KPI Green Energy profit jumps 49% Despite heavy borrowings

Long-term borrowings rose to INR3,666 crore in the fourth quarter of FY2026.

KPI Green Energy reported a 49.2% rise in net profit to INR155.5 crore in the fourth quarter (Q4) of financial year 2026 (FY26), as revenue growth and margin expansion offset sharply higher borrowing and finance costs linked to rapid renewable energy capacity expansion.

Revenue from operations increased 39.8% to INR795.8 crore in the same period from INR569.4 crore a year earlier.

Earnings before interest, tax, depreciation, and amortisation rose 81% to INR291.3 crore from INR161 crore, whilst margins expanded to 36.6% from 28.3%.

For FY26, consolidated net profit rose 57% to INR509.2 crore from INR325 crore in FY25, whilst revenue increased 54% to INR2,696 crore from INR1,735 crore.

The company’s balance sheet expanded alongside its renewable energy pipeline. Long-term borrowings increased to INR3,666 crore from INR862 crore in the previous year, whilst short-term borrowings rose to INR866 crore from INR264 crore.

The debt-to-equity ratio jumped to 1.49x from 0.46x, and finance costs inflated to INR182 crore from INR79 crore.

Installed and planned renewable energy capacity nearly doubled to about 6.26 gigawatts (GW) from 3.91 GW a year earlier.

The independent power producer portfolio stood at 2.57 GW, including 1.61 GW under execution, whilst the captive power producer portfolio reached 3.69 GW.

KPI Green Energy also expanded into battery energy storage systems (BESS), green hydrogen, offshore wind, floating solar, and pumped storage hydro projects.

It commissioned a one-megawatt (MW) green hydrogen facility in Gujarat and secured a one tonne per day green hydrogen project.

The company secured multiple renewable energy and storage contracts during the year, including a 445-MW/890-megawatt-hour (MWh) BESS project and a 120-MW/240-MWh storage project from Gujarat Urja Vikas Nigam Limited (GUVNL).

It also received a 300-MW wind project from SJVN Limited, a 150 MW wind project from GUVNL, and a 250-MW solar engineering, procurement and construction project in Gujarat.

The board recommended a total dividend of INR0.40 per share for FY26, including a final dividend of INR0.25 and a special dividend of INR0.15 linked to energisation of a one GW independent power producer project, subject to shareholder approval.