This Green Energy Stock Just Exploded 652% in Profit — and It’s Quietly Powering India’s Renewable Revolution
ACME Solar’s Profit Skyrockets 652% YoY — Investors Turn Bullish on India’s Renewable Giant
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The renewable energy sector in India just got a major jolt of optimism. ACME Solar Holdings Ltd, one of the country’s leading clean energy players, has posted staggering Q2 FY26 results, leaving analysts and investors scrambling to reassess its growth potential.
The company’s shares jumped nearly 5% in a single session, reaching ₹285.40 after reporting an eye-popping 652% year-over-year (YoY) surge in profit after tax (PAT). The stock, with a market capitalization of ₹16,470 crore, has become one of the hottest names in the green energy space this quarter.
Despite trading at a price-to-earnings (PE) ratio of 32.4—well below its median PE of 63.7—many believe the stock could still be undervalued, given its rapid capacity expansion and strategic positioning in solar and battery energy storage.
Q2 FY26: Record-Breaking Performance
ACME Solar reported total revenue of ₹601 crore, marking a 103.8% YoY jump compared to ₹295 crore in Q2 FY25. Sequentially, revenue rose by 3% from ₹583.9 crore in Q1 FY26, showcasing steady growth despite industry headwinds.
The PAT soared to ₹115 crore, up from ₹15 crore a year ago — a 652% YoY increase. However, it did see a 12% dip QoQ from ₹130.8 crore, reflecting one-time operational costs tied to new projects. Even with that, the PAT margin improved to 19.1%, up from 5.2% a year earlier. EBITDA margins also strengthened to 88.8%, underscoring disciplined cost management and improved project efficiency.
Expansion in Motion: Betting Big on Energy Storage
ACME Solar is aggressively expanding its Battery Energy Storage System (BESS) capacity — a segment set to define the next decade of renewable energy. The company recently secured 720 MW / 2,460 MWh worth of new renewable projects, including solar and hybrid systems paired with large-scale storage.
One key milestone: ACME signed its first-ever Power Purchase Agreement (PPA) with a private discom — Tata Power Company Ltd. This deal signals the start of deeper private-sector participation and diversification beyond government contracts.
To support this growth, ACME has placed additional orders for 2 GWh of BESS from global suppliers, taking its total ordered capacity to 5.1 GWh. This scale-up shows a strong intent to lead India’s transition toward firm, dispatchable renewable power — renewable energy that can be supplied reliably, even during low generation periods.
Leadership’s Vision: “Discipline, Efficiency, and Execution”
Chairperson and MD Manoj Kumar Upadhyay said the Q2 performance highlights the “resilience of ACME’s renewable portfolio and operational discipline.”
“With higher generation and improved efficiency, we delivered more than 100% growth in EBITDA year-over-year. In October 2025, we installed a 10 MWh pilot BESS in Rajasthan — a major step toward scalable energy storage,” he stated.
The company expects phased delivery of the 5.1 GWh BESS order starting December 2025, with commissioning beginning in Q4 FY26. ACME aims to keep strengthening its balance sheet through timely project execution, efficient capital allocation, and reduced financing costs.
Inside ACME Solar: A Renewable Powerhouse
Founded as a pure-play renewable firm, ACME Solar Holdings Ltd operates across solar, wind, hybrid, and FDRE (Firm and Dispatchable Renewable Energy) projects. With 2,918 MW of operational capacity and 4,472 MW under construction, including 13.5 GWh of BESS installations, ACME ranks among India’s top 10 independent renewable power producers.
The company’s business model ensures steady cash flows through long-term Power Purchase Agreements (PPAs) with both public and private buyers. Its in-house EPC and O&M capabilities provide control over costs, suppliers, and timelines — a major edge in a capital-intensive industry where delays can crush margins.
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The Bigger Picture: Why This Matters
India’s push toward net-zero emissions by 2070 hinges on scaling renewable infrastructure and energy storage systems. ACME’s early investment in BESS places it ahead of the curve — right where the next phase of energy transition is headed.
While the stock’s recent rally reflects strong sentiment, the company’s long-term potential rests on one factor: execution. With robust fundamentals, a disciplined leadership team, and growing private-sector partnerships, ACME Solar is emerging as a serious contender in India’s clean energy transformation.
In a market flooded with short-term noise, this company is quietly building the backbone of India’s renewable future — one megawatt at a time.
ACMESolar #GreenEnergy #RenewableIndia
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