Waaree Energies reported 24% revenue growth in Q2 FY27, but net profit fell 15% and EBITDA margins narrowed.
Waaree Energies reported a mixed performance for the September quarter, with revenue growing at a healthy pace but profitability coming under pressure.
Shares of Waaree Energies closed at ₹2,272 on the BSE on Tuesday, down ₹48, or 2.07%, ahead of the earnings announcement.
Waaree Energies expands into data centresSeparately, Waaree Energies announced the acquisition of 100% shareholding in Waaree Green Data Centers Private Limited (WGDCPL), formerly known as Sunsantional Energy Private Limited, from its subsidiary Waaree Renewable Technologies Limited.
The transaction also covers WGDCPL's two wholly owned subsidiaries, Aurovault Data Centers Private Limited and Sunstar Data Centers Private Limited.
Waaree Energies reported 24% revenue growth in Q2 FY27, but net profit fell 15% and EBITDA margins narrowed. The company is also expanding beyond solar manufacturing into data centres.
Waaree Energies reported a mixed performance for the September quarter, with revenue growing at a healthy pace but profitability coming under pressure. The renewable energy manufacturer also announced an acquisition linked to its expansion into data centres, as it continues to broaden its business beyond solar modules.
Consolidated net profit declined 14.7% year-on-year to ₹718.68 crore in Q2 FY27, compared with ₹842.5 crore in the corresponding quarter last year. Revenue from operations, however, rose 23.9% to ₹7,518 crore from ₹6,066 crore.
Earnings before interest, taxes, depreciation and amortisation (EBITDA) fell 5% year-on-year to ₹1,336 crore, against ₹1,406 crore a year earlier. EBITDA margin contracted to 18% from 23%, pointing to pressure on operating profitability despite the growth in revenue.
The latest performance follows a strong first quarter, when Waaree Energies reported a 14.1% year-on-year increase in net profit to ₹850 crore. Revenue from operations surged 79% to ₹7,932 crore, compared with ₹4,426 crore in Q1 FY26.
Shares of Waaree Energies closed at ₹2,272 on the BSE on Tuesday, down ₹48, or 2.07%, ahead of the earnings announcement.
Waaree Energies expands into data centres
Separately, Waaree Energies announced the acquisition of 100% shareholding in Waaree Green Data Centers Private Limited (WGDCPL), formerly known as Sunsantional Energy Private Limited, from its subsidiary Waaree Renewable Technologies Limited.
The transaction also covers WGDCPL's two wholly owned subsidiaries, Aurovault Data Centers Private Limited and Sunstar Data Centers Private Limited. The move adds data centre interests to the company's expanding portfolio as it looks to build a broader business around energy infrastructure.
Beyond solar modules
Waaree Energies has been working to expand beyond its core solar module business into batteries, transformers, transmission equipment and upstream manufacturing, aiming to cover more of the renewable energy value chain.
In September, Chairman and Managing Director Hitesh Doshi told CNBC-TV18 that the company was moving from a pure-play solar module business towards a wider manufacturing platform spanning batteries, transmission equipment, transformers and other areas.
The company has also secured shareholder approval for a proposed qualified institutional placement (QIP) of up to ₹10,000 crore. However, it has indicated that it is currently fully funded and would approach the market when additional capital is required.
Waaree has also secured a 2 GW solar module supply order from a large Indian solar developer. The order is expected to be executed over four quarters, with shipments starting in December. The company expects margins on the order to remain in the 15-20% range.
Despite intensifying competition in solar modules, Waaree has said it intends to preserve its premium positioning rather than compete solely on price. The latest results, however, highlight the challenge of sustaining profitability as the business scales and diversifies.
