Premier Energies (PREMIERE IN) – Q2FY27 Result Update – Growth on Track with Margins Under Watch – BUY
Published on 05 Nov 2026
Premier Energies reported a healthy Q2FY27 performance, with consolidated revenue growing 43.3% YoY, supported by higher utilization in cell and capacity ramp-up. EBITDA margin contracted 260bps YoY to 28%, reflecting a change in business mix.. Around 25-30% of the order book comprises non-DCR orders, which carry relatively lower margins. The 7GW TOPCon cell line at Naidupeta is undergoing commissioning and trial runs, with management expecting CUF to reach 25-30% in Dec’26 and ~70% by Mar’27. This ramp-up, along with higher volumes from the expanded Seetharampur module facility, is expected to drive a meaningful increase in output over the coming quarters. Management expects inventory levels to normalize as new capacities ramp up, with FY27 capex estimated at ~INR24bn. We estimate revenue/EBITDA/PAT CAGR of 40.3%/30.3%/17.7% over FY26-27E. We tweak our FY27E/FY28E earnings estimates with a revised TP of INR1,288 (earlier INR1,361), based on 11.5x Sep’28E EV/EBITDA with an implying PE of 21x Sep’28E. Maintain ‘BUY’
