Shares of Waaree Energies Ltd declined sharply on Thursday, 30 April, falling over 10% after the company reported its Q4 FY26 earnings. The stock dropped as much as 10.6% to an intraday low of ₹3,132.10 on the NSE, as investors reacted to margins and EBITDA coming in below expectations despite strong topline growth.
The recent correction adds to short-term pressure on the stock, which has declined 8% over the past one week. However, the broader trend remains positive, with the stock still up 12% over three months and 20% over the past one year.
Q4 Performance
reported a sharp rise in profitability for the March quarter, with net profit increasing 74.76% year-on-year to ₹1,126.26 crore. Revenue for the quarter surged 111.80% YoY to ₹8,840.25 crore, reflecting strong execution and demand momentum in the solar manufacturing space.
Operating EBITDA for Q4 stood at ₹1,576.76 crore, marking a 70.91% YoY increase. However, EBITDA margins came in at 18.59%, which fell short of market expectations and weighed on investor sentiment.
For the full financial year FY26, total EBITDA stood at ₹6,616.79 crore, exceeding the company’s earlier guidance range of ₹5,500 crore to ₹6,000 crore. This outperformance highlights strong operational delivery despite near-term margin pressures.
The company’s board also recommended a final of ₹2 per equity share, taking the total dividend payout for FY26 to ₹4 per share on a face value of ₹10.
Expansion and capex push
Operationally, the company reported robust production metrics. Module production stood at 4.2 GW during the quarter, while annual production reached a record 12.6 GW for FY26, driven by improved efficiency and scale benefits.
During the quarter, Waaree Energies completed the acquisition of a strategic stake in United Solar Holding Inc., a polysilicon leader based in Oman. This move is aimed at securing a traceable supply chain and supporting the company’s global expansion strategy.
In a significant capacity expansion push, the board approved a capital expenditure of ₹3,900 crore for setting up a 2,500 tonnes-per-day glass manufacturing plant. Additionally, the company has commenced construction of a 10 GW integrated ingot and wafer manufacturing facility in Nagpur, with an investment of ₹6,200 crore. These initiatives are expected to strengthen Waaree’s upstream integration in the solar value chain.
The company also commissioned 3 GW of additional module capacity at its Samakhiali facility in Gujarat during the quarter, further boosting its manufacturing capabilities.
Outlook and guidance
Commenting on the performance, Jignesh Rathod said, “Waaree Energies Ltd. has delivered a record-breaking performance in FY26, reaching total revenue from operations of ₹26,536.77 Cr. Our operational milestones have been equally significant, as we have scaled our production across module and cell.”
He further added, “I am particularly proud to share that we have exceeded our previously issued total EBITDA guidance of ₹5,500 Cr- ₹6,000 Cr demonstrating the effectiveness of our growth strategy and disciplined execution.”
Looking ahead, the management remains optimistic about growth momentum. Rathod stated, “As we enter FY27, company is projecting an Operating EBITDA range of ₹7,000 – 7,700 crore.”
For investors, the key takeaway lies in balancing strong growth visibility with near-term margin pressures. While Waaree continues to expand aggressively and deliver robust revenue growth, profitability metrics and execution on margins will remain critical triggers for stock performance in the coming quarters.
Disclaimer: This story is for educational purposes only. Please consult with an investment advisor before making any investment decisions.