Vikram Solar Q1 profit drops 86% despite 35% revenue growth
Vikram Solar Limited reported an 86% year-on-year decline in standalone net profit for the quarter ended June 30, 2026 (Q1 FY27), as higher raw material and service costs compressed margins despite strong revenue growth. Standalone net profit fell to Rs 187.27 million from Rs 1,344.15 million in the corresponding quarter last year, while revenue from operations increased 35% to Rs 15,360.30 million from Rs 11,351.60 million.
Financial performance
Total expenses rose sharply to Rs 15,243.59 million from Rs 9,571.06 million, driven by higher material and service costs. As a result, EBITDA declined to Rs 1.25 billion from Rs 2.44 billion, while EBITDA margin contracted to 8.13% from 21.48%.
Profit before tax fell to Rs 242.10 million from Rs 1,822.95 million. On a consolidated basis, revenue increased to Rs 15,630.92 million from Rs 11,335.77 million, while net profit declined to Rs 197.77 million from Rs 1,333.64 million.
Expansion plans
The Board approved increasing the capacity of its proposed backward-integrated wafer and ingot manufacturing facility at Gangaikondan, Tamil Nadu, from 6 GW to 9 GW.
The facility is targeted for commissioning on or before April 2029, with an investment of up to Rs 5,589 crore, to be financed through internal accruals, debt and other funding arrangements. The company said the expansion is aimed at strengthening domestic manufacturing ahead of the implementation of ALMM-3 from June 2028.
As of June 30, 2026, Vikram Solar had an order book of around 7.9 GW, with large accounts contributing around 7.1 GW.
