Consolidated order book as of Q4 FY26 stands at INR5,369 crores
Comprises approximately INR4,000 crores of new projects and INR1,369 crores of legacy orders
Legacy orders are joint control contracts with lower margins, expected to be fully executed over next 2-3 years
Legacy projects provide defended margins with no execution or cash flow liability for the company
New orders meet selection criteria of higher margins, price protection, no complexity, and full funding
Company secured over INR4,280 crores (including JV share) in new project orders since FY25
BESS Business Expansion
Recently awarded largest BESS order from NTPC worth INR1,128 crores
Energy Vault providing technical handholding and support for NTPC project
2.5 GW BESS assembly line manufacturing facility at Supa MIDC Pune expected to commence operations by end-June 2026
Capacity planned to expand to 5 GW along with production of 600 containerized BESS units by end-2026
BESS market projected to grow from $2 billion in 2026 to $8.6 billion by 2031 at 33% CAGR
Central Electricity Authority estimates India will require 236 GW of BESS capacity by 2031-32
Project Milestones
Significant milestone achievement at Kekri Water Supply Project in Rajasthan
Company focusing on execution rather than order book building, remaining selective in order selection
Financial Performance
Q4 FY26 Results
Revenue: INR293.9 crores, up 53% YoY and 27% QoQ
EBITDA: INR25 crores with margin of 8.4%
PAT: INR28 crores, increased 140% YoY
Q4 EBITDA margin affected by one-time increase in legal/consultancy costs for arbitration matters, non-cash regulatory provision for expected credit loss (Ind AS requirement), and bank limit mobilization costs
Tax reversal during the year mainly due to recognition of tax benefit from accumulated income tax losses
Increase in other income primarily attributed to write-back of certain operating liabilities
Full Year FY26 Performance
Revenue: INR868 crores, grew 13% YoY
EBITDA: INR86 crores, increased 37% with margin of 9.7%
PAT: INR76 crores, rose 55% YoY
Company met guidance on order acquisition, profitability, EBITDA and PAT margins
Turnover shortfall attributed to disciplined approach of calibrating execution pace to fund availability, constrained in March due to West Asia war impact
Balance Sheet and Cash Flow
Trade receivables increased from INR299.55 crores to INR417.50 crores
Includes debtors of INR137 crores from back-to-back contracts with similar liabilities
INR186 crores represents normal debtors expected to realize in normal cycle
Working capital managed through escrow mechanism with minimal company fund utilization
Creditors increased simultaneously and will be paid from customer realizations
Increase in other current assets mainly due to inventories as per Ind AS provision
Fundraising and Liquidity
Company raised INR476 crores since May 2024, with promoter contribution of INR313.5 crores (over and above INR112.5 crores during difficult time)
Fundraising supports BESS capex up to 5 GW, container facility (600 containers/year), and working capital requirements
Sufficient liquidity built up to support current operations and projected growth
Debt-to-equity ratio at 0.4x
Net debt-to-EBITDA improved to 4.41
ROE improved to 8%
NARCL Settlement
Total outstanding balance with NARCL, inclusive of interest as on 31st March: INR380 crores against agreed INR700 crores
Includes prepayment of INR48 crores against 2027-28 dues
Company plans to pay minimum INR45 crores in current financial year, making 2027-28 liability almost negligible
Total cumulative payment made to NARCL in last 3 years: INR319 crores against agreed payment of INR271 crores
Arbitration awards received since NARCL resolution: INR312 crores
Additional arbitration award of approximately INR627 crores as of April 2026
Additional arbitration claims of approximately INR4,526 crores
Company in comfortable position with sufficient arbitration visibility to repay entire NARCL dues
Banking Facilities
Lender enhanced credit limit to INR505 crores
Considering further enhancement based on company needs
Availing surety bond option from leading insurance companies instead of BG limits
Overall surety bond exposure: INR305 crores as on date at favorable terms
Guidance and Outlook
FY27 Projections
Targeting more than 25% growth in both top line and bottom line
Expecting healthy billing of new projects as design approvals completed for most new projects
Expect growth momentum to continue in subsequent years
Management to review outlook and provide updated guidance during annual earnings conference call
Business Mix Evolution
Currently 85-90% revenue from water segment
Targeting 50:50 mix between water and power (including BESS) by 2029-30
BESS segment expected to contribute significantly to future growth
Market Opportunities
Union Budget FY27 allocated INR12.2 lakh crores in capital expenditure
INR67,670 crores allocated to Jal Jeevan Mission, restructured as Jal Jeevan Mission 2.0 with total outlay of INR8.69 lakh crores
INR1,09,029 crores allocated to energy sector
Over 92 GW of BESS projects in pipeline with 69 new tenders totaling 102 GW floated in last year
Grid-scale storage capacity projected to grow from under 200 MW in 2025 to nearly 5 GW by end-2026
Risk Factors
All new contracts include price variation clause covering risks from West Asia war impact
Company focused on selecting business based on fund availability, profitability, ease of operations, and supplier support
Labor Code implementation already accounted for in cost structure
