profit before those costs.
• Big Retail Footprint: With over 1,100 exclusive stores, Fujiyama has built a deep rural and Tier-II/III presence, a strong moat in consumer trust and after-sales service.
• Efficient Use of Capital: Return on Equity (ROE) stood at 39.4% in FY25, meaning the company made ₹39 for every ₹100 shareholders invested, far above peers.

Risks:

• Dependence on China for Raw Materials: Over 92% of imported materials come from China. If there’s any trade restriction, cost increase, or currency issue, margins may shrink.
• Solar Panel Price Decline Risk: As global solar panel prices significantly declined to 18 US cents per watt in FY24, representing an almost 95% fall over more than a decade. Domestic solar panel prices followed, dropping further to 17.7 USD cents/watt in FY25. This continued price pressure risks weakening the company's selling prices and profit margins.
• Regional Sales Concentration: Uttar Pradesh alone contributes 42% of retail sales. Heavy dependence on one region makes the business vulnerable to local policy or demand swings.
• High Debt: Borrowings climbed to ₹687 crore. Interest payments may eat into profit if cash flows don’t improve.

For complete information, visit Fujiyama Power Systems’ official IPO page.

Peer Comparison

As per the RHP, Fujiyama Power Systems’ listed peers include Waaree Energies, Insolation Energy, Exicom Tele-Systems, and Premier Energies.

Source: RHP, internal calculation

• Fujiyama Power Systems has a much smaller revenue scale, earning ₹1,540 crore in FY25 versus ₹14,444 crore for sector leader Waaree Energies. This shows it is still a growing player in the market.
• The company delivers the highest profitability efficiency among peers, with an ROE of 39.4%. This means it earns ₹39 profit for every ₹100 shareholders invest. Its ROE beats Waaree (20.3%) and Premier Energies (33.2%), highlighting strong capital use.
• The EBITDA margin at 16.13% is middling; it’s better than Insolation Energy (12.1%) but behind Premier Energies (27.3%). This means Fujiyama is moderately profitable at the operational level compared to competitors.
• It carries more debt with a debt-to-equity ratio near 0.87x, meaning it uses more borrowed money compared to Waaree (0.10x). Higher leverage increases financial risk.
• Fujiyama dedicates a higher percentage of its revenue (1.41%) to marketing than its peers, suggesting a strong drive to grow brand recognition and customer reach.

IPO Valuation

At the upper price band of ₹228, the company’s market cap will be about ₹6,986 crore.

Its P/E ratio of 44.7x (means investors are paying ₹44 for every ₹1 of last year’s profit) is slightly higher than the industry average of 42.9x, signalling it’s fair to fully priced. While its annualized Q1 FY26 profit implies a P/E Ratio of 25.8 times, which is lower than the industry average, signalling a cheaper deal based on future potential.

High growth and strong ROE partly justify the premium, but investors should know that future results need to stay strong for this to pay off.

Who Leads Fujiyama Power Systems?

• Pawan Kumar Garg (Chairman & Joint MD): He started the business nearly three decades ago, after founding UTL Electronics in 1996. With 28 years in R&D and solar design, he still drives innovation. His FY25 compensation was ₹48.2 lakh.
• Yogesh Dua (CEO & Joint MD): He also has 28 years in power electronics. He leads marketing, sales, and expansion, including the UTL “Shoppe” store concept. Like Garg, his FY25 pay was ₹48.2 lakh.
• Sunil Kumar (Non-Executive Director): An IIT Delhi alumnus and former Google engineer, he focuses on technology and software support.

These promoters together hold 82.27% of shares pre-IPO and continue to manage the day-to-day strategy.

Who’s Making Money from the IPO?

Both Pawan Kumar Garg and Yogesh Dua are selling shares worth ₹114 crore each. They originally acquired these shares at around ₹5.65 per share, so the IPO price of ₹228 means about a 40 times gain in value. Even after this partial sale, they will remain active in the company.

Industry Outlook

India’s solar energy story is growing rapidly. The country’s solar power capacity jumped from 35 GW in 2019 to 94 GW in 2024, and it’s expected to hit 365 GW by 2032. The niche rooftop segment itself could touch 100 GW by 2030.

Growth is powered by strong government schemes (like the PM Surya Ghar–Muft Bijli Yojana), falling project costs, and India’s commitment to 500 GW non-fossil capacity by 2030. However, dependence on imported solar cells and uncertain subsidy policies remain challenges to watch.

Analyst View

Fujiyama Power Systems offers an interesting mix, rapid growth, strong return ratios, and a well-spread retail presence. But it also carries notable risks: dependence on Chinese imports, heavy borrowings, and high regional concentration of sales.

At its current valuation, the IPO seems fully priced. Investors who understand the solar business and can hold for the medium to long term may consider tracking it for future potential as India’s rooftop solar market expands.

For a seamless application process, visit the INDmoney IPO page.

Disclaimer

Source: Fujiyama Power Systems' RHP. Investments in the securities market are subject to market risks. Read all the related documents carefully before investing. Please be informed that merely opening a trading and demat account will not guarantee investment in securities in the IPO. Investors are requested to do their own independent research and due diligence before investing in an IPO. Please read the SEBI-prescribed Combined Risk Disclosure Document prior to investing. This post is for general information and awareness purposes only and is nowhere to be considered as advice, recommendation, or solicitation of an offer to buy or sell, or subscribe for securities. INDstocks is acting as a distributor for non-broking products/services such as IPO, Mutual Fund, and Mutual Fund SIP. These are not exchange-traded products. All disputes with respect to the distribution activity would not have access to the Exchange investor redressal forum or the Arbitration mechanism. INDstocks Private Limited (formerly known as INDmoney Private Limited) does not provide any portfolio management services, nor is it an investment adviser. Logos above are the property of respective trademark owners, and by displaying them, INDstocks has no right, title, or interest in them. SEBI Stock Broking Registration No: INZ000305337, Trading and Clearing Member of NSE (90267, M70042) and BSE, BSE StarMF (6779), SEBI Depository Participant Reg. No. IN-DP-690-2022, Depository Participant ID: CDSL 12095500, Research Analyst Registration No. INH000018948 BSE RA Enlistment No. 6428.