CleanMax Q3 FY26: EBITDA Soars 40% to ₹307 Cr on Capacity and Tech Focus

Clean Max Enviro Energy Solutions announced strong financial results for the third quarter of fiscal year 2026, reporting a 40% year-on-year surge in EBITDA to ₹307 crore. The company’s operational capacity also grew to 3.0 GW.

For the nine-month period (9M FY26), EBITDA increased by 33% year-on-year. The company's contracted capacity has risen significantly, up 300% over the past two years to 5.7 GW.

This performance highlights Clean Max's rapid expansion and its strategic shift toward high-growth sectors. The Data & AI sector now accounts for 42% of its contracted volume. The company also noted a partnership with Osaka Gas to build over 400 MW and plans to add 1.5 GW of renewable energy sales capacity in FY27. Management projects EBITDA margins to expand to 85%-86% within two to three years, up from the current 83%, signaling improved operational efficiency.

Founded in 2010 and based in Mumbai, Clean Max is a key provider of renewable energy solutions for commercial and industrial clients in India. In March 2025, it formed a joint venture named CORE with Osaka Gas and the Japan Bank for International Cooperation (JBIC) to develop 400 MW of renewable projects. The company is also preparing for its market debut, having secured SEBI approval for a ₹5,200 crore IPO in October 2025. Prior to this, Clean Max raised about ₹1,500 crore in a pre-IPO funding round in February 2026, supported by investors like Temasek and Bain Capital. Separately, Clean Max entities resolved a case with SEBI in December 2023 regarding alleged AIF rule violations, paying over ₹17 lakh.

The company is now set for accelerated growth, driven by strong market demand and strategic partnerships. Its increasing focus on the Data & AI sector provides a promising, higher-margin segment. Clean Max aims to strengthen its balance sheet through improved margins and debt reduction, which will be supported by IPO proceeds. The upcoming IPO is also expected to boost market visibility and capital access.

However, Clean Max faces several risks. Transmission issues at its Bikaner 2 project are expected to delay commissioning until Q4 2026. The company also carries substantial debt, with a Debt-to-Equity ratio around 297.8% as of September 2025, requiring careful financial management despite plans to reduce it post-IPO. Potential shifts in banking norms or cross-subsidy surcharges could also present ongoing regulatory challenges.

In the competitive renewable energy sector, Clean Max's 3.0 GW operational capacity is expanding quickly. While rivals like Adani Green Energy (8,086 MW in FY23) and Tata Power Renewables (5.5 GW by Q3 FY26) are also growing, Clean Max stands out for its focus on the commercial and industrial (C&I) segment and clients in emerging tech sectors. The demand for project execution is evident from Sterling and Wilson Renewable Energy's order book of ₹10,413 Cr in Q3 FY26.

As of Q3 FY26, total contracted energy sales reached 5.7 GW. The operational capacity for energy sales was 3.0 GW as of March 1, 2026. Tariffs for the 2.7 GW pipeline currently under execution are set at approximately ₹3.84 per unit.

Investors will be monitoring several key developments. These include Clean Max's progress towards its FY27 target of adding 1.5 GW of capacity and its ability to achieve the projected EBITDA margins of 85%-86%. The resolution of transmission bottlenecks at the Bikaner 2 project and the market reception of its upcoming IPO will also be critical. Progress on the Clean Max Osaka Gas Renewable Energy (CORE) joint venture projects will be another area to watch.