Shakti Pumps Q2 FY27: Revenue Up 12%, EBITDA Halves

What changed in Q2 FY27

Shakti Pumps (India) Ltd reported higher consolidated revenue in Q2 FY27, but profitability weakened sharply on the operating line. Consolidated revenue rose to ₹746.03 crore from ₹666.35 crore in the year-ago quarter, a 12.0% year-on-year increase. EBITDA, however, fell to ₹64.03 crore from ₹135.95 crore, a 52.9% year-on-year decline.

The contrast between revenue growth and profit pressure has kept the focus on margin drivers and cash conversion. TradingView News also flagged that profits fell as receivables climbed and operating cash flow remained negative, alongside a lower cash balance.

Q1 FY27 set a record, but margins were tighter

The Q2 print follows a record revenue quarter in Q1 FY27. Shakti Pumps reported Q1 FY27 revenue of ₹859 crore versus ₹623 crore in Q1 FY26, up 37.9% year-on-year, driven by solar-pump execution and order book performance. The company also described Q1 FY27 as its “highest-ever” consolidated revenue.

On profitability, multiple reported disclosures pointed to pressure versus last year. EBITDA in Q1 FY27 was ₹83 crore, with an EBITDA margin of 9.6%, described as broadly stable quarter-on-quarter but lower year-on-year. Another reported summary stated PAT declined 47% year-on-year to ₹51.6 crore (₹516 million), even as it rose 35% sequentially to about ₹52 crore versus Q4 FY26.

Solar pump execution stayed central to growth

Operationally, solar pump installations were a key driver in Q1 FY27. Installations rose to 27,678 units from 17,557 units, representing 57.6% year-on-year growth. The ramp-up in volumes supported revenue acceleration and reinforced the company’s linkage to government-led solarisation programs.

The same period also showed early traction in the rooftop segment. Rooftop business revenue was reported at ₹8 crore in Q1 FY27 compared with ₹2 crore in Q1 FY26.

Working capital and receivables: the market’s main watchpoint

While revenue momentum has been strong, the interim commentary around H1 performance highlighted a different theme. TradingView News reported that Q2 and H1 showed higher revenue but lower profit, with working-capital outflows and rising receivables as notable factors. It also pointed to a lower cash balance and operating cash flow staying negative.

These signals matter for investors because solar pump execution can be working-capital intensive, especially when receivables stretch. The article data did not provide exact receivable or cash-flow figures, but the direction of change was explicitly flagged.

PM-KUSUM 2.0 visibility and policy linkage

Shakti Pumps’ near-term demand outlook remains tied to the rollout of PM-KUSUM. The company advanced PM-KUSUM 2.0, with the update noting it was awaiting PMO clearance. With Q1 FY27 growth largely attributed to solar pump execution, policy timing and state-level implementation remain important variables for delivery schedules and billing cycles.

From an investor standpoint, this linkage explains why volume growth and receivable build can move together in the same period.

Backward integration: solar cell capacity ramp-up

The company’s margin narrative includes backward integration and domestic supply alignment. Shakti Pumps commissioned 0.5 GW solar cell capacity in September 2026 and plans to scale to 2.2 GW by September 2027. It also indicated it anticipates a 3% EBITDA margin expansion after the 2.2 GW capacity commissioning.

Management commentary cited in the provided text also referenced a target of ₹5,000 crore revenue by FY29, supported by backward integration. Separately, it communicated an EBITDA margin ambition of 12-13% and indicated it expects recovery from Q2 FY27 onwards.

Events and dates investors tracked

The company announced its Q2 FY27 earnings conference call scheduled for 26 October 2026 at 14:00 IST. It also disclosed a board meeting on 23 October 2026 to consider and approve unaudited standalone and consolidated financial results for the quarter and half year ended 30 September 2026.

These milestones are relevant because they typically bring management commentary on margins, receivables, and execution timelines.

Key numbers at a glance

Investment view on the stock

Ajcon Global Services Limited reiterated a BUY recommendation on Shakti Pumps following the Q1 FY27 results announced on 27 July 2026. The note, as captured in the provided text, linked the growth thesis to PM-KUSUM rollout and the prospect of DCR-led margin recovery.

Investors, however, are also balancing that medium-term margin narrative against the near-term reality of compressed margins and working-capital strain flagged in interim coverage.

What to watch next

The immediate focus remains on management commentary around Q2 FY27 and H1 FY27 profitability trends, receivables, and cash conversion. Updates around PM-KUSUM 2.0 approvals and execution visibility will also be closely tracked because they influence volume flow and collections.

On the operating side, timelines for the planned scale-up from 0.5 GW commissioned capacity (September 2026) to 2.2 GW (targeted by September 2027) will be important for the company’s stated margin expansion expectations. The next checkpoints are the board-approved results and the scheduled analyst call in late October 2026.