Indosolar Reports Sharp Q2 Profit Decline Amid Ongoing Merger

Profit After Tax: Rs 5.02 Crore | Total Income: Rs 157.17 Crore

Reader Takeaway: Earnings faced significant pressure this quarter, while shareholders should monitor the pending merger with Waaree Energies.

What just happened

Indosolar Limited has released its unaudited financial results for the quarter and half-year ended September 30, 2026. The company reported a substantial decline in profitability compared to the same quarter of the previous fiscal year. Total income for the period stood at Rs 157.17 crore, down from Rs 202.56 crore recorded in Q2 FY26. Consequently, Profit After Tax (PAT) narrowed to Rs 5.02 crore, compared to Rs 46.34 crore in the year-ago period. The Basic EPS dropped to Rs 1.20 from Rs 11.14.

Why this matters

The financial results highlight a challenging operating environment for the company. The contraction in margins and top-line revenue reflects significant volatility compared to last year's performance. For investors, these figures serve as a critical checkpoint while the firm navigates its transition phase.

The backstory

The board of directors reaffirmed the company's commitment to its merger with Waaree Energies Limited. The draft scheme of amalgamation, approved by the board on September 23, 2026, involves the merger of Indosolar Limited (Transferor) into Waaree Energies Limited (Transferee). Upon completion, Indosolar will dissolve without being wound up.

Risks to watch

Investors should closely track the progress of the amalgamation process. Regulatory approvals remain a prerequisite for the scheme to become effective. Market participants should also monitor potential fluctuations in top-line revenue as the company approaches the transition.

What to track next

The finalization of the amalgamation scheme remains the primary event to monitor. Shareholders are advised to watch for further regulatory disclosures and milestones regarding the merger's implementation.