Waaree Renewable Q2 Sales Jump 37% to Rs 1,058 Crore, Profit Slides 30%
Waaree Renewable Technologies Limited (NSE:WAAREERTL) generated Rs 1,057.84 crore in top-line sales during the second quarter of FY27, marking a 36.53% expansion compared to the same three-month frame a year ago. Despite higher sales, quarterly net profit contracted nearly 30% to Rs 81.48 crore from Rs 116.36 crore in the prior-year period. Across the first six months of FY27, total sales surged 43.84% to Rs 1,982.09 crore, while overall earnings fell slightly by 1.14% to Rs 200.44 crore.
Profitability faced notable downward momentum over the quarter. Operating earnings (EBITDA) edged up 1.29% to Rs 159.98 crore, but the company's operating margin narrowed to 15.12% from 20.39% a year earlier. Net profit margin also shrank to 7.70% from 15.02%. Management pointed to debt costs tied to funding acquisitions alongside the integration of newly absorbed units carrying lower profit margins as the key drivers behind the earnings squeeze.
Moving forward, investors will be keeping an eye on project execution and business diversification. The clean energy engineering firm holds over Rs 5,500 crore in backlogged orders. It is expanding into power distribution, data center infrastructure, and battery storage, bolstered by its purchase of Associated Power Structures Pvt Ltd. The business is currently pursuing additional contracts, including bids for 34.6 gigawatt-peak in solar installations, 12.5 gigawatt-hours of battery storage systems, and Rs 21,900 crore in transmission projects.
Key points
- Second-quarter sales grew 36.53% to Rs 1,057.84 crore compared to the same period last year.
- Quarterly net profit dropped nearly 30% to Rs 81.48 crore down from Rs 116.36 crore.
- Higher interest expenses from recent acquisitions and lower-margin business additions reduced profitability.
- The company maintains a backlog of unfulfilled orders worth over Rs 5,500 crore.
- Bidding activities encompass over 34.6 GWp in solar power and 12.5 GWh in battery storage.
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What caused the profit drop at Waaree Renewable Technologies in Q2 FY27?
Net profit dropped nearly 30% to Rs 81.48 crore because financing expenses linked to recent acquisitions and the onboarding of lower-margin business segments reduced overall profit margins.
How much revenue did Waaree Renewable Technologies bring in during Q2 FY27?
The company recorded Rs 1,057.84 crore in quarterly revenue, representing a 36.53% increase compared to the corresponding period in the previous year.
What is the size of Waaree Renewable Technologies order backlog?
The consolidated pending order book stands at more than Rs 5,500 crore, supported by active bids for 34.6 GWp of solar projects, 12.5 GWh in battery storage, and Rs 21,900 crore in power transmission.