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    Waaree Renewable Technologies Limited

    WAAREERTL
    Capital Goods·13 Oct 2025
    Management Summary

    Waaree Renewable Technologies reported its highest-ever quarterly revenue and PAT in Q2 FY26, with revenue growing 47.73% YoY to Rs. 774.78 crores and PAT increasing 117.40% YoY to Rs. 116.34 crores. EBITDA margin expanded significantly to 20.39%. The unexecuted order book stands at 3.48 GWp, providing strong revenue visibility for the next 12-15 months. The company is also expanding into IPP projects and actively exploring EPC opportunities in the BESS and data center segments, while maintaining a focus on operational efficiency.

    Highlights

    5

    • Revenue from operations in Q2 FY26 grew 47.73% YoY to Rs. 774.78 crores, marking the highest-ever quarterly revenue.

    • EBITDA in Q2 FY26 increased 120.69% YoY to Rs. 157.94 crores, with EBITDA margin expanding to 20.39% from 13.65% in the prior year.

    • PAT in Q2 FY26 reached Rs. 116.34 crores, a 117.40% increase YoY, representing the highest-ever quarterly PAT.

    • H1 FY26 revenue from operations grew 81.12% YoY to Rs. 1,377.97 crores, and PAT increased 148.21% YoY to Rs. 202.73 crores.

    • The unexecuted order book stands at a robust 3.48 GWp, providing solid revenue visibility for the next 12 to 15 months, primarily from domestic ground-mounted EPC projects.

    Concerns

    1

    • Cash flow from operating activities remained flat at Rs. 84 crores in H1 FY26.

    Key financials

    Metrics

    7

    Periods

    2

    Q2 FY26

    4
    • Revenue from Operations
      ₹774.78 Cr
      YoY+47.7%
    • EBITDA
      ₹157.94 Cr
      YoY+120.7%
    • EBITDA Margin
      20.4%
    • PAT
      ₹116.34 Cr
      YoY+117.4%

    H1 FY26

    3
    • Revenue from Operations
      ₹1,377.97 Cr
      YoY+81.1%
    • PAT
      ₹202.73 Cr
      YoY+148.2%
    • Cash Flow from Operating Activities
      ₹84 Cr

    Order Book

    high confidence

    Total Value

    ₹ 3.48 GWp

    as of 2025-09-30

    quantified

    Execution

    likely to be executed over next 12 to 15 months

    Composition

    Domestic(geography)
    ₹ 3.48 GWp100.0%
    Ground Mounted EPC(project type)

    Pipeline

    deal pipeline tcv

    Total pipeline including government tenders, private C&I and IPP customers

    "The unexecuted order book of 3.48 GWp provides solid visibility for the upcoming quarters, with H1 FY26 execution of 1,621 MWp exceeding full-year FY25 execution."

    Source:
    Prepared remarks

    Capital allocation

    3
    medium confidence
    CategoryHeadline
    Capex

    Capex disclosed

    Debt

    Gross ₹20 crores

    M&A

    Cooling business company

    acquisition · closed

    Guidance & targets

    4
    CategoryTargetPriority
    Margin
    EBITDA Margin
    around 15%
    		High
    Capacity
    India's Non-Fossil Fuel Capacity
    500 GW
    		High
    Capacity
    Annual Renewable Energy Addition
    40 GW to 50 GW
    		High
    Capacity
    PM Surya Ghar Muft Bijli Yojana and PM Kusum Yojana Target
    34.8 GW
    		High

    Improvement in Cash Flow from Operating Activities

    H2 FY26
    CurrentRs. 84 crores (flat in H1 FY26)
    TargetImprovement in H2 FY26

    Why it matters

    Essential for funding operations and growth, especially with increasing order execution and working capital needs.

    Definitely, with the more and more orders which are going to execute in the next H2, this position is going to improve going forward⏳.

