Alpex Solar Q2 profit falls 62% as revenue declines

Alpex Solar Limited reported standalone profit after tax of Rs 20.037 crore for the quarter ended September 30, 2026, down 62% from Rs 52.0865 crore a year earlier, as revenue from operations fell 28% to Rs 377.1265 crore and finance costs increased to Rs 18.6019 crore. Profit was also 48% below the preceding quarter.

Why did Alpex Solar’s Q2 profit decline?

Alpex Solar’s standalone profit declined because lower revenue coincided with higher finance and depreciation costs in the September 2026 quarter. Profit before tax fell to Rs 23.203 crore from Rs 71.7347 crore in the quarter ended September 30, 2025, while revenue from operations decreased by Rs 145.2885 crore from Rs 522.415 crore.

The sequential result also weakened. Revenue was Rs 501.4332 crore in the quarter ended June 30, 2026, making September-quarter revenue lower by Rs 124.3067 crore. Profit after tax declined from Rs 38.7346 crore in the June quarter to Rs 20.037 crore, while basic earnings per share fell from Rs 15.16 to Rs 7.84.

How did Alpex Solar’s costs change in Q2?

Alpex Solar’s finance costs rose to Rs 18.6019 crore in the September 2026 quarter from Rs 3.3725 crore a year earlier and Rs 14.9599 crore in the June 2026 quarter. Depreciation and amortisation increased to Rs 11.1226 crore from Rs 4.0545 crore in the year-earlier quarter, adding Rs 7.0681 crore to expenses.

Material consumption decreased to Rs 341.9115 crore from Rs 469.4052 crore, broadly in line with the lower revenue base. However, employee-benefit expense rose to Rs 10.6044 crore from Rs 6.9784 crore, while other expenses increased to Rs 17.0525 crore from Rs 16.7168 crore. The change in finished-goods, work-in-process and stock-in-trade inventory was negative Rs 43.7519 crore, compared with negative Rs 48.4892 crore a year earlier.

Alpex Solar recorded total income of Rs 378.744 crore, including other income of Rs 1.6176 crore, against total expenses of Rs 355.541 crore. In the September 2025 quarter, total income was Rs 523.7729 crore and expenses were Rs 452.0382 crore, leaving a larger pre-tax profit despite lower finance costs and depreciation in that period.

What do Alpex Solar’s half-year results show?

Alpex Solar’s standalone revenue for the half year ended September 30, 2026 was Rs 878.5597 crore, down 2% from Rs 902.7483 crore in the corresponding prior-year half. Profit after tax fell 38% to Rs 58.7716 crore from Rs 94.6155 crore, while profit before tax declined to Rs 75.3007 crore from Rs 129.3688 crore.

The half-year cost comparison shows finance costs of Rs 33.5618 crore, compared with Rs 6.6972 crore a year earlier, and depreciation and amortisation of Rs 21.0514 crore, compared with Rs 8.1869 crore. Employee-benefit expense increased to Rs 21.5343 crore from Rs 12.6498 crore, whereas material consumption declined to Rs 791.1409 crore from Rs 816.6955 crore.

Tax expense for the six months was Rs 16.5291 crore, lower than Rs 34.7533 crore in the corresponding period. Basic and diluted earnings per share were Rs 23.01, compared with Rs 38.66, and total comprehensive profit was Rs 58.7897 crore, compared with Rs 94.6063 crore.

How much did Alpex Solar’s capital work-in-progress and borrowings rise?

Alpex Solar’s standalone capital work-in-progress increased to Rs 678.0533 crore at September 30, 2026 from Rs 159.9039 crore at March 31, 2026. The Rs 518.1494 crore movement contributed to non-current assets rising to Rs 976.5076 crore from Rs 475.0181 crore over the six-month period.

Total standalone borrowings, combining current and non-current balances, rose to Rs 824.1514 crore from Rs 506.5209 crore. Non-current borrowings increased to Rs 351.4312 crore from Rs 259.7445 crore, and current borrowings increased to Rs 472.7202 crore from Rs 246.7764 crore.

Inventories rose to Rs 519.4967 crore from Rs 358.7046 crore, while trade receivables increased to Rs 277.2665 crore from Rs 258.0765 crore. Cash and cash equivalents declined to Rs 13.1328 crore from Rs 22.8662 crore, and bank balances other than cash equivalents decreased to Rs 32.1023 crore from Rs 119.9409 crore.

What did Alpex Solar’s half-year cash flow show?

Alpex Solar reported net cash from operating activities of Rs 100.1633 crore for the half year ended September 30, 2026, compared with net cash used of Rs 64.9937 crore in the corresponding prior-year period. Inventory absorbed Rs 160.7922 crore of cash, while trade payables contributed Rs 131.7526 crore and other financial liabilities contributed Rs 19.5332 crore.

Investing activities used Rs 394.6184 crore, compared with Rs 80.3424 crore used a year earlier. Net additions in property, plant and equipment were Rs 544.8383 crore, partly offset by Rs 92.4263 crore of proceeds from or reduction in fixed deposits and Rs 54.9054 crore relating to advances for capital assets.

Financing activities provided Rs 284.7218 crore, compared with Rs 232.8714 crore in the prior-year half. Net long-term borrowing was Rs 91.6866 crore and net short-term borrowing was Rs 225.9438 crore, while finance-cost payments were Rs 29.5925 crore. The reported net cash movement reduced cash and cash equivalents by Rs 9.7334 crore.

Conclusion

Alpex Solar’s September 2026 standalone quarter combined a 28% year-on-year revenue decline with a 62% fall in profit after tax. The half-year revenue decline was narrower at 2%, but profit after tax still decreased 38% as finance costs rose by Rs 26.8646 crore and depreciation and amortisation increased by Rs 12.8645 crore.

The company’s disclosed next corporate step is a proposed migration of its equity shares from the NSE Emerge Platform to the Main Board of the National Stock Exchange of India Limited and BSE Limited. The proposal remains subject to shareholder approval, eligibility criteria prescribed by the exchanges and other required regulatory approvals.