Orient Green Power reported a strategically significant Q3 FY26 with the commissioning of its first 7 MW solar project and securing 34 MW of new capacity for early FY27. The company's debt rating was upgraded to BBB, contributing to a 54% YoY net profit growth for 9M FY26. However, Q3 performance was impacted by seasonal low wind, leading to a loss before exceptional items, and the long-term 1 GW capacity target remains a work in progress.
vs Q4 FY26
| Metric | Value | YoY |
|---|---|---|
| Total Income (Q3) | ₹40.06 Cr | — |
| EBITDA (Q3) | ₹17.07 Cr | — |
| Loss before exceptional items (Q3) | ₹18.16 Cr | -17.0% YoY |
| Total Income (9M) | ₹268.95 Cr | +16.0% YoY |
| EBITDA (9M) | ₹187.3 Cr | +14.0% YoY |
| Net Profit (9M) | ₹88.13 Cr | +54.0% YoY |
Total Value
34 MW
as of 2025-12-31
Inflow this qtr
34 MW
Execution
28 MW by April-May 2026, 6 MW by June 2026
Composition
"The company has secured 34 MW of new capacity, comprising 28 MW of Greenfield solar and wind, and 6 MW of wind repowering, all targeted for commissioning by Q1 FY27."
| Category | Headline | |
|---|---|---|
Capex | ₹240 crores | |
Debt | Net ₹507 crores Cost 9.2% |
| Category | Target | Priority |
|---|---|---|
| Capacity | Greenfield Solar Capacity Commissioning→18 MW | High |
| Capacity | Greenfield Wind Capacity Commissioning→10 MW | High |
| Capacity | Wind Repowering Capacity Commissioning→6 MW | High |
| Capacity | 1 GW Capacity Target→1 GW | Low |
| Capacity | Further Repowering Action→35 MW (balance) | Medium |
| Profitability | EBITDA from New Capacity→Rs. 36 crores | High |
| Profitability | PBT from New Capacity→Rs. 10 crores | High |
| Debt | Debt Increase for New Wind Capacity→Rs. 120 crores | High |
| # | Metric | |
|---|---|---|
| 01 | 1 GW Capacity Roadmap Update | |
| 02 | Commissioning of 28 MW Greenfield Capacity | |
| 03 | Commissioning of 6 MW Repowered Capacity | |
| 04 | FY27 CAPEX Plan and Funding Strategy | |
| 05 | Further Repowering Initiatives on 35 MW Old Assets |
| Severity | Risk |
|---|---|
medium | Seasonality of Wind Power Generation The company's performance is heavily influenced by seasonal wind patterns, with Q3 and Q4 typically experiencing lower generation, leading to subdued financial results in those quarters. Management |
medium | Dependence on Weather Conditions Overall performance is dependent on unpredictable weather conditions, particularly monsoon and wind patterns, which are beyond the company's control. Management |
low | Complexity and Selectivity of Repowering Older Assets Repowering older wind assets is a case-by-case decision, not all 45 MW of eligible capacity will be replaced due to site-specific constraints and the need for acceptable internal rates of return (IRR). Management |
low | Timeline for Achieving 1 GW Capacity Target Achieving the ambitious 1 GW capacity target through organic acquisition will take a significant amount of time, with management still in early-stage conversations. Management |
Orient Green Power has made significant strides in expanding and diversifying its capacity. The company successfully commissioned its first 7 MW solar power project in Q3 FY26. Additionally, contracts were closed for 28 MW of new Greenfield capacity, comprising 18 MW of solar and 10 MW of wind, alongside a 6 MW wind repowering project. These 34 MW of new capacity are targeted for commissioning by April-May and June 2026, respectively, and are expected to add Rs. 36 crores to EBITDA per annum.
The company demonstrated robust financial performance for the nine months ended Q3 FY26. Total income increased by 16% year-on-year to Rs. 268.95 crores, while EBITDA rose by 14% year-on-year to Rs. 187.3 crores. Net profit saw a substantial growth of nearly 54% year-on-year, reaching Rs. 88.13 crores. This improved profitability was primarily driven by favorable wind patterns, better machine availability, and a significant decline in finance costs of over 20%.
Q3 FY26 saw total income at Rs. 40.06 crores and EBITDA at Rs. 17.07 crores, broadly in line with the previous year's corresponding quarter. However, the company reported a loss before exceptional item📎s of Rs. 18.16 crores, an improvement of 17% compared to Rs. 21.81 crores in Q3 FY25. Management attributed the subdued Q3 performance to the seasonal nature of wind power, with lower generation typically experienced in the second half of the fiscal year.
Orient Green Power's debt profile saw positive developments with the bulk of its debt upgraded to BBB, which is anticipated to further optimize borrowing costs. The current total debt stands at Rs. 507 crores with a blended interest cost of 9.15% post refinancing. The company expects to draw down approximately Rs. 120 crores of debt in the next quarter to fund the new wind capacity, and is exploring fundraising possibilities for its FY27 CAPEX plans.
The newly approved Tamil Nadu Repowering Policy is a significant milestone, with Orient Green Power being the first to commission under it. The policy allows for relaxed spacing norms between turbines, enabling more efficient land use. The 6 MW repowering project is expected to increase the Plant Load Factor (PLF) from low single digits (6-7%) to over 30%, contributing Rs. 7-7.5 crores in EBITDA. The company is evaluating the remaining 35 MW of its 45 MW older assets for future repowering based on economic viability and site suitability.
The company maintains its long-term ambition to become a 1 GW size company. While 34 MW of new capacity is underway, achieving the 1 GW target through organic acquisition is acknowledged to be a time-consuming process. Management is in discussions regarding this target and expects to provide further updates in the next couple of quarters. The focus remains on deploying higher capacity turbines, expanding solar capacity, and developing hybrid wind-solar projects to build a more balanced portfolio.