Waaree Energies Reports 24% Revenue Growth in Q2 FY27
Despite a 24% increase in revenue, Waaree Energies faces a 15% decline in net profit and narrowing margins in its latest quarterly results.
Waaree Energies' Q2 FY27 revenue rose to ₹7,518 crore, up 24%.
Net profit fell to ₹718.68 crore, a 14.7% year-on-year decrease.
The company is expanding into data centers with a recent acquisition.
Waaree Energies has announced a 24% increase in revenue for the second quarter of FY27, reaching ₹7,518 crore. However, the company faced challenges in profitability, with net profit declining by 14.7% to ₹718.68 crore compared to the same quarter last year. This mixed performance highlights the pressures on margins despite the robust revenue growth.
The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) also saw a decline, falling 5% year-on-year to ₹1,336 crore. The EBITDA margin contracted significantly from 23% to 18%, indicating operational challenges that may affect future profitability. This performance comes on the heels of a strong first quarter, where Waaree Energies reported a 14.1% increase in net profit and a substantial revenue surge.
In a strategic move to diversify its business, Waaree Energies has acquired 100% ownership of Waaree Green Data Centers Private Limited, formerly known as Sunsantional Energy Private Limited. This acquisition, which includes two subsidiaries, aims to expand the company's footprint in the data center sector, complementing its core solar module business.
Beyond solar manufacturing, Waaree Energies is actively pursuing opportunities in batteries, transformers, and transmission equipment, seeking to enhance its position within the renewable energy value chain. The company has also received shareholder approval for a qualified institutional placement (QIP) of up to ₹10,000 crore, although it currently reports being fully funded.
Looking ahead, Waaree Energies has secured a significant 2 GW solar module supply order from a major Indian solar developer, with shipments expected to commence in December. The company anticipates maintaining margins on this order between 15-20%. As competition intensifies in the solar market, Waaree aims to uphold its premium positioning while navigating the complexities of profitability in a diversifying business landscape.
