Inox Green Q1 FY27 Earnings Call — Analysis (NSE: INOXGREEN)
INOX Green Q1 FY27 PAT surges 86% YoY to ₹41 Cr on 17% revenue growth; Wind World India NCLT approval secured, demerger completed to unlock asset-light O&M value
Result quality: stable — Results context unavailable. Management sentiment: optimistic.
The take
Q1FY27 Total Income ₹101 Cr ( +17% YoY ) . New guidance — acquired portfolio revenue per… substantially higher than ₹9-10 lakh per MW . New story: Acquisition-led O&M portfolio scaling .
Results
Total income ₹101 Cr +17% YoY; EBITDA ₹57 Cr +19% YoY; PAT ₹41 Cr +86% YoY
Financial highlights
| Metric | Value | Change | Basis |
|---|---|---|---|
| Total Income | ₹101 Cr | +17% | yoy · Q1FY27 |
| EBITDA | ₹57 Cr | +19% | yoy · Q1FY27 |
| Profit Before Tax | ₹54 Cr | +74% | yoy · Q1FY27 |
| Profit After Tax | ₹41 Cr | +86% | yoy · Q1FY27 |
| Cash PAT | ₹55 Cr | +25% | yoy · Q1FY27 |
Guidance
Management reiterated 50% EBITDA margin for legacy O&M and annualized EBITDA run-rate of ₹600 Cr post consolidation of Wind World India from Q3/Q4 FY27
What management committed to
- INOX Green will achieve an annualized EBITDA run-rate of INR 600 crores on a consolidated basis, visible from Q3/Q4 FY27 onwards, post consolidation of [Wind World India and the second acquired O&M portfolio] — INR 600 crores annualized, FY27
- INOX Green will maintain an EBITDA margin of 50% on its legacy O&M business of Wind portfolio — 50%
- The acquisition formalities for Wind World India Limited will be completed in Q2 FY27 — Q2FY27
- The second acquired O&M portfolio (besides Wind World India) will also be completed and consolidated into INOX Green during FY27 — FY27
- Per MW revenue from the acquired O&M portfolios (Wind World India and the second portfolio) will be substantially higher than the current INR 9–10 lakh per MW of the legacy INOX Green portfolio — substantially higher than INR 9-10 lakh per MW
Key themes
Acquisition-led scale-up to become global O&M leader
How the narrative shifted
- Acquisition-led O&M portfolio scaling: Management positions the Wind World India acquisition as a milestone transformation that will catapult INOX Green into a global top-tier renewable O&M player with significantly larger scale and a marquee client base.
- Asset-light pivot post demerger: The demerger of the power evacuation business makes INOX Green a pure-play asset-light O&M company, which is expected to materially improve ROE/ROCE and align with the capital-light thesis.
- Inorganic growth via NCLT resolution: Acquiring distressed assets through the NCLT process (Wind World India) provides a pathway to scale rapidly at a potentially favorable valuation, with operational synergies in price/cost optimization.
- Group synergies from INOX Clean: The interplay with INOX Clean’s 3 GW+ annual IPP additions creates a secured, recurring O&M order pipeline, making INOX Green a direct beneficiary of group growth.
- Wind capacity addition tailwinds (8-10 GW/yr): Strong macro tailwinds—RTC, FDRE, hybrid tenders—are expected to drive 8–10 GW annual wind installations, expanding the addressable O&M market for INOX Green.
- Margin expansion via value-added services: Value-added services such as turbine overhauls and life extension packages (targeting turbine life up to 35 years) are being treated as separate revenue streams, supporting margin expansion and stickier client relationships.
Operational commentary
- Completed demerger of power evacuation infrastructure into IRSL, making INOX Green an asset-light O&M company (effective Aug 1, 2026)
- Received NCLT approval for acquisition of Wind World India Ltd; transaction expected to close in Q2 FY27, triggering financial consolidation
- Wind World India O&M portfolio: ~4.5 GW, marquee clients (Tata, ReNew, Greenko, etc.), FY26 revenue ~₹580 Cr, with contracted annual price escalations of ~5%
- O&M portfolio reached 13.3 GW (10.5 GW wind + solar, including ~6.5 GW of operational wind O&M assets under investments)
- Legacy wind O&M revenue per MW: ₹9–10 lakh/MW; acquired portfolios expected to deliver substantially higher per-MW revenue
- Machine availability across the portfolio averaged 96.3%
- Value-added services (turbine overhauls, life extension) driving higher revenue per MW; billing will be separated going forward
- Group synergies: INOX Green expected to benefit from 3 GW+ annual capacity additions by INOX Clean, securing long-term O&M contracts
Analyst Q&A
Q. What is the reason for the fund raise at the present acquisition? Wouldn't it be better to raise debt from assured cash flows rather than equity dilution?
These are enabling resolutions we have done. Beyond that, we cannot comment right now as we are in the silent period.
Q. With the financial consolidation of Wind World acquisition expected post Q2 FY27, could you update on your EBITDA guidance of INR 600 crores, considering Q1 EBITDA of INR 57 crores?
INR 600 crores is the annualized basis from Q3, Q4 onwards. … INR600 crores was an annual guidance, not the quarterly guidance. … Yes, annualized basis, that. … There is an annual escalation as well.
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