Waaree Renewable Technologies Limited — Q3 FY26 earnings call

Call held 16 Jan 2026

Management summary

Waaree Renewable Technologies delivered strong financial performance in Q3 and 9M FY26, driven by robust revenue and profit growth. The company maintains a healthy unexecuted order book of 2.9 gigawatts and is actively pursuing diversification into BESS and Data Center EPC. Despite some Q3 margin contraction and competitive pressures, management expressed confidence in sustaining profitability and growth, supported by a significant order pipeline and strategic IPP generation.

Highlights

  • Revenue from operations for Q3 FY26 grew 136.18% YoY to INR 851.06 crores.

  • EBITDA for Q3 FY26 increased 120.79% YoY to INR 158.80 crores.

  • PAT for Q3 FY26 rose 124.74% YoY to INR 120.19 crores.

  • For 9M FY26, revenue grew 98.81% YoY to INR 2,229.03 crores, and PAT increased 138.92% YoY to INR 322.93 crores.

  • The unexecuted order book of 2.9 gigawatts provides strong revenue visibility for 12-15 months.

Concerns

  • Q3 FY26 EBITDA margin of 18.66% was slightly lower than the previous quarter, though 9M FY26 margin improved YoY.

  • Order book reduced from 3.2 gigawatts to 2.9 gigawatts, partly due to adjustment for a revised order amount.

  • Analysts raised concerns about competitive intensity and potential margin threats from new players and pricing pressures.

Key financials

2 periods

Q3

  • Revenue from Operations
    ₹851.06 Cr
    YoY +136.2%
  • EBITDA
    ₹158.8 Cr
    YoY +120.8%
  • EBITDA Margin
    18.7%
  • PAT
    ₹120.19 Cr
    YoY +124.7%

9M

  • Revenue from Operations
    ₹2,229.03 Cr
    YoY +98.8%
  • EBITDA
    ₹434.28 Cr
    YoY +135.3%
  • PAT
    ₹322.93 Cr
    YoY +138.9%

What they filed

Q1 FY27: revenue up 34.5%, net profit up 31.0% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue524 360 477 603 775 +48%851 +136%1,102 +131%811 +34%
EBITDA72 72 126 118 158 +119%159 +121%207 +64%159 +35%
Net profit54 54 94 87 117 +117%122 +126%157 +67%114 +31%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Order book

high confidence

Total value

2.9 gigawatts

as of 2025-12-31 quantified

Execution

existing 2.9 gigawatt order book executable over next 12 to 15 months

Composition

Mix 2 client types
  • Government 10%
  • Government (value) 22%

Share of order book by client type· partial disclosure (32% of the book)

Pipeline

deal pipeline tcv

Order pipeline of around 29 gigawatts, including 5-6 gigawatts of tenders

Cancellations & deferrals

  • renegotiated: Order book adjusted for revised amount on one order
The order book remains healthy, providing clear visibility for upcoming quarters, with continuous order inflow and a strong pipeline.

Source: Prepared remarks

Capital allocation

medium confidence
  • Debt Debt disclosed
    So, working capital also, just to tell you that as of now, we have not availed any kind of fund-based working capital from the banks. So that gives you some sense on this. And we are operating with a non-fund-based limit.
  • Liquidity Liquidity disclosed Company operates without fund-based working capital from banks, utilizing available cash flow for IPP projects.
    So, working capital also, just to tell you that as of now, we have not availed any kind of fund-based working capital from the banks. So that gives you some sense on this. And we are operating with a non-fund-based limit. So that is the -- like we are not using any kind of fund-based limit that will give you a sense of the operating cycle of this company. So mostly, our receivables are in line with our expectations. We are getting money from our receivables also. And maybe using this credit period, et cetera, we are operating this company.

Guidance & targets

Profitability

  • EBITDA Margin Profitability · going forward · Medium confidence around 15%
    But we have always guided that our margin -- EBITDA margin should be over and above 15%, close to that.

    — Manmohan Sharma

Order Book

  • Execution Timeline for 2.9 GW Order Book · next few quarters · High confidence 12-15 months
    So, execution timeline for the existing 2.9 gigawatt is around 12 to 15 months actually. So, this will get executed in the next few quarters.

