Prostarm Info Plans 1.2 GWh Battery Storage Facility In Haryana For H1 FY27 Completion

Market snapshot: Prostarm Info Systems Limited has revised the timeline for commencing commercial production at its first Battery Energy Storage System (BESS) manufacturing facility at Reliance MET City in Jhajjar, Haryana. The facility, which has a planned annual manufacturing capacity of 1.2 GWh, is now expected to commence commercial production on or before September 30, 2026 (H1 FY27). The facility will cater to the rising Commercial & Industrial (C&I) and utility-scale energy storage requirements across India.

Data Snapshot

• The upcoming BESS plant at Reliance MET City in Jhajjar, Haryana, is planned with an annual manufacturing capacity of 1.2 GWh.
• Prostarm has planned a capital expenditure of ₹25 crore for the setup of advanced machinery and infrastructure at the Haryana unit.
• The project land parcel measures 3,912.15 square meters, secured under a 9-year lease running from May 2025 to April 2034.
• Prostarm announced Q1 FY27 consolidated sales of ₹76.05 crore, a 38.5% YoY growth, alongside a net profit increase of 150.27% YoY to ₹4.58 crore.
• The company's board approved raising ₹43.27 crore through the preferential allotment of 29.43 lakh convertible warrants.

What's Changed

• Commercial production commencement timeline for the Jhajjar BESS plant revised from end-FY26 to on or before September 30, 2026.
• Strengthened capital base through board approval of a ₹43.27 crore fundraise via preferential warrants to support working capital.
• Strategic footprints optimized following the relocation of the Lithium Battery manufacturing vertical to Ahmedabad, Gujarat.

Key Takeaways

• The 1.2 GWh BESS facility is substantially ready, and the revised commissioning date accommodates resource delays caused by geopolitical factors.
• A successful fundraising round of ₹43.27 crore provides the capital cushion required to execute a massive consolidated order book.
• The newly implemented strategic footprint realignment separates the lithium battery manufacturing unit from servo stabilizer operations to drive efficiencies.

SAHI Perspective

Prostarm's strategic adjustment of its Jhajjar plant commissioning is a pragmatically managed timeline correction reflecting broader global shipping challenges. The company's exceptional performance in Q1 FY27—marked by a 150.27% surge in net profit—shows strong momentum. Fresh capitalization of ₹43.27 crore ensures that delayed project lifecycles do not create working capital bottlenecks, paving the way for the company to emerge as a prominent BESS OEM in India.

Market Implications

The development of high-capacity battery storage manufacturing facilities directly supports India's ambitious grid-scale renewable energy targets. Local OEMs like Prostarm stand to capture substantial market share, especially under domestic content requirements. Successful commissioning of the Jhajjar facility is poised to serve as a major re-rating catalyst for the stock in the upcoming quarters.

Trading Signals

Market Bias: Bullish

Stellar Q1 FY27 consolidated earnings growth (net profit up 150.27% YoY) combined with a newly approved ₹43.27 crore capital infusion provides strong financial support, balancing the minor commissioning delays.

Overweight: Power Infrastructure, Energy Storage (BESS), Renewable Energy Solutions

Trigger Factors:

• Commercial commissioning and output from the Jhajjar plant on or before September 30, 2026.
• Shareholder approval for the ₹43.27 crore preferential warrant allotment.
• Stabilization of container shipping costs and import supply chains from China.

Time Horizon: Medium-term (3-12 months)

Industry Context

India's battery energy storage market is projected to grow from under 0.2 GW to 66 GW by 2032. Regulatory push for renewable grid integration, coupled with falling global lithium-ion cell prices, makes localized assembly and integration a highly lucrative and prioritized segment.

Key Risks to Watch

• Ongoing geopolitical tensions and global container shipping disruptions impacting the procurement of battery electronics.
• Any execution slippages beyond the revised September 30, 2026 commissioning date.
• Short-term working capital strain from high year-end project receivables.

Recent Developments

In an official corporate update on July 15, 2026, Prostarm Info Systems rescheduled the commercial production timeline for its upcoming 1.2 GWh BESS plant at Jhajjar, Haryana, and its Bakrol plant to on or before September 30, 2026. This was followed by the board's approval on August 12, 2026, of Q1 FY27 financial results showing a 150.27% YoY increase in net profit and a ₹43.27 crore fundraise. Previously, in June 2026, the company restructured its operations, moving its lithium battery vertical to Gujarat.

Closing Insight

Despite supply chain friction deferring the commissioning of the Jhajjar plant by a few months, Prostarm's strong financial performance, robust order pipeline, and fresh capitalization point toward highly positive execution readiness in the BESS domain.

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