Sterling & Wilson Renewable Energy Limited announced its unaudited financial results for the quarter and nine months ended December 31, 2025, showcasing mixed performance with revenue growth but challenges in nine-month profitability. The Board of Directors approved these results at their meeting held on January 15, 2026.

Financial Performance Overview

The company's Q3FY26 performance demonstrates resilience in revenue generation despite market challenges. Key financial metrics reflect the company's operational dynamics across its business segments.

For the nine months ended December 31, 2025, the company faced significant challenges with a net loss of ₹2,432.02 crore compared to a profit of ₹226.08 crore in the corresponding period last year. This was primarily due to exceptional items worth ₹2,638.42 crore recognized during the period.

Segment-wise Performance

The company operates through two primary business segments, both contributing to overall revenue growth.

The EPC business segment demonstrated strong performance with revenue increasing by 22.2% year-over-year, while the operation and maintenance service segment experienced a marginal decline of 2.1%.

Key Management Appointment

The company announced the appointment of Mr. Rajesh Mittal as Senior Vice President – Information Technology, effective January 20, 2026. Mr. Mittal brings 25 years of experience in IT services and holds an MBA from IIM Kozhikode along with a B.Tech in Electronics and Telecommunications.

Mr. Mittal has received several industry recognitions including the CIO500 Accelerator X Award 2024, CIO100 Game Changer 2023, and multiple CIO100 Awards.

Exceptional Items Impact

The nine-month results were significantly impacted by exceptional items totaling ₹2,638.42 crore, primarily related to write-offs and impairments of investments in a wholly owned subsidiary. This included ₹599.70 crore written off due to unfavorable arbitration outcomes and ₹2,038.72 crore impaired due to uncertainty in projected cash flows from a specific contract.

Earnings Per Share

The company reported basic earnings per share of ₹3.13 for Q3FY26 compared to ₹3.32 in Q3FY25. For the nine-month period, the company reported a loss per share of ₹104.15 compared to earnings per share of ₹9.69 in the corresponding period last year.

Indemnity Agreement Benefits

The company continues to benefit from the Indemnity Agreement dated December 29, 2021, with Promoter Selling Shareholders. Under this agreement, the company raised claims amounting to ₹174.54 crore for the period from October 1, 2024, to September 30, 2025, with ₹143.12 crore expected to be received by January 31, 2026.

Sterling & Wilson Renewable Energy Limited announced its quarterly results for Q3 FY26 ended December 31, 2025, along with a key senior management appointment. The Board of Directors meeting held on January 15, 2026, approved the unaudited standalone and consolidated financial results and appointed a new senior executive to strengthen the company's IT leadership.

Financial Performance Overview

The company delivered mixed financial performance during the third quarter of FY26, with consolidated operations showing improvement in profitability despite lower EBITDA margins. The standalone and consolidated results demonstrate the company's operational strength across its core business segments.

Consolidated Financial Performance

The consolidated results reflect significant improvement in profitability with reduced losses across the company's global operations:

Standalone Financial Results

Sterling & Wilson's standalone operations showed robust performance for Q3 FY26:

For the nine months ended December 31, 2025, the company reported revenue from operations of ₹4,444.69 crore compared to ₹3,368.73 crore in the corresponding period of the previous year, representing a growth of 31.94%.

Segment-wise Performance

The company operates through two primary business segments: Engineering, Procurement and Construction (EPC) business and Operation and Maintenance services.

EPC Business Segment

The EPC business remained the primary revenue driver, contributing ₹1,756.52 crore in Q3 FY26 compared to ₹1,437.55 crore in Q3 FY25. For the nine months period, EPC business revenue reached ₹4,294.62 crore versus ₹3,218.58 crore in the previous year.

Operation and Maintenance Services

The O&M segment generated revenue of ₹48.20 crore in Q3 FY26, maintaining steady performance compared to ₹49.24 crore in the corresponding quarter of the previous year.

Senior Management Appointment

The Board approved the appointment of Mr. Rajesh Mittal as Senior Vice President – Information Technology and Senior Management Personnel, effective January 20, 2026.

Mr. Mittal brings extensive experience to the role, holding an MBA from the Indian Institute of Management, Kozhikode, and a B.Tech. in Electronics and Telecommunications. He has 25 years of experience in IT services, including technology planning, strategy, development and implementation, business transformation execution, and solution delivery.

Exceptional Items and Key Developments

The company's financial results included certain exceptional items during the nine months ended December 31, 2025. The standalone results showed exceptional items of ₹2,638.42 crore related to write-offs and impairments of investments in a wholly owned subsidiary, loans, and other receivables due to unfavorable arbitration outcomes and uncertainty surrounding projected cash flows.

Indemnity Agreement Coverage

The company continues to benefit from the Indemnity Agreement dated December 29, 2021, with Promoter Selling Shareholders. Under this agreement, the company raised a claim of ₹174.54 crore for crystallized items during the period from October 1, 2024, to September 30, 2025. The outstanding balance of ₹143.12 crore as of December 31, 2025, is expected to be received by January 31, 2026.