    — Manmohan Sharma

Capacity

  • 500 GW Renewable Target Achievement Capacity · by 2029 · Medium confidence by 2028 or '29

    Previously by 2030 → by 2028 or '29

    Maybe it could be because that is kind of the demand is there because a lot of industries are there, a lot of people need green energy. So, all this factors putting together, it should -- it can be a possibility.

    — Manmohan Sharma

Business Mix

  • Revenue Stream Focus Business Mix · going forward · High confidence more in solar EPC plus BESS EPC
    So, this will continue -- actually going forward also, we will be more in the EPC, maybe this solar EPC plus BESS EPC.

    — Manmohan Sharma

IPP Projects

  • 120 MW IPP Commissioning IPP Projects · March and next FY · High confidence some during March, some next financial year
    So, this some of them will get added during March and some of them are planned for the next financial year.

    — Manmohan Sharma

What to watch in Q4 FY26

Order Book Execution Velocity

next quarter
Current 2.9 GW order book
Target Progress towards 12-15 month execution timeline

Why it matters

To ensure revenue conversion from the strong order book and maintain execution pace.

So, execution timeline for the existing 2.9 gigawatt is around 12 to 15 months actually. So, this will get executed in the next few quarters.

Risks & concerns

  • Margin pressure from competitive intensity

    medium

    Analysts questioned sustainability of margins given new entrants and pricing pressures. Management asserted ability to maintain margins through execution efficiency.

    Analyst acknowledged

  • Rising BESS cell prices due to Chinese actions

    medium

    Analyst raised concerns about price volatility for BESS cells. Management stated that for turnkey orders, costs are locked in at prevailing prices and orders placed immediately to mitigate risk.

    Analyst acknowledged

  • Order book execution and inflow slowdown

    low

    Analyst noted a slowdown in Q3 execution and inflow. Management clarified it's a continuous process with quarterly variations, and 9M performance is strong.

    Analyst downplayed

Q&A highlights

7 direct
Execution per megawatt and realization with module supply Partial
So, you rightly said that our total order includes turnkey order also. During the quarter, there is an execution of the order, which includes module also. So, this is difficult to give you any number as of now out of this mix, how much is contributed by that supplied module, et cetera.

Analyst questioned the higher realization per megawatt, suggesting module supply, which management confirmed is part of some orders but couldn't quantify the exact contribution.

Asked by Deepak Krishnan

Order book reduction from 3.2 GW to 2.9 GW Direct
This particular quarter, I think the absolute addition has been slightly lower because of the one order where we have adjusted for the revised amount. Is that the right way to look at it?

Clarified the reason for the sequential dip in the order book, indicating it was partly due to an adjustment rather than a lack of new orders.

Asked by Deepak Krishnan

BESS/Data Center EPC strategy and margin profile Direct
The margin profile will remain the same, whether it is BESS or solar, we do business whenever it suits our risk reward metrics. So that kind of EBITDA we are looking and that should be there in the BESS as well.

Management confirmed active pursuit of BESS/Data Center EPC and stated that these new segments are expected to maintain similar margin profiles as their core solar EPC business.

Asked by Deepak Krishnan

EBITDA margin contraction in Q3 vs 9M improvement Direct
So, this has significantly improved over a period of 9 months. And for this particular case, it's slightly lower than what is of previous quarter. So, it is all in line with our budget and estimates.

Addressed analyst concern about Q3 margin dip by contextualizing it within the overall 9M improvement and stating it was within budget.

Asked by Sahil Sheth

Competitive intensity and margin threats from new players Direct
No. See, as far as my current order book is concerned, we have around megawatt term, it is around less than 10% of the total order book in the value, it could be around 20%, 22%. But this is one question you have asked. And as long as the new player is entering, so there will be always competition in the industry. So, because of our execution capability, timely delivering of the project, this will be edge on us to get orders actually.

Management acknowledged competition but highlighted their execution capabilities and timely delivery as key differentiators to maintain market position and margins.

