Government-owned lender Indian Renewable Energy Development Agency (IREDA) reported revenue from operations of ₹23.45 billion (~$247.33million) in the second quarter (Q2) of the financial year (FY) 2027, up 14% year-over-year (YoY) from ₹20.57 billion (~$216.95 million).

IREDA Chairman and Managing Director Bijay Kumar Mohanty attributed the performance to sustained demand for renewable energy financing and the company’s focus on quality growth.

He said the increase in loan disbursements and the loan book reflected continued demand for renewable energy financing, while improved asset quality demonstrated the effectiveness of its risk management and monitoring framework.

IREDA’s profit after tax (PAT) increased 1% YoY to ₹5.54 billion (~$58.43 million) from ₹5.49 billion (~$57.9 million).

First Half Results

For the first half (1H) of FY 2027, IREDA’s revenue was ₹45.95 billion (~$484.31 million), up 14.8% YoY from ₹40.04 billion (~$422.29 million).

Its PAT increased 11.9% YoY to ₹8.91 billion (~$94.08 million) from ₹7.96 billion (~$83.95 million).

EPS stood at ₹3.17 (~$0.033), compared with ₹2.88 (~$0.030) a year earlier.

Business Highlights

During Q2 FY 2027, IREDA disbursed loans worth ₹105.79 billion (~$1.12 billion), up 31% from ₹80.62 billion (~$850.28 million) in the corresponding quarter last year.

During 1H, IREDA approved loans worth ₹230.72 billion (~$2.43 billion), down 30.4% YoY from ₹331.48 billion (~$3.50 billion). Loan disbursements increased 13.9% YoY to ₹171.35 billion (~$1.81 billion) from ₹150.43 billion (~$1.59 billion).

The lender’s outstanding loan book expanded 15% YoY to ₹974.11 billion (~$10.27 billion) as of September 30, 2026, compared with ₹844.77 billion (~$8.91 billion).

Private-sector borrowers accounted for 74% of IREDA’s outstanding loan portfolio, with loans totaling ₹717.76 billion (~$7.57 billion), while public-sector borrowers accounted for the remaining 26%, at ₹256.35 billion (~$2.70 billion).

Solar remained IREDA’s largest lending segment, with outstanding loans of ₹234.37 billion (~$2.47 billion), accounting for 24% of its total loan book. Loans to state utilities accounted for 20%, followed by manufacturing at 12% and wind power at 10%.

In October 2026, IREDA lent ₹29.41 billion (~$307.36 million) to Vikran Engineering’s wholly owned subsidiary, NOPL Solar Projects.

Outstanding loans to hybrid wind and solar projects increased 68.5% YoY to ₹57.87 billion (~$610.34 million) from ₹34.35 billion (~$362.28 million).

Loans to hydropower projects stood at ₹76.90 billion (~$811.05 million), while loans to ethanol projects totaled ₹73.76 billion (~$777.93 million).

IREDA’s exposure to emerging technologies included ₹7.13 billion (~$75.20 million) in outstanding loans to green hydrogen projects and derivatives and ₹5.76 billion (~$60.75 million) to electric vehicle projects.

The lender raised ₹100.71 billion (~$1.06 billion) through borrowings during 1H FY 2027. Its total outstanding borrowings rose to ₹808.82 billion (~$8.53 billion) as of September 30, 2026, up from ₹699.41 billion (~$7.38 billion) a year earlier.

Domestic borrowings accounted for 86% of the total at ₹693.78 billion (~$7.32 billion), comprising bonds worth ₹331.80 billion (~$3.50 billion) and loans from banks and other institutions worth ₹361.98 billion (~$3.82 billion).

Foreign borrowings accounted for the remaining 14%, totaling ₹115.05 billion (~$1.21 billion), of which 82% were hedged.

The lender reported improved asset quality, with net non-performing assets declining to 1.08% from 1.97% in the corresponding quarter of the previous year.

IREDA’s provision coverage ratio improved to 70.44% as of September 30, 2026, from 51.48% a year earlier.

Its yield on loan assets declined to 9.41% from 9.87%, while the cost of borrowings decreased marginally to 7.20% from 7.24%.

In Q1 of FY 2027, IREDA posted revenue from operations of ₹22.5 billion (~$235.2 million), up 15% YoY from ₹19.48 billion (~$203.6 million).