Did Sterling & Wilson Renewable Just Report a Rs 473 Crore Loss?
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Synopsis
In a surprising turn of events, Sterling & Wilson Renewable Energy Limited faces a significant financial setback, reporting a staggering Rs 473 crore loss in Q2 FY26. Despite the loss, revenue has sharply increased. What does this mean for stakeholders? Discover the implications and future outlook for this key player in renewable energy.
Key Takeaways
- Sterling & Wilson reported a quarterly loss of Rs 473 crore.
- Revenue increased by 70% year-on-year to Rs 1,748 crore.
- EBITDA fell by 79% to Rs 3.7 crore.
- Shares dipped by 7.1% following the announcement.
- The company operates in 28 countries.
Mumbai, Oct 17 (NationPress) Sterling & Wilson Renewable Energy Limited disclosed disappointing results for its latest quarter, revealing a net loss of Rs 473 crore for the second quarter of the ongoing financial year (Q2 FY26). This marks a stark contrast to the net profit of Rs 7 crore reported during the same quarter last year (Q2 FY25).
Despite this loss, revenue surged by nearly 70 percent year-on-year (YoY) to reach Rs 1,748 crore, according to the company's filing with the stock exchange.
However, earnings before interest, tax, depreciation, and amortization (EBITDA) declined sharply by around 79 percent to Rs 3.7 crore, and the EBITDA margin fell from 1.7 percent in the previous year to just 0.2 percent this quarter.
In the wake of this announcement, the company's shares experienced a significant drop. At one point, the stock price fell by as much as 7 percent, trading 7.1 percent lower at Rs 225.83, which represents a significant year-to-date (YTD) decline of 51 percent.
Sterling & Wilson Renewable Energy specializes in solar engineering, procurement, and construction (EPC) as well as operations and maintenance (O&M) services for renewable energy projects.
The firm offers comprehensive solutions to independent power producers and developers, boasting a presence in 28 countries.
Initially a part of Sterling and Wilson Private Limited, the company commenced its solar operations in 2011 and was demerged in 2017 to concentrate on renewable energy.
Over time, the company has broadened its offerings to include hybrid energy and energy storage solutions.
Its EPC division manages everything from the design and engineering to the commissioning of utility-scale solar projects, while its O&M services extend to both its own projects and those of third parties.
Sterling & Wilson follows an asset-light model, granting it flexibility and scalability in various global markets.
Point of View
It is crucial to acknowledge both the challenges and potential of Sterling & Wilson Renewable Energy. While the reported loss raises concerns, the significant revenue growth indicates a shift in market dynamics. Stakeholders should closely monitor future strategies and market responses to this downturn to better understand the company's trajectory in the renewable energy landscape.
NationPress
19/10/2025
Frequently Asked Questions
What led to Sterling & Wilson's Rs 473 crore loss?
The loss can be attributed to a sharp decline in EBITDA alongside increased operational costs, despite a significant rise in revenue.
How has the stock market reacted to the company's quarterly results?
Following the announcement, shares of Sterling & Wilson dropped significantly, with a decline of 7.1 percent, marking a year-to-date fall of 51 percent.
What services does Sterling & Wilson offer?
The company specializes in solar engineering, procurement, construction (EPC), and operations and maintenance (O&M) services for renewable energy projects.
How many countries does Sterling & Wilson operate in?
Sterling & Wilson Renewable Energy has a presence in 28 countries worldwide.
When was Sterling & Wilson demerged from its parent company?
The company was demerged from Sterling and Wilson Private Limited in 2017 to focus on renewable energy.