    How to verify

    key_financials.metrics[label='Cash Flow from Operating Activities']

    Risks & concerns

    3
    RiskSeverity

    Potential delays in module procurement due to ALMM List 2 implementation

    Management stated that for their pure EPC orders, module procurement is typically the developer's responsibility, and they execute once clearances are in place, thus minimizing direct impact. — Analyst downplayed

    low

    Competition leading to pricing pressure and lower margins

    Management acknowledged competition but emphasized their selective approach to order booking, only taking projects that meet their budgetary and risk-reward metrics to ensure profitability. — Analyst acknowledged

    low

    Evacuation and connectivity issues affecting project execution

    Management stated that for their current orders, they have not encountered such issues, and if they arise, they are typically within the customer's scope. — Analyst downplayed

    low

    Q&A highlights

    8

    “The margin where we are comfortable is around 15%. But with the operational efficiency, tight budgeting control, monitoring all projects in real-time basis, we are able to get this kind of margin. So, with the available order book, whatever we have, we expect that margin will remain in the range of more than 15%.”

    Clarifies management's long-term margin expectations versus current elevated levels and the drivers behind them.

    asked by Aritra Banerjee

    2 min read6 chapters

    Detailed Narrative

    01

    Strong Financial Performance in Q2 & H1 FY26

    Waaree Renewable Technologies reported its highest-ever quarterly revenue and PAT in Q2 FY26. Revenue from operations grew 47.73% YoY to Rs. 774.78 crores, while PAT surged 117.40% YoY to Rs. 116.34 crores. The EBITDA margin significantly expanded to 20.39% in Q2 FY26, up from 13.65% in the prior year, driven by operational efficiency and tight budgeting. For H1 FY26, total revenue reached Rs. 1,377.97 crores, an 81.12% YoY increase, with PAT growing 148.21% YoY to Rs. 202.73 crores.

    02

    Robust Order Book and Execution Visibility

    The company maintains a healthy unexecuted order book of 3.48 GWp, providing strong revenue visibility for the next 12 to 15 months. In H1 FY26, Waaree executed 1,621 MWp of EPC projects, which even exceeded its full-year execution for FY25. The entire order book is domestic, predominantly comprising ground-mounted EPC projects, with an estimated realization ranging from Rs. 0.8 crore to Rs. 1.3 crore per MWp depending on the scope of work.

    03

    Expanding IPP Portfolio and Strategic Investments

    Waaree Renewable Technologies is expanding its Independent Power Producer (IPP) portfolio, with the board approving an additional 14 MWp across two projects in Maharashtra and 37 MWp in Rajasthan. These projects will add to the existing 54 MWp IPP assets and are slated for execution in H2 FY26 or slightly later. The company also acquired a ~3% stake in a cooling business, identifying synergy for solar installation opportunities and potential cross-selling of EPC services.

    04

    Diversification into BESS and Data Center EPC

    The company is actively pursuing EPC opportunities in Battery Energy Storage Systems (BESS), having already secured a 40 MWh BESS order. Management views BESS as a critical component for grid stability and solar integration, expecting significant future demand for EPC services in this segment. Additionally, Waaree is exploring EPC opportunities in the data center sector, engaging in bilateral discussions to capitalize on the anticipated 1 GW growth in Indian data centers over the next four to five years.

    05

    Favorable Policy Environment and Market Outlook

    India's renewable energy sector continues its rapid growth, with non-fossil fuel capacity exceeding 250 GW towards the 2030 target of 500 GW. The recent GST reduction on solar modules from 12% to 5% is expected to further boost investment and drive EPC demand. Management anticipates annual renewable energy additions of 40-50 GW, with solar playing a major role, and believes the company is well-positioned to leverage this growth, with a total pipeline of around 27 GWp.

    06

    Operational Efficiency and Margin Management

    The company's EBITDA margin for Q2 FY26 reached 20.39%, significantly higher than the 13.65% in the prior year, primarily due to operational efficiency and tight budgetary controls. While management is comfortable with a sustainable margin of 'around 15%' for the full FY26, they continuously strive to improve this through timely execution and cost management. The company maintains a strict approach to order selection, only undertaking projects that align with its risk-reward metrics.

    This is an AI-generated summary of a publicly available earnings call transcript. It is for informational purposes only and does not constitute investment advice, a recommendation, or an endorsement. inve.money is not a SEBI-registered investment advisor. Please consult a qualified financial advisor before making any investment decisions.