01 — At a Glance
The Solar Factory That Just Went Hyperdrive
- 52-Week High / Low₹3,865 / ₹1,809
- Q3 Revenue (TTM)₹22,060 Cr
- Q3 PAT (Q3 Qtr Only)₹1,107 Cr
- Q3 EPS (Quarterly)₹36.94
- Annualised EPS (Q3×4)₹147.76
- Book Value₹399
- Price to Book6.58x
- Dividend Yield0.08%
- Debt / Equity0.26x
- Order Book (Dec 2025)₹60,000 Cr
Decoder Alert: Waaree just ran Q3 FY26 with ₹7,565 crore revenue (+119% YoY), ₹1,107 crore PAT (+158% YoY), and 25% operating margins. They’ve installed 22.8 GW of solar module capacity and started a 5.4 GW cell factory running at 70–75% utilization. The stock swung ₹3,865 to ₹1,809 in 52 weeks. US tariff headlines are screaming 126% duties on India-made cells. Management claims they’re immune. The order book is fat at ₹60,000 crore. And somehow, all of this feels both euphoric and terrifying in equal measure.
02 — Introduction
Solar Is Having Its Moment. Waaree Is Having Theirs.
Waaree Energies is the largest solar module manufacturer in India. That’s not marketing fluff. They’ve got a 21% market share domestically and 44% of India’s solar module exports. Over 15 years in business. Founded in 1990. Quietly building backward-integrated factories while everyone else was complaining about Chinese dumping.
The solar sector in India is in full bloom. The government mandates domestic content. Tariffs protect local players. International buyers are desperately searching for non-Chinese alternatives. And Waaree has 22.8 GW of solar module capacity running, a brand-new 5.4 GW cell factory ramping up at 70–75% capacity utilization, and a ₹60,000 crore order book stretching into FY27–28.
Q3 FY26 just dropped: ₹7,565 crore revenue (the highest quarterly number they’ve ever posted), ₹1,107 crore profit, and 25% operating margins. YoY growth rates in the 119–158% range. ROCE sitting at 35%. The company just got upgraded to CARE AA- by CARE Ratings in February 2026 — a three-notch jump from CARE A+ the previous year.
But here’s the sauce: on February 25, 2026, the US Department of Commerce announced a preliminary 126% countervailing duty on solar modules using India-made cells. Waaree held a call, and management calmly stated they don’t use India-made cells for US exports. So they’re immune. Probably. Maybe. Let’s verify before your portfolio manager charges you two grand to regurgitate the concall.
Management Claim (Feb 25, 2026 Concall): “The 126% CVD is for any modules which will be using India-based cells. In our case, we don’t use those cells. So, 126% is not applicable for us at the given moment.” — CFO. We’ll come back to this.
03 — Business Model: How They Turn Sand Into Gold
Polysilicon → Wafers → Cells → Modules → Sunlight. Rinse. Repeat.
Waaree’s value chain is increasingly backward-integrated. Historically, they were just module assemblers buying cells from overseas suppliers (China, Taiwan, South Korea). But integration is the new name of the game.
As of December 2025, they’ve got 22.8 GW of solar module manufacturing capacity and a freshly operational 5.4 GW solar cell manufacturing facility (started September 2025, now running at 70–75% CUF). They’re building a deeply integrated 10 GW facility (wafer + cell + module) across Gujarat and Maharashtra, expected to be operational by end-FY27. Plus 4 GWh of battery energy storage solutions (BESS) under Phase I, scaling to 20 GWh, another ₹10,000 crore capex play.
Revenue mix: Solar PV modules (78%), Solar EPC services (15%), energy storage and others (7%). Geography: exports (57.6%), direct sales to utilities (30%), retail (10%), other income (0.8%). The US is their largest export market at 57% of overseas sales. Order book sits at ₹60,000 crore (as of December 2025), spanning domestic, exports, and franchisee channels.
The business model is “order-backed procurement with price indexation” — meaning they lock orders, then buy inputs to spec. Risk transfer. No speculative inventory. Customers foot the bill for raw material spikes. It’s a privilege of market dominance.
Margin Secret: They negotiate contracts that allow them to pass through commodity price shocks to customers. Not all players have that clout. This is why their operating margins expanded from 14.2% (FY24) to 24% (9M FY26) as volumes and tech efficiency improved. The moat is order-backed, price-indexed, and increasingly backward-integrated.
04 — Financials Overview
Q3 FY26: The Numbers Hit Different
Result type: Quarterly Results | Q3 FY26 EPS: ₹36.94 | Annualised EPS (Q3×4): ₹147.76 | FY25 Full-Year EPS: ₹65.00
| Metric (₹ Cr) |
Q3 FY26
Dec 2025 |
Q3 FY25
Dec 2024 |
Q2 FY26
Sep 2025 |
YoY % |
QoQ % |
| Revenue | 7,565 | 3,457 | 6,066 | +118.8% | +24.7% |
| Operating Profit | 1,928 | 722 | 1,406 | +167.0% | +37.0% |
| OPM % | 25% | 21% | 23% | +400 bps | +200 bps |
| PAT | 1,107 | 507 | 878 | +158.2% | +26.1% |
| EPS (₹) | 36.94 | 17.15 | 29.29 | +115.4% | +26.2% |
What’s Happening: Revenue explosive. +119% YoY is not “nice quarter” territory — it’s “we’re becoming a different company” territory. PAT grew 158% because volume increased AND margins expanded by 400 basis points (operating margin went from 21% to 25%). The new cell factory is running hot, capacity utilization is climbing, and economies of scale are kicking in. Annualised EPS on Q3 alone is ₹147.76, well above full-year FY25 EPS of ₹65. This is hypergrowth masquerading as “quarterly results.”
05 — Valuation Discussion
Fair Value Range — When Hypergrowth Meets P/E
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