Tata Power’s renewables PAT rose 70% YoY in Q2 FY26, boosting overall profit even as quarterly revenue and PAT dipped slightly
Solar manufacturing and rooftop businesses saw rapid expansion, with rooftop revenue surging 158% YoY
Its cell and module output neared 1 GW each, including record DCR module dispatches in a single quarter
Tata Power, an integrated power company based in India, credits its renewables business for 14% year-on-year (YoY) growth in its INR 12.45 billion reported profit after tax (PAT) for Q2 FY26 (quarter ended September 2025).
Over the same period, the company reported that its revenue grew over 3% to INR 157.69 billion, with EBITDA growing 6% EBITDA to INR 40.32 billion. Nevertheless, it suffered a 9.7% decline in revenue on a quarter-on-quarter (QoQ) basis and a 1.3% drop in reported PAT.
During Q2, Tata Power said its segment PAT from the renewables business shot up 70% YoY to INR 5.11 billion. EBITDA for this segment surged 57% to INR 15.75 billion, and revenue registered 89% annual growth to INR 36.13 billion, driven by its solar manufacturing and rooftop solar businesses.
The rooftop solar segment more than doubled its revenues, growing 158% YoY to INR 11.33 billion. Its PAT grew to INR 1.23 billion, representing a 390% increase over the previous year.
The company’s revenue, EBITDA, and PAT for H1 FY26 also improved by 4%, 11%, and 10% YoY to INR 332.3 billion, INR 79.61 billion, and INR 25.08 billion, respectively.
In terms of its renewable energy generation capacity, Tata Power’s total utility-scale capacity stands at 5.7 GW, comprising 4.7 GW of solar and 1 GW of wind energy. During Q2 FY26, it commissioned 293 MW, including 111 MW of its own projects and 182 MW for 3rd parties as EPC.
The company also installed 370 MW of rooftop PV capacity during the quarter, expanding its total capacity to exceed 3.8 GW. Its subsidiary, Tata Power Renewable Energy Limited (TPREL), bagged some strategic EPC and storage contracts during the reporting quarter.
Tata Power is also active in the transmission and distribution, thermal, and hydro businesses, along with its electric vehicle (EV) charger business.
“Tata Power is very well positioned to expand further with 10 GW of clean capacity under construction including a healthy pipeline of 5 GW Hybrid and FDRE projects. The Company’s backward-integrated solar manufacturing facilities are operating at full capacity, with ALMM-listed modules and cells supporting the “Make in India” clean energy push,” added Sinha.
Manufacturing
During Q2 FY26, Tata Power produced 928 MW of cells and 970 MW of modules in Q2 FY26, with 809 MW of domestic content requirement (DCR) modules dispatched – its highest ever in a single quarter.
Tata Power CEO and Managing Director Praveer Sinha shared that the company’s solar PV manufacturing capacity currently stands at 4.55 GW. Now, it is evaluating a 10 GW wafer and ingot factory, for which Sinha said the company is expecting support from the Production Linked Incentive (PLI) scheme.
“Government is very keen that this type of plans come up quickly and also the overall requirement of the country is large and very little capacity is there right now. So, to encourage that, they will be coming up with the PLI to support this sort of investment. This requires a lot of technology as well as large investment for huge capacity,” stated the management during the company’s earnings call with analysts.
Tata Power is also in discussions with various state governments to explore any state subsidies to support its upstream plans, which it said will be finalized over the next few months.
Recently, another Indian renewable energy player, ReNew Energy Global Plc, also announced 6 GW ingot-wafer manufacturing plans in Andhra Pradesh (see ReNew To Expand Vertical Integration With 6 GW Upstream Plant).
These GW-scale plans for ingot-wafer production by companies like Tata Power and ReNew Energy, among others, are aligned with India’s target to achieve a complete Swadeshi or indigenous solar value chain. By 2028, the country expects to achieve indigenous solar cell manufacturing.
After its successful Approved List of Models and Manufacturers (ALMM) for solar modules (List-I) and solar cells (List-II), the government is now set to bring in ALMM List-III for solar wafers from June 1, 2028, onward (see India’s MNRE Proposes ALMM List-III For Solar Wafers).
