Inox Wind Ltd Management Discussions

Management Discussion and Analysis

Economic Overview

Global Economy

The global economy in CY 2025 operated within a complex macroeconomic environment characterised by geopolitical tensions, shifting trade dynamics and structural supply chain realignments. Throughout the year, manufacturing and