Energy storage solutions provider Amara Raja Energy & Mobility reported consolidated revenue from operations of ₹41.09 billion (~$451.99 million) in the second quarter (Q2) of the financial year (FY) 2027, up 18.5% year-over-year (YoY) from ₹34.67 billion (~$381.37 million).

Earnings before interest, taxes, depreciation, and amortization (EBITDA) declined 3.4% YoY to ₹3.62 billion (~$39.82 million) from ₹3.74 billion (~$41.14 million).

Despite revenue increasing, net profit declined 44.8% YoY to ₹1.53 billion (~$16.83 million) from ₹2.77 billion (~$30.47 million).

Diluted earnings per share fell to ₹8.33 (~$0.0916) from ₹15.11 (~$0.1662).

Revenue growth was supported by demand from automotive original equipment manufacturers (OEMs), aftermarket sales, the home energy and industrial uninterruptible power supply (UPS) segments, and stationary telecom battery packs.

In Q1 FY 2027, Amara Raja reported a revenue from operations of ₹42.15 billion (~$463.65 million), up 23.9% YoY from ₹34.01 billion (~$374.11 million).

First Half of FY 2027

Amara Raja reported a consolidated revenue of ₹83.23 billion (~$915.53 million) in the first half (1H) of FY 2027, up 21.2% YoY from ₹68.68 billion (~$755.48 million).

EBITDA rose 4% YoY to ₹7.68 billion (~$84.48 million), while the EBITDA margin narrowed to 9.2% from 10.7%. Profit before exceptional items and tax declined 1.9% to ₹4.63 billion (~$50.93 million).

Net profit fell 22.2% YoY to ₹3.43 billion (~$37.73 million) from ₹4.41 billion (~$48.51 million).

Business Updates

Amara Raja reported double-digit growth in automotive OEM volumes across four-wheelers and two-wheelers. Domestic aftermarket volumes grew modestly, while the home energy business increased its market share. Demand from data centers supported the company’s industrial UPS segment.

Geopolitical uncertainty and shipping disruptions affected export order fulfillment despite strong international demand.

The company attributed the decline in its EBITDA margin to 8.8% to higher raw material costs and increased spending on strategic initiatives, including Amaron Assist and Factory of Future.

Its new energy business reported revenue growth of more than 30%, supported by supplies of telecom and electric vehicle battery packs. The company said the telecom sector’s transition to lithium-based batteries supported demand.

Amara Raja has invested ₹21 billion (~$231 million) in its wholly owned subsidiary Amara Raja Advanced Cell Technologies. Its board approved plans for setting up a 5 GWh lithium iron phosphate cell factory and an increase in battery pack assembly capacity from 4 GWh to 9 GWh.

It also approved additional investments totaling ₹5.5 billion (~$60.5 million) in two wholly owned subsidiaries to support the development of a lithium-ion battery gigafactory and manufacturing requirements.

The company expects to commission its first gigafactory in Telangana in Q2 FY 2028 with 2 GWh of nickel manganese cobalt cell capacity. It is also planning a 10 GWh battery energy storage system manufacturing facility for commercial, industrial, and grid applications.

Amara Raja expects its energy storage system project to commence operations in November 2026. Its E+Ve research laboratory began operations in October 2026, and its customer qualification plant commenced operations in July 2026.