The Board of Directors of Saatvik Green Energy approved the unaudited standalone and consolidated financial results for the quarter ended June 30, 2026, in a meeting held on August 14, 2026. The company reported a significant contraction in profitability and operating margins compared to the prior year period, citing lower execution volumes, customer-led delays, and volatile commodity and logistics costs as primary drivers. Management highlighted that the company remained selective in order execution to preserve commercial economics, resulting in subdued sales but maintaining a strong forward order visibility of 6.35 gigawatts.

Consolidated Financial Performance

Consolidated revenue from operations stood at ₹5,110.1 million for the quarter, a decline of 44% from ₹9,157.3 million in the corresponding quarter of FY25. Total income was ₹5,197.3 million, including other income of ₹87.2 million.

Total expenses amounted to ₹5,123.2 million. Cost of materials and services consumed was ₹5,267.4 million, exceeding revenue from operations. This was partially offset by a decrease in inventories of finished goods and work-in-progress of ₹1,287.5 million. Employee benefits expense was ₹258.6 million, while finance costs rose to ₹217.4 million from ₹190.4 million in the prior year quarter.

Profit before tax was ₹74.1 million, compared to ₹1,461.8 million in Q1FY25. After tax expense of ₹20.4 million, the net profit for the period was ₹53.6 million, down from ₹1,166.0 million in the previous year. Basic earnings per share (EPS) were ₹0.43, compared to ₹10.41 in the same quarter last year.

EBITDA for the quarter was ₹338.0 million, down significantly from ₹1,800.0 million in Q1FY25. The EBITDA margin compressed to 6.61% from 19.34% in the corresponding period last year. Management noted that EBITDA on a pro-forma basis or adjusted for specific items stood at ₹425 million with an 8.33% margin, reflecting the impact of selective order execution and high input costs.

Standalone Results

On a standalone basis, revenue from operations was ₹3,332.4 million, down from ₹3,778.0 million in Q1FY25. Standalone net profit fell 22% year-on-year to ₹68.6 million from ₹87.8 million. Standalone basic EPS was ₹0.54.

Operational Updates and Order Book

Production for the quarter stood at 408 megawatt, compared to 935 megawatt in Q4FY26 and 685 megawatt in Q1FY26. Sales stood at 334 megawatt, compared with 1,050 megawatt in Q4FY26 and 579 megawatt in Q1FY26. The moderation in volumes was attributed to customers adopting a wait-and-watch approach due to regulatory uncertainties surrounding ALMM-2 compliance and geopolitical tensions affecting input costs.

Despite the near-term slowdown, the company’s confirmed order book stands at approximately 6.35 gigawatts, valued at roughly ₹8,200 crores. This represents around 132% of the current operational module capacity of 4.8 gigawatt. Recent additions include a ₹138 crore domestic solar PV module order secured in July 2026 and an additional ₹400 crore order accepted by a subsidiary in August 2026. The order mix comprises approximately 70% utility-scale projects and 30% commercial and industrial (C&I) projects, with about 30% being Domestic Content Requirement (DCR) compliant orders.

Strategic Developments

The Odisha integrated manufacturing project remains on track for ramp-up. Phase 1, comprising 2.4 gigawatt of cell manufacturing and 4 gigawatt of module manufacturing capacity, has completed key utility and infrastructure milestones. Tool move-in and assembly activities are underway, with the ALMM-2 inspection planned for September 2026. Management expects full ramp-up to achieve 80% utilization by Q4FY27.

Phase 2, envisaging an additional 3.6 gigawatt of cell manufacturing capacity, is targeted to commence site activities by end-Q2FY27 and complete by end-FY28. Phase 3, focusing on 6 gigawatt of ingot and wafer manufacturing, is planned for completion in FY29. Additionally, the company acquired an 80% stake in Melcon Transformers and Electricals Private Limited for ₹24.0 million during the quarter, aiming to expand its ancillary business which currently contributes 4-5% of revenue, with a target to reach 15% in the coming years.

What the Numbers Show

The divergence between standalone and consolidated performance highlights the impact of subsidiaries on overall margins. While the standalone entity maintained a profit margin of approximately 2%, the consolidated group’s margin compressed significantly due to higher material costs in the broader group structure. Additionally, finance costs at the consolidated level increased 14% year-on-year to ₹217.4 million, suggesting rising interest burdens despite debt repayment initiatives funded by IPO proceeds. The sharp contraction in EBITDA margin from 19.34% to 6.61% underscores the pressure on operational efficiency amid declining revenues and selective order execution.

Accounting Policy Changes

The Group changed its accounting policy for inventory valuation from First In First Out (FIFO) to the moving weighted average cost method with effect from March 31, 2026. Comparative figures for the quarter ended June 30, 2025, have been restated accordingly. The change resulted in a decrease in profit before tax of ₹33.7 million for the restated prior year quarter.

Suresh Surana & Associates LLP served as the independent auditors for the review of the interim financial information.

Saatvik Green Energy has advanced its renewable energy manufacturing footprint in Odisha through a Memorandum of Understanding (MoU) with the Industrial Promotion and Investment Corporation of Odisha Limited (IPICOL). The agreement, disclosed on August 17, 2026, outlines plans for a 3.6 GW Phase II solar cell manufacturing facility at Gopalpur in Ganjam district. This development builds on the company’s ongoing Phase I integrated manufacturing project at the same location.

Partnership and facility details

The MoU signifies a significant expansion of Saatvik Solar Industries Private Limited’s operations in the state. The new facility is designed to deepen the company’s presence across the solar value chain and support the growing demand for domestically manufactured solar products. The project is expected to generate employment opportunities and contribute to Odisha’s renewable energy manufacturing ecosystem.

Phase I progress towards commissioning

While Phase II is in the planning stage, Saatvik Solar has made substantial progress on its Phase I integrated manufacturing facility at Gopalpur. This initial phase comprises 2.4 GW of solar cell capacity and 4 GW of module manufacturing capacity. Major construction and infrastructure works are complete, with equipment installation and testing activities advancing across the facility.

Key milestones achieved include:

• Completion of dedicated 220 kV substation, ready for charging.
• Manufacturing lines progressing through final installation, testing, validation, and process readiness.
• Cell line ramp-up scheduled shortly, marking a step towards operational readiness.
• ALMM-II inspection planned for September 2026.

Strategic outlook

The phased development at Gopalpur reflects Saatvik Green Energy’s long-term strategy to build an integrated, technologically advanced solar manufacturing ecosystem. The company aims to create a resilient supply chain capable of meeting domestic demand while positioning India as a global manufacturing powerhouse for clean energy.

Prashant Mathur, CEO of Saatvik Green Energy Limited, stated that Odisha represents more than a manufacturing milestone but a statement of ambition. He highlighted that as the 2.4 GW cell and 4 GW module lines move towards production, the company is taking decisive steps to build scale and strengthen integration. With Phase II targeted for commercial production by FY28, the company intends to significantly scale its integrated manufacturing footprint.