Brokerage firm Prabhudas Lilladher has initiated coverage on Waaree Energies, highlighting the company's expansion into battery energy storage and inverter production. The firm projects steady financial growth through 2029 as new facilities begin operations. Investors are keeping a close watch on the company's ability to execute these projects while managing competition in the renewable energy equipment sector.
Brokerage firm Prabhudas Lilladher has started tracking Waaree Energies, projecting a growth path for the company through 2029. This outlook comes as the company moves to diversify its business beyond its core solar module manufacturing. The brokerage highlights that recent and upcoming capacity additions in battery energy storage and inverter technology are expected to be the main drivers for future revenue and profit.
Waaree Energies has been working to expand its footprint in the renewable energy sector. In July 2026, the company started operations at a new 5.15 gigawatt-hour facility for battery energy storage systems. This is part of a broader strategy to move into high-demand areas beyond traditional solar panels. The company is also working on a 4 gigawatt cell manufacturing project, which is expected to be ready by December 2026. By bringing these manufacturing processes under one roof, the company aims to reduce its reliance on external suppliers and strengthen its position in the energy storage market.
Beyond energy storage, the company is looking to grow its presence in the market for commercial and industrial inverters. Currently, the company has an inverter manufacturing capacity of 4 gigawatts, with about 58% of that capacity being used. The management has set a goal to manufacture 5,000 units by December 2026. Additionally, the company’s subsidiary, Waaree Power, is entering the market for printed circuit board assembly, catering to sectors such as automotive, medical, defense, and consumer electronics. This diversification is intended to tap into markets with strong potential for growth over the next few years.
Based on these expansion plans, the brokerage expects an annual growth rate of 22.5% in revenue, 16.4% in operating profit, and 8.9% in profit after tax from the current fiscal year through 2029. While these projections provide a positive outlook, investors often monitor risks inherent in the solar and electronics equipment sector. These include intense competition from both domestic and international players, fluctuations in raw material costs, and the risks associated with the timely execution of large capital-intensive projects. Any delay in the commissioning of the new cell manufacturing plant or a slower-than-expected pick-up in demand for inverters could affect these growth estimates.
The most important updates for investors to track in the coming months will be the progress on the 4 gigawatt cell manufacturing project. The operational status of this facility by its year-end deadline, along with the management's commentary on demand for new products, will provide further clarity on whether the company can maintain its projected growth trajectory in a competitive market.