Waaree Renewable Technologies Q2 FY27 profit drops 29% despite 36.5% revenue surge
Synopsis
Waaree Renewable Technologies posted a rare revenue-profit divergence in Q2 FY27 — revenue up 36.5% but net profit down 29% — as acquisition costs and a higher-expense business mix squeezed margins. With an order book above ₹5,500 crore and a bidding pipeline spanning 34.6 GWp of solar and ₹21,900 crore in T&D projects, the real question is how quickly the company can turn scale into sustainable profitability.
Key Takeaways
Waaree Renewable Technologies reported Q2 FY27 net profit of ₹81.48 crore , down 29 per cent year-on-year from ₹116.36 crore .
Revenue from operations rose 36.5 per cent to ₹1,057.84 crore , up from ₹774.78 crore in Q2 FY26.
Total expenses surged to ₹961.66 crore versus ₹622.63 crore in the year-ago period.
Unexecuted order book stands at more than ₹5,500 crore , providing near-term revenue visibility.
Bidding pipeline includes 34.6 GWp of solar projects, 12.5 GWh in BESS opportunities, and T&D projects worth over ₹21,900 crore .
Acquisition of APSPL added financing costs and a lower-margin business mix, affecting near-term profitability.
Waaree Renewable Technologies Limited on Monday, 19 October 2026, reported a 29-per cent year-on-year decline in consolidated net profit for the quarter ended 30 September 2026 (Q2 FY27), as sharply higher expenses offset strong top-line growth. The earnings divergence — robust revenue alongside a compressed bottom line — underscores the cost pressures that followed the company's recent acquisition and business expansion.
Profit and Revenue Breakdown
Consolidated net profit fell to ₹81.48 crore in Q2 FY27, down from ₹116.36 crore in the year-ago quarter (Q2 FY26), according to an exchange filing. Revenue from operations, however, climbed 36.5 per cent year-on-year to ₹1,057.84 crore from ₹774.78 crore, supported by ongoing execution of renewable energy projects and expansion into new business segments.
Total expenses surged to ₹961.66 crore during the quarter, compared with ₹622.63 crore in the same period last year — a jump that effectively neutralised the gains on the revenue side.
What CFO Manmohan Sharma Said
Chief Financial Officer Manmohan Sharma attributed the quarter's top-line growth to steady project execution, timely delivery, and expanding capabilities across the renewable energy value chain and the transmission and distribution (T&D) segment. He acknowledged that acquisition-related financing costs and the integration of businesses carrying a different margin profile had weighed on near-term profitability. Sharma said the company remains focused on 'creating long-term value through scale expansion, diversified capabilities and operational efficiencies.'
Order Book and Bidding Pipeline
Despite the profit dip, Waaree Renewable Technologies reported an unexecuted order book of more than ₹5,500 crore, providing forward revenue visibility. The company also highlighted a bidding pipeline comprising more than 34.6 GWp of solar projects, over 12.5 GWh of battery energy storage system (BESS) opportunities, and T&D projects worth more than ₹21,900 crore — signalling that demand for its services remains strong even as margins face near-term pressure.
Strategic Acquisition and Its Impact
The company pointed to its strategic acquisition of APSPL as a key development in the quarter, noting that it strengthened Waaree Renewable's presence across the transmission and distribution infrastructure value chain. Notably, such acquisitions often dilute short-term margins as integration and financing costs kick in before synergies materialise — a dynamic the management acknowledged openly. According to the company, ongoing expansion and integration efforts are expected to lay the groundwork for its next phase of growth.
With a pipeline exceeding ₹21,900 crore in T&D projects alone and the renewable energy sector in India continuing to scale rapidly, the pressure is now on Waaree Renewable Technologies to demonstrate that its cost base can be rationalised as the acquired businesses mature.
Point of View
Costs outrunning it, and management leaning on the pipeline story to reassure investors. The honest question is how long that pipeline remains a credibility buffer before analysts start demanding margin recovery timelines. India's renewable energy build-out is real and enormous, but the EPC and T&D segments are inherently low-margin, and adding APSPL — a business with a 'different margin profile,' per the CFO's own admission — makes the path to earnings recovery less linear than the order book headline suggests. Investors should watch the cost-to-revenue ratio closely over the next two quarters rather than the order book alone.
NationPress
19 Oct 2026
Frequently Asked Questions
What were Waaree Renewable Technologies' Q2 FY27 results?
Waaree Renewable Technologies reported a net profit of ₹81.48 crore in Q2 FY27 (quarter ended 30 September 2026), a decline of over 29 per cent from ₹116.36 crore in Q2 FY26. Revenue from operations rose 36.5 per cent to ₹1,057.84 crore over the same period.
Why did Waaree Renewable's profit fall despite higher revenue?
The profit decline was driven by a sharp rise in total expenses to ₹961.66 crore from ₹622.63 crore a year earlier. The company said acquisition-related financing costs and the integration of businesses with a lower margin profile — including the recently acquired APSPL — weighed on near-term profitability.
What is Waaree Renewable Technologies' current order book?
The company's consolidated unexecuted order book stood at more than ₹5,500 crore as of Q2 FY27, providing revenue visibility for the coming quarters. Its bidding pipeline additionally includes over 34.6 GWp of solar projects and T&D projects worth more than ₹21,900 crore.
What is APSPL and why did Waaree Renewable acquire it?
APSPL is a company whose acquisition was highlighted by Waaree Renewable as a strategic move to strengthen its presence across the transmission and distribution infrastructure value chain. Management acknowledged the acquisition added financing costs in the near term but expects it to support long-term value creation.
What is the outlook for Waaree Renewable Technologies after Q2 FY27?
The company has indicated that its ongoing expansion and integration efforts are expected to form a strong foundation for its next growth phase. However, cost rationalisation and margin recovery will be key metrics to watch over the next two to three quarters, given the elevated expense base.
