JSW Energy Sells Partial JSW Steel Stake for ₹3,150 Crores to Fund Growth Strategy

JSW Energy Limited's Board of Directors, at its meeting held on May 11, 2026, approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, in compliance with Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were audited by Deloitte Haskins & Sells LLP, Chartered Accountants, Mumbai, who issued audit reports with unmodified opinion on both standalone and consolidated financial statements. The board meeting commenced at 12:00 noon and concluded at 3:35 p.m.

FY26 Financial Highlights

JSW Energy reported its highest-ever annual power sales, EBITDA, and PAT for FY26. FY26 EBITDA grew 81% YoY, while PAT rose 39% YoY, driven by the integration of KSK Mahanadi and O2 Power acquisitions, as well as organic capacity additions. The following table summarises the key consolidated financial metrics for the year and quarter ended March 31, 2026:

Metric: Q4 FY26 Q4 FY25 YoY Change FY26 FY25 Revenue from Operations (₹ crore): 4,498.58 3,189.39 +41% 18,901.13 11,745.39 Total Income (₹ crore): 4,850.87 3,497.39 +39% 19,877.72 12,639.49 Total Expenses (₹ crore): 4,666.31 3,142.05 — 17,838.44 10,448.34 Profit Before Tax (₹ crore): 187.80 360.71 — 1,985.82 2,213.90 PAT (₹ crore): 573.53 414.51 +38% 2,762.41 1,982.88 Basic EPS (₹): 2.12 2.34 — 12.82 11.19 Diluted EPS (₹): 2.07 2.34 — 12.74 11.18

For Q4 FY26, consolidated net profit rose to ₹5.7B versus ₹4.1B in Q4 FY25, while revenue stood at ₹44.99B compared to ₹31.9B YoY. EBITDA for Q4 FY26 came in at ₹22.53B, with the EBITDA margin expanding significantly to 50% from 37.94% in Q4 FY25. Total Revenue increased 39% YoY to ₹4,851 crore, with EBITDA growth of 72% YoY at ₹2,602 crore. The Mahanadi plant contributed ₹943 crore to consolidated EBITDA during the quarter, while O2 Power contributed ₹263 crore. Finance costs during the quarter increased to ₹1,608 crore vis-à-vis ₹675 crore in Q4 FY25, due to incremental borrowings for ongoing capacity expansion. The weighted average cost of debt (including working capital) declined by 67 bps YoY to 8.36%. PAT to shareholders for Q4 FY26 at ₹372 crore declined by 8% YoY, primarily driven by higher non-controlling interests, with Cash PAT to shareholders standing at ₹699 crore.

Consolidated Segment Performance

The following table presents segment-wise revenue and results for the year ended March 31, 2026:

Segment: FY26 Revenue (₹ crore) FY25 Revenue (₹ crore) FY26 Segment Result (₹ crore) FY25 Segment Result (₹ crore) Thermal: 13,212.23 7,941.75 4,366.68 1,858.48 Renewables: 5,625.75 3,578.90 3,055.08 2,075.33 Unallocated: 63.15 224.74 20.32 126.80 Total: 18,901.13 11,745.39 7,442.08 4,060.61

Operational Performance

Power sales volume grew 58% YoY for FY26 and 48% YoY for Q4 FY26, from 7.9 BUs to 11.7 BUs. Installed capacity increased by 118 MW during the quarter to 13.45 GW, with total capacity comprising 7,796 MW of renewable energy (58%) and 5,658 MW of thermal (42%). During the last twelve months, installed capacity addition stood at 2,579 MW, including 1,343 MW of inorganic capacity via the O2 Power portfolio acquisition. The current total locked-in generation capacity stands at 32.1 GW.

Thermal generation grew 43% YoY from 6.2 BUs to 8.8 BUs in Q4 FY26, led by contributions from the Mahanadi Plant and Utkal. Renewable energy generation rose 68% YoY from 1.7 BUs to 2.9 BUs, primarily driven by the O2 portfolio and organic capacity additions. Net long-term PPA sales grew 25% YoY from 6.9 BUs to 8.6 BUs, while short-term thermal sales stood at 3.1 BUs, up 201% YoY from 1.0 BUs.

Location/Plant: Q4 FY26 (MUs) Q4 FY25 (MUs) YoY Change Vijayanagar: 1,361 1,325 +3% Ratnagiri: 1,556 1,950 -20% Barmer: 1,423 1,562 -9% Mahanadi: 3,384 790 +328% Utkal: 1,064 531 +100% Nandyal: 25 23 +9% Hydro: 485 383 +27% Solar: 1,121 372 +201% Wind: 1,307 974 +34% Total: 11,726 7,912 +48%

Balance Sheet and Liquidity

The Consolidated Net Worth as on March 31, 2026 stood at ₹30,752 crore. Net Debt increased to ₹65,834 crore as on March 31, 2026; excluding CWIP debt, Net Debt to EBITDA stood at 5.2x, and Net Debt to Equity ratio stood at 2.1x. Receivables on a DSO basis stood at 62 days, down from 76 days as on March 31, 2025. Liquidity remains ample with cash balances of ₹10,013 crore as of March 31, 2026. Robust FY26 annual cash PAT to shareholders stood at ₹4,359 crore, translating into a Return on adjusted net worth of 18%.