Asked by Sarang Joglekar

EPC margins vs company's reported margins Direct
So, margin -- majority of the margin is coming from the EPC segment only. That is all because of like we are executing large-scale projects in different geography within the time -- completion time, budgetary and monitoring control and financial discipline. These are the few key parameters actually on which we operate. And that is all we are actually able to capitalize all these areas and translate into margin improvement.

Management explained how they achieve higher-than-industry-average EPC margins through operational efficiency, project management, and financial discipline.

Asked by Raman KV

Order book execution and inflow slowdown Direct
No, no. Actually, if you see that over a period of 9 months, we have got more or less the same amount of order which we have executed. So, it is not like that there is any kind of slowdown. There may be sometimes you may get some more orders, maybe some quarter you may get less order also. So, if you observe closely that whatever order book we had during the 9 months, whatever execution we had, that amount of order we have already added in our order book.

Addressed concerns about a perceived slowdown by clarifying that execution and inflow are continuous processes with quarterly variations, and the overall 9M performance is strong.

Asked by Raman KV

Rationale for IPP entry and impact of fog on revenues Direct
The Waaree RTL IPP business, as I mentioned that it will keep on adding this power project based on the requirement and based on the financials of the company. So that will keep on adding.

Management reiterated the strategic importance of IPP for continuous revenue streams and clarified that IPP projects are added based on financial viability, without directly addressing the fog impact.

Asked by Hardik Sharda

2 min read 6 chapters

Detailed narrative

Strong Financial Performance in Q3 & 9M FY26

Waaree Renewable Technologies reported robust financial results for Q3 FY26, with revenue from operations growing 136.18% YoY to INR 851.06 crores. EBITDA increased 120.79% YoY to INR 158.80 crores, achieving an EBITDA margin of 18.66%. For the nine months ended December 31, 2025, total revenue from operations surged 98.81% YoY to INR 2,229.03 crores, and PAT grew 138.92% YoY to INR 322.93 crores, reflecting consistent performance and strong operating leverage.

Healthy Order Book and Execution Highlights

The company's unexecuted order book stands at 2.9 gigawatts, providing clear revenue visibility for the next 12-15 months. In the first nine months of FY26, Waaree executed 2,230 megawatt peak of EPC projects, demonstrating strong execution capabilities. The O&M portfolio also expanded to approximately 1,180 megawatt peak as of December 2025, contributing to recurring revenue streams. The order book saw a slight adjustment from 3.2 GW to 2.9 GW due to a revised order amount.

Strategic Diversification into BESS and Data Center EPC

Waaree is actively pursuing opportunities in Battery Energy Storage Systems (BESS) and Data Center EPC, identifying them as key growth drivers. The company is already executing a small BESS order of 45 megawatt hours and expects the margin profile for these new segments to be similar to its core solar EPC business. This diversification aligns with the growing need for grid stability and reliable peak power supply in the evolving renewable energy landscape.

Industry Outlook and Accelerated Renewable Targets

India's renewable energy transition continues to accelerate, with non-fossil fuel capacity exceeding 265 gigawatts and cumulative solar capacity over 135 gigawatts as of December 2025. Management believes the national target of 500 gigawatts by 2030 could be achieved earlier, potentially by 2028 or 2029, driven by strong demand and government initiatives like PM Surya Ghar Muft Bijli Yojana. The company is well-positioned to capitalize on this growth with its integrated expertise.

Margin Management and Competitive Landscape

Despite competitive intensity and new market entrants, Waaree aims to maintain an EBITDA margin of around 15% going forward. Management attributes its ability to achieve higher-than-industry-average EPC margins to efficient execution of large-scale projects, timely delivery, budgetary control, and financial discipline. The company participates in tenders that align with its risk-reward metrics and profitability guidelines.

Robust Order Pipeline and Future Growth Prospects

Beyond the firm order book, Waaree maintains a significant order pipeline of approximately 29 gigawatts, including 5-6 gigawatts in live tenders. This pipeline encompasses various project types, including BESS, from both government and private sectors. The company expects to convert a good portion of this pipeline into firm orders in the coming quarters, ensuring sustained growth and market leadership.

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