JSW Energy lifts net profit 49.91% to 1,056.37 crore rupees in second quarter
Key Facts
JSW Energy reported consolidated net profit of 1,056.37 crore rupees in the second quarter of fiscal 2026-2027, up 49.91% from 704.68 crore rupees in the year-earlier period, according to Financial Express on October 28. Revenue from operations rose 23% to 6,368.47 crore rupees, compared with 5,177.42 crore rupees a year earlier. Sequentially, net profit increased 124.3%, while revenue rose 22.3% from the previous quarter. The comparison shows year-on-year and quarterly growth in profit and revenue, but operating indicators reveal that broader revenue did not come with an improvement in the EBITDA margin. Business Today reported that the stock closed at 482.50 rupees on the announcement day, up about 3% from the previous close, after rebounding more than 4% from its intraday low of 463 rupees.
EBITDA rose 20.7% year on year to 3,617 crore rupees, from 2,996 crore rupees in the year-earlier quarter, according to Business Today. But the EBITDA margin narrowed 110 basis points to 56.8%, compared with 57.9% a year earlier. The figures put growth in operating profit alongside a decline in the margin, distinguishing profit growth from the efficiency of converting revenue into EBITDA during the period. Published information did not provide a specific explanation for the margin contraction, leaving the quantitative comparison to illustrate the divergence in results. As for net profit and revenue, the sharp quarterly increase shows an improvement from the previous quarter, while the annual comparison reflects the base in the second quarter of the previous fiscal year.
On expansion, the company added 813 megawatts of capacity during the quarter, including 513 megawatts from organically developed renewable energy projects, according to Financial Express. First-half additions in the fiscal year reached 1,686 megawatts, including 1,386 megawatts from organic renewable energy projects. By October 5, the company said its operational capacity had reached 15,147 megawatts after adding 1,694 megawatts since April, including about 1.4 gigawatts of renewable energy. These figures cover different measurement periods: the quarterly figure covers the three months ended September, while the operational capacity figure runs through October 5. On thermal assets, JSW Energy acquired the 300-megawatt Maruti plant for an enterprise value of 1,410 crore rupees.
The Maruti plant has a long-term power purchase agreement to sell 195 megawatts net to electricity distribution companies in Rajasthan, with 14 years remaining on the agreement; a further 64 megawatts net is available for merchant sale, according to Financial Express. The deal combines existing thermal capacity with renewable energy projects, which accounted for most of the organic additions in the first half. In fiscal 2025-2026, the company said it added 2.6 gigawatts of capacity and recorded a record EBITDA of 11,041 crore rupees, up 81% year on year. The company attributed those annual results to the integration of KSK and O2 assets and organic renewable energy expansion. In the fourth quarter of the same fiscal year, EBITDA rose 72% to 2,602 crore rupees, from 1,512 crore rupees, and profit after tax increased 38% to 574 crore rupees.
JSW Energy is targeting the addition of 3 gigawatts of renewable capacity in fiscal 2026-2027 and said it commissioned 1.4 gigawatts in the first half, equivalent to about 46% of its annual target. It plans to add 1.6 gigawatts in the second half across 30 projects, according to Financial Express. Joint Managing Director Sharad Mahendra said land, grid connectivity and supply equipment were available for the remaining projects, and that the company expected to deliver the planned capacity in the second half. He added that favorable construction conditions during that period supported the execution schedule. Organic capital expenditure was 8,114 crore rupees in the first half, and the report said the company was on track to meet its full-year spending guidance.
The board approved raising up to 5,000 crore rupees in long-term financing, including through a private placement of listed, non-convertible debentures, according to Business Today. In a separate management decision, the company appointed its chief financial officer, Chandrasekaran Prabhakaran, as an additional director and whole-time director in the capacity of director of finance, effective October 28, for a five-year term. An earnings call was scheduled for the same day at 4:30 p.m. India time, according to JSW Energy's investor results page. The company is targeting generation capacity of 30 gigawatts and energy storage capacity of 40 gigawatt-hours by 2030, along with carbon neutrality by 2050. The planned additions in the second half of the fiscal year are the next execution milestone toward the annual capacity target of 3 gigawatts.