Parameter: As at 31.03.2026 (₹ crore) As at 31.03.2025 (₹ crore) Total Assets: 1,24,181.69 89,938.98 Equity Share Capital: 1,756.18 1,745.25 Other Equity: 28,995.33 25,616.18 Total Segment Liabilities: 90,604.33 60,853.92

Strategic Outlook and Capacity Expansion Plans

JSW Energy has outlined an ambitious growth roadmap, targeting a net debt-to-EBITDA ratio of approximately 5x to 5.5x by 2030, supported by rising free cash flows. The company is confident of achieving a 3 gigawatt capacity increase by FY27, having addressed land and connectivity challenges. Beyond FY27, JSW Energy plans to add approximately 3 to 3.5 gigawatts each year, targeting a total installed capacity of 30 gigawatts by FY30, which includes future thermal capacity contributions.

For FY27, the capacity addition is expected to comprise 35% to 40% from wind and the remainder from solar. The company projects a capital expenditure of approximately ₹20,000 crore for FY27, with ₹4,000–5,000 crore earmarked for thermal and pumped storage projects. On the demand side, JSW Energy noted that India's power demand increased by just 0.9% in FY26, the slowest growth in five years, attributed to a prolonged monsoon season.

Strategic Parameter: Details Net Debt-to-EBITDA Target (FY30): ~5x to 5.5x FY27 Capacity Addition Target: ~3 GW Annual Addition Target (Post FY27): ~3 to 3.5 GW per year Total Capacity Target (FY30): 30 GW FY27 Capex Projection: ~₹20,000 crore FY27 Thermal & Pumped Storage Capex: ₹4,000–5,000 crore FY27 Capacity Mix: 35%–40% Wind, balance Solar India Power Demand Growth (FY26): 0.9% (slowest in 5 years)

Key Corporate Actions and Strategic Updates

The Board recommended a dividend of ₹2 per equity share of ₹10 each (20%) for the financial year 2025-26, subject to shareholder approval at the forthcoming 32nd Annual General Meeting. The Register of Members and Share Transfer Books will remain closed from June 6, 2026 to June 12, 2026 (both days inclusive), with a record date of June 5, 2026. The 32nd Annual General Meeting is scheduled for July 9, 2026.

The Board also recommended the re-appointment of Mr. Rajiv Chaudhri (DIN: 10134162) as an Independent Director for a second term of 5 consecutive years with effect from July 14, 2026. Mr. Chaudhri, aged about 68 years, holds a Master in Public Administration from Harvard University, an MBA from IIM Ahmedabad, and a BA in Economics from St. Stephens College, Delhi. He is the Founder and CEO of Sunsara Capital and brings over 40 years of experience in investment management. Prior to founding Sunsara, Mr. Chaudhri was the Founder and President of Digital Century Capital for 15 years, and earlier served as a prominent securities analyst at Goldman, Sachs & Co., where he developed the "Goldman Sachs Tech Index" and led the Global Semiconductor Research team.

Corporate Action: Details Dividend Recommended: ₹2 per share (20%) for FY26 Record Date: June 5, 2026 Book Closure: June 6, 2026 to June 12, 2026 32nd AGM Date: July 9, 2026 Independent Director Re-appointment: Mr. Rajiv Chaudhri, effective July 14, 2026 (5-year term)

On the strategic front, JSW Energy completed the acquisition of Raigarh Champa Rail Infrastructure under IBC for ₹700.10 crore, securing full operational control over critical railway infrastructure for the 3,600 MW Mahanadi thermal power plant. The Kutehr Hydroelectric Power Plant (240 MW) was fully commissioned, and the acquisition of Tidong Hydro Power (150 MW under construction) from Statkraft was completed. The company also raised ~₹3,000 crore via a preferential equity allotment to promoters. India's largest Green Hydrogen plant was commissioned, and a 5.0 GWh Battery assembly facility was operationalized during the year. The first BESS container was supplied from the Company's 5 GWh Battery assembly plant in Pune during Q4 FY26. Additionally, JSW Energy entered into a Scheme of Arrangement with GE Power India Limited for acquisition of its power boiler components and related manufacturing business at its Durgapur (West Bengal) facility.

Standalone Financial Performance

On a standalone basis, JSW Energy reported total income of ₹3,971.68 crore for FY26, compared to ₹4,619.85 crore in FY25. Standalone profit for the year stood at ₹859.02 crore versus ₹1,221.00 crore in FY25. Basic EPS for FY26 stood at ₹4.92 and diluted EPS at ₹4.89. The standalone net worth as on March 31, 2026 stood at ₹17,250.18 crore.

Standalone Metric: FY26 (₹ crore) FY25 (₹ crore) Revenue from Operations: 3,029.40 3,939.31 Total Income: 3,971.68 4,619.85 Profit Before Tax: 824.08 1,278.82 Profit for the Year: 859.02 1,221.00 Basic EPS (₹): 4.92 7.01 Diluted EPS (₹): 4.89 7.00

The disclosure was signed by Monica Chopra, Company Secretary, on behalf of JSW Energy Limited, and is dated May 11, 2026.

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