CleanMax Powers Ahead: Strong Q3 FY26 Results Driven by Capacity Expansion and Data & AI Growth

Clean Max Enviro Energy Solutions Limited, a leading player in India's commercial and industrial (C&I) renewable energy sector, has reported robust financial and operational performance for the third quarter and nine months ended December 31, 2025 (Q3 FY26). The company, which recently made its maiden analyst call, showcased significant growth driven by strategic capacity expansion, a strong focus on the burgeoning Data & AI segment, and disciplined execution. These results underscore CleanMax's commitment to being a net-zero partner for corporates across diverse sectors.

The company's consolidated revenue from operations for the nine months ended December 2025 reached INR 1,355.4 crore, marking a 29% year-on-year increase. This growth was primarily fueled by a 26% rise in RE Power Sales revenue and a substantial 40% increase in RE Services revenue. EBITDA for the period grew by an impressive 33% year-on-year, reaching INR 944.8 crore, reflecting improved EBITDA margins across both business segments. Notably, the reported Profit After Tax (PAT) surged from INR 2 crore in the prior fiscal's nine-month period to INR 40 crore in the current period, indicating enhanced profitability and asset stabilization.

CleanMax's operational achievements are equally compelling. The company added 1.3 GW of capacity in just 11 months (April 1, 2025, to March 1, 2026), representing a 70% growth in operational RE Power Sales capacity. This expansion includes 85% solar and 15% wind projects commissioned across seven states, including Gujarat, Haryana, Karnataka, Maharashtra, Rajasthan, and Tamil Nadu. As of March 1, 2026, the total contracted RE Power Sales capacity stands at 5.7 GW, a threefold increase over the last two years, with 2.7 GW currently under execution. This robust pipeline ensures sustained growth in the coming fiscal years.

A significant driver of this growth is the company's strategic focus on the Data & AI segment, which now accounts for 42% of its contracted RE Power Sales capacity (2.4 GW). This segment has witnessed a nearly tenfold growth in less than two financial years. CleanMax recently commissioned its first 0.5 GW Central Transmission Utility (CTU)-connected plant in Bikaner, Rajasthan, specifically to supply environmental energy offsets to technology customers. The company has onboarded new Data & AI clients such as Iron Mountain, L&T Data, and Princeton Digital Group, while also expanding volumes for existing clients like STT data centers. This business model includes both direct electricity supply and environmental attribute purchase agreements (EAPAs), catering to the diverse needs of global tech companies.

Management's disciplined approach to project execution and capital allocation is evident in its performance metrics. Projects are consistently delivered on time and under budget, with the company building projects at 96.5% of the Board-approved capital expenditure. The weighted average interest rate on project finance has decreased from 9.2% to 8.7% as of 9M Dec'25, reflecting improved credit profiles and diversified funding sources. With a CARE A+ Stable Credit Rating and conservative leverage of 4.8x-4.9x Debt/Adjusted EBITDA, CleanMax maintains a healthy capital structure. The company also boasts a high grid uptime of over 99% and a strong repeat business rate, with 74% of new contracted volumes coming from existing clients, highlighting strong customer relationships and operational reliability.

Looking ahead, CleanMax has provided guidance for over 1.5 GW of additional RE Power Sales capacity in FY 2026-2027, with 1,500 MW targeted for commissioning in FY27 and the balance in FY28. The company anticipates further improvement in its RE Power Sales EBITDA margin, projecting it to reach 85%-86% in the next 2-3 years, driven by continued operating leverage. The SG&A to Total Income ratio is also expected to improve significantly from 18% to 10%. While acknowledging potential regulatory risks and transmission bottlenecks, management has proactively assessed these challenges, estimating a maximum EBITDA risk of 1.5%, demonstrating a balanced and transparent approach to risk management. CleanMax's strategic partnerships, such as the one with Osaka Gas, further enhance its equity efficiency and global reach, positioning it for sustained growth in the evolving renewable energy landscape.