Sterling And Wilson Renewable Energy Posts ₹4.73 Billion Loss In Q2 Despite ₹17.49 Billion Revenue

Image Source : Manufacturing Today India

Sterling and Wilson Renewable Energy Ltd reported a Q2 FY26 net loss of ₹4.73 billion on ₹17.49 billion revenue. Losses stemmed from cost overruns and project delays. The company is restructuring operations and focusing on high-margin contracts to improve financial stability amid challenges in the global renewable EPC landscape.

Sterling and Wilson Renewable Energy Ltd has reported a consolidated net loss of ₹4.73 billion for the quarter ended September 2025, despite generating ₹17.49 billion in revenue from operations. The results reflect continued challenges in project execution, cost overruns, and delayed receivables across key markets.

Key Highlights From The Quarterly Performance

- Revenue from operations stood at ₹17.49 billion in Q2 FY26, supported by ongoing solar EPC projects in India and overseas.

- The company posted a net loss of ₹4.73 billion, widening from previous quarters due to provisioning for legacy contracts and higher input costs.

- Operational headwinds included delays in project milestones, increased logistics expenses, and currency fluctuations impacting international contracts.

- Sterling and Wilson continues to focus on restructuring its order book, improving cash flow visibility, and enhancing execution efficiency.

Strategic Insights

The Q2 loss underscores the volatility in the renewable EPC segment, especially for firms with global exposure. Sterling and Wilson is actively working to streamline operations, renegotiate terms on legacy projects, and prioritize high-margin contracts to stabilize financial performance.

Industry Context

India’s renewable energy sector remains a growth driver, but EPC players face margin pressures due to competitive bidding, supply chain disruptions, and regulatory complexities. Sterling and Wilson’s performance reflects broader sectoral challenges, even as demand for solar infrastructure continues to rise.

Market Outlook

Analysts expect the company to gradually recover through operational restructuring and strategic partnerships. While near-term profitability remains under pressure, its strong project pipeline and global footprint offer potential for long-term turnaround if execution risks are mitigated.

Sources: Reuters, Business Standard, Sterling and Wilson Investor Updates

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