Solar Industries India Ltd has delivered a whopping return of over 80% in 2026 so far, as the industrial explosives manufacturer’s rapidly expanding defence business drives strong earnings growth. With continued investment in domestic defence modernization and higher global military spending, the defence segment is expected to become increasingly significant to Solar Industries.
The company’s defence order book, including international and domestic orders, stood at ₹18,000 crore as of the June quarter-end (Q1FY27), or nearly six times the segment’s trailing 12-month revenue. Strong defence order inflows have helped the total order book reach ₹21,350 crore, up more than four times from the ₹5,100 crore at FY24-end.
Among the large orders is the Pinaka rocket launcher system and its ammunition, worth ₹6,100 crore, from the Indian Army, as well as another order from Armenia. The company started deliveries for both orders in Q4FY26, and a follow-on order from the Indian Army is being negotiated.
Bhargavastra, the guided micro-missile-based counter-drone system, is in the final stage of development, with trials expected to be completed in 2026. Solar hopes to receive orders for the system from FY28.
Defence exports are also gaining traction amid heightened geopolitical tensions and record-high military spending.