Waaree Renewables Q1 FY27: Revenue Jumps 53% YoY, But Sequentially Slips for the First Time in Five Quarters
Waaree Renewable Technologies Ltd (WRTL), a subsidiary of Waaree Energies that builds large-scale solar, battery storage, and transmission projects for marquee industrial and utility clients, reported its Q1 FY27 results on 22 July 2026. Revenue from operations rose 53.2% year-on-year to ₹924.25 crore, but the 16.2% sequential drop from Q4 FY26 marks the first quarterly decline in five quarters . Profit after tax stood at ₹118.98 crore, up 37.7% YoY yet down 23.6% QoQ, while EBITDA margin held flat at 18.8% — well below the 26.5% peak seen four quarters ago. The company disclosed a consolidated unexecuted order book of ~₹5,300+ crore, split almost evenly between solar-plus‑BESS EPC (₹2,600+ crore) and T&D (₹2,700+ crore through subsidiary APSPL) . Although the order backlog supports strong revenue visibility, the sequential slowdown, compressed margins, and a working‑capital cycle that is already stretching to 57 days add a note of caution about the pace of conversion.
Financial Performance: Solid YoY Growth, But Margins Stabilise Lower
WRTL’s consolidated top line continued to climb on an annual basis, but the trajectory has clearly decelerated. The quarterly snapshot below shows revenue, EBITDA, and PAT over the last six quarters.
Source: — Consolidated quarterly computed figures
Two trends stand out. First, the EBITDA margin that peaked at 26.5% in Q4 FY25 has settled into a tight 18.5–20.5% band over the last five quarters, and PAT margin has dipped from 19.7% to 12.9%. Second, the Q1 FY27 PAT of ₹118.98 crore is lower than the average quarterly PAT of ₹135.5 crore in FY26, despite the large order book. Management has consistently attributed margin fluctuations to project mix — the share of “with‑module” turnkey orders versus pure‑EPC contracts where the customer supplies modules . In Q4 FY26, for instance, roughly 50% of revenue came from module‑inclusive orders, which boosts the reported cost base and can compress margins . In Q1 FY27, the cost of materials consumed ₹705.73 crore, or 76.4% of revenue, broadly in line with the 79% levels seen in the previous two quarters . The company’s internal margin mandate is 15% EBITDA, but actual delivery has been consistently above that floor .
Order Book: ~₹5,300+ Crore Un‑Executed, But Working‑Capital Headroom Is Tight
The un‑executed order book is the headline strength. The investor presentation pegs it at a consolidated ~₹5,300+ crore, comprising ~₹2,600+ crore of solar + BESS EPC and ~₹2,700+ crore of T&D work through the 55%‑owned subsidiary Associated Power Structures Pvt. Ltd (APSPL) . New wins in Q1 FY27 included a 450 MWp ground‑mounted solar project and a 1,520 MWh battery storage EPC project . These are in addition to a 420 MWp solar order won in Q4 FY26 and a 1,000 MWp order in Q2 FY26, underscoring a steady flow of large contracts.
However, conversion of this order book into cash will require careful working‑capital management. As of FY26, the full‑year balance‑sheet picture shows trade receivables had more than doubled to ₹1,172.01 crore. Days sales outstanding stretched to 128.4 days, while days payable outstanding stood at 84.6 days, yielding a cash‑conversion cycle of 56.6 days . Even though the company generated operating cash flow of ₹286.95 crore in FY26, the OCF‑to‑PAT ratio fell to 0.6x from 1.32x in FY25, and free cash flow declined to ₹164.45 crore. Meanwhile, short‑term debt spiked from ₹3.19 crore to ₹63.19 crore, largely to bridge the receivables gap, while long‑term debt remained at ₹18.48 crore .
Management noted in earlier calls that the order book would be executed over 12‑15 months and that all projects are domestic, spread across Rajasthan, Gujarat, Madhya Pradesh, Andhra Pradesh, and Maharashtra . With the Q1 FY27 order book already implying a revenue run‑rate well above the FY26 level, the pace at which receivables are collected will directly influence how many new projects can be taken on without further straining the balance sheet.
Strategy: T&D Integration and IPP Assets as Levers
The presentation reinforces WRTL’s ambition to become a full‑spectrum energy‑transition EPC player. The APSPL acquisition, which closed last year, gives WRTL in‑house manufacturing capacity of 108,000 metric tonnes per year for lattice towers and structures, and adds capabilities in transmission up to 800 kV and substations (AIS & GIS) . The ~₹2,700+ crore T&D order book is already larger than the solar‑plus‑BESS book, diversifying revenue away from pure solar cycles. Management’s stated strategy is to chase both domestic and international EPC and T&D contracts through government and private bidding, with the group’s module‑to‑storage ecosystem acting as a differentiator .
On the IPP front, WRTL has an operational portfolio of 82.82 MWp and is building an additional 198.6 MWp of independent power producer plants . These assets are being funded entirely through internal accruals so far and are expected to commission during FY27, adding a small but steady 20‑25‑year recurring revenue stream . However, management has repeatedly stressed that the core business will remain EPC, and IPP will likely stay a single‑digit percentage of total revenue .
The policy backdrop remains favourable: the government has clocked a ~280 GW solar‑capacity target for FY26 and is eyeing 500 GW of renewable capacity by 2030, supported by solar‑park schemes, PLI for manufacturing, and a ₹4.9 lakh crore T&D capex plan under the National Electricity Plan . This environment keeps the deal‑flow pipeline robust — an estimated 36 GW was being chased as of April 2026 — but the on‑ground challenge for WRTL is to convert order‑book growth into timely, margin‑accretive execution without a material deterioration in receivables. The Q1 FY27 numbers, while strong by any absolute measure, highlight that balancing act.
---