Indowind Energy reported a 15.2% year-on-year increase in consolidated revenue for FY26, driven by improved power generation across its operating locations. Despite the topline growth, the company’s profitability contracted sharply as higher operating and finance costs outpaced revenue gains.

The renewable energy developer posted a consolidated net profit of ₹0.58 lakh for the financial year ended March 31, 2026, a significant decline from ₹170.54 lakh in FY25. On a standalone basis, the company reported a net profit of ₹26.62 lakh, down from ₹233.06 lakh in the previous year.

Financial Performance

Consolidated revenue from operations rose to ₹4,033.13 lakh in FY26 from ₹3,501.25 lakh in FY25. Standalone revenue grew 19.1% to ₹3,110.34 lakh from ₹2,611.96 lakh. The growth was supported by increased power sales in both Tamil Nadu and Karnataka.

However, total expenses expanded at a faster rate than revenue. Consolidated total expenses jumped 22.0% to ₹3,940.57 lakh from ₹3,230.35 lakh. Standalone expenses rose 28.9% to ₹3,019.26 lakh. The margin compression was primarily due to an increase in finance costs and other operational expenses.

Finance costs on a standalone basis increased by 50.7% to ₹293.23 lakh from ₹194.52 lakh, reflecting higher interest outlays during the period. Other expenses also saw a sharp rise, growing 65.5% to ₹935.50 lakh from ₹565.15 lakh.

Capital Raise and Expansion

During FY26, Indowind successfully completed a rights issue of 3,22,00,434 equity shares at ₹15.35 per share, raising aggregate proceeds of ₹4,942.77 lakh. The funds were primarily utilized to repay borrowings and fund new projects, including a 4 MW solar power plant in Karnataka.

The company sought shareholder approval to extend the timeline for utilizing the rights issue proceeds earmarked for the Karnataka solar project from September 2026 to December 2026. This extension was necessitated by regulatory delays related to sourcing solar PV modules from approved domestic vendors.

Auditor Qualifications

The statutory auditors issued a qualified opinion on the financial statements, citing three key areas of concern:

• Non-recognition of an arbitration claim against Suzlon Group amounting to ₹9,083.39 lakh.
• Recognition of ₹102 lakh as recoverable from Bank of Baroda without sufficient audit evidence.
• Lack of impairment testing for goodwill amounting to ₹7,454.69 lakh inherited from the merger with Ind Eco Ventures Limited.

What the Numbers Show

While revenue growth indicates improved operational availability, the drastic fall in net profit highlights the impact of high fixed costs and interest burdens. With finance costs rising significantly faster than revenue, the company’s ability to convert top-line growth into bottom-line earnings remains constrained until debt levels are further reduced or generation efficiency improves substantially.

Indowind Energy Ltd has resubmitted its financial results for the fourth quarter of the fiscal year 2026 to correct discrepancies identified between the XBRL and PDF formats. The mismatch specifically affected the figures reported in the standalone Profit and Loss statement and the Balance Sheet. The company confirmed that the necessary corrections have been made and the Integrated Financial results are being resubmitted to the National Stock Exchange of India Limited.

In a clarification addressed to the exchange, the company responded to a query regarding the format of the Statement of Impact of Audit Qualifications. The exchange had noted that the document was not in the format prescribed by the Securities and Exchange Board of India (SEBI) and was not signed by the Managing Director or CEO. indowind energy stated that the statement was signed by Whole-time Director Mr. NK Haribabu.

The company explained that it does not have a Managing Director or CEO. Consequently, the signature of the Whole-time Director complies with Regulation 33(2)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2025. This regulation permits financial results to be signed by the chairperson, managing director, a whole-time director, or any other director duly authorized by the board in the absence of the aforementioned officers.

The submission, dated June 30, 2026, was made by B Sharath, the Company Secretary and Compliance Officer. The company requested the exchange to take the compliance on record following the rectification of the data and the clarification regarding the signatory.

Key Clarifications Provided