Clean Max Enviro Energy Solutions Q2 FY27 results: net profit ₹65.82 crore

How did Clean Max Enviro Energy Solutions perform in Q2 FY27?

Clean Max Enviro Energy Solutions reported revenue from operations of ₹727.65 crore in Q2 FY27, down 12.6% from ₹832.16 crore in Q1 FY27. Other income was ₹23.23 crore and total expenses were ₹631.77 crore. EBITDA was ₹524.50 crore, up 24.6% from ₹420.92 crore, and the EBITDA margin rose 21.5 percentage points to 72.1% from 50.6%. The profit after tax margin was 9.0%, against 6.6% in the previous quarter.

Profit before tax was ₹119.98 crore in Q2 FY27, up 28.3% from ₹93.52 crore in Q1 FY27, and tax was ₹55.03 crore. Net profit was ₹65.82 crore, up 19.3% from ₹55.17 crore, while basic EPS was ₹4.01 against ₹4.14. A gain of ₹0.87 crore was recorded as an exceptional item, and there was no exceptional item in the previous quarter.

The results are on a consolidated basis. The board also approved unaudited standalone results and the statutory auditor's limited review report for the quarter and half year ended 30 September 2026. Revenue has risen in each of the last four quarters, from ₹422.46 crore in Q3 FY26 to ₹557.46 crore in Q4 FY26 and ₹832.16 crore in Q1 FY27, before the reported decline to ₹727.65 crore in Q2 FY27.

What do the balance sheet and cash flow show?

Total assets were ₹27,546.22 crore at 30 September 2026, against ₹23,098.28 crore at 31 March 2026. Total equity rose to ₹5,953.16 crore from ₹5,523.53 crore, while borrowings were higher at ₹17,226.93 crore compared with ₹12,410.76 crore. Cash and cash equivalents fell to ₹892.25 crore from ₹1,201.96 crore.

Inventories rose to ₹97.19 crore from ₹39.95 crore, and trade receivables rose to ₹576.59 crore from ₹277.88 crore. Trade payables fell to ₹944.22 crore from ₹1,750.30 crore. In the first half of FY27, operating cash flow was negative ₹202.10 crore, investing cash flow was negative ₹4,276.02 crore and financing cash flow was ₹4,164.66 crore, with capital expenditure of ₹3,320.75 crore.

Which businesses drove the quarter?

Renewable Energy Power Sales, the main segment, reported revenue of ₹604.03 crore and EBIT of ₹301.19 crore, with an EBIT margin of 49.9%. Renewable Energy Services reported revenue of ₹123.62 crore and EBIT of ₹5.16 crore, with an EBIT margin of 4.2%. Other unallocable showed an EBIT loss of ₹47.05 crore.

The filing did not provide year-ago quarter revenue or EBIT for the individual segments, so no segment-level growth rate against the year-ago quarter can be stated. Management said in the investor presentation that RE Services revenue growth was accompanied by margin compression, with the segment's gross margin at 17.1% in H1 FY27 against 32.8% in H1 FY26 and the adjusted EBITDA margin at 14.3% against 25.4%. Management also said Q2 revenue for RE Services declined 24% year on year.

What else did the company announce?

The board approved the issuance of listed, rated, redeemable, non-convertible debentures on private placement of up to ₹3,000 crore, or such other amount as may be decided by the delegated committees or authorised officers. The board said the objective was to raise medium to long term loans at competitive terms and manage interest rate volatility more efficiently. The debentures are proposed to be listed on the Wholesale Debt Market segment of BSE and/or NSE.

In a separate same-day filing, the company said its wholly owned subsidiary Surya Energy Photo Voltaic India Private Limited received an appellate order dated 2 November 2026 from the National Faceless Appeal Centre. The order deleted additions of ₹621.52 million to the subsidiary's returned income for assessment year 2022-23, with tax, penalty, fine and interest demanded under the order at nil, and the company said there was no adverse financial implication. The board also approved an investor presentation on the results.

What did Clean Max Enviro Energy Solutions' management say?

Management guided to over 1.5 GW of RE Power Sales capacity additions in FY27, taking year-end operational capacity to at least 4,588 MW, and said 0.6 GW was commissioned in the first half, including 0.2 GW in Q2 FY27. Management also expects a minimum reported EBITDA of ₹3,000 crore in FY28, steady state net debt of ₹16,000 crore in FY28, and net debt to run-rate EBITDA of 5.0x–5.5x on an illustrative FY28 portfolio basis.

Management identified two main watch-outs. It said RE Services earnings quality weakened, with gross margin at 17.06% in H1 FY27 from 32.80% and adjusted EBITDA margin at 14.34% from 25.43%, while Q2 revenue declined 24% year on year. It also said the 525 MWp Bikaner II CTU project averaged 48% curtailment in Q2 FY27, although curtailment improved to 26% in October 2026 from 70% in Q1 FY27.

Management said 2,632 MW of RE Power Sales capacity was contracted but not yet executed, and that STU projects typically take 3–6 months to stabilise after commissioning. It said net debt rose to ₹138,382 million at 30 September 2026 from ₹96,841 million at 31 March 2026, with 46.3% of gross debt floating. On priorities, management said Data & AI customers represent 41% of contracted RE Power Sales capacity and that it expects to exceed the 1,500 MW capacity addition guidance during the year.

Founder and Managing Director Kuldeep Jain said securing grid connectivity ahead of demand is important for long-term value creation. Chief Financial Officer Nikunj Ghodawat said the focus remains on scaling with execution discipline, financial prudence and a diversified portfolio, and that H1 performance reflects the increasing scale and operating leverage of the business. The deck also set out a minimum 4.6 GW RE Power Sales operational capacity assumption as of 1 April 2027 for its opex sales model.

How did Clean Max Enviro Energy Solutions shares react?

The filing was made after market hours. From the price when the results appeared, the stock fell 1.8% after 5 minutes, 1.9% after 15 minutes and 0.6% after 30 minutes. On the reaction day, from the previous close of ₹1,224.50 to the close of the first session that could trade on the news, the stock rose 1.9% to ₹1,250.40.

By the next day's close, the stock was up 4.1% from its pre-results close, against a median move of 3.2% for the industry's other stocks, a difference of 0.9 percentage points. The Nifty Smallcap 250 rose 2.0% on the reaction day. Earlier results-day moves were 1.0% on 31 July 2026, 7.7% on 12 May 2026 and a fall of 4.1% on 17 March 2026.

How did other Power Generation companies do?

Fifteen other companies in the Power Generation industry had filed for this quarter, with a median revenue growth of 21.2%. Of the peers for which revenue growth was compared, 12 reported higher profit. The peer count for profit was 16. These comparisons are as of 6 November 2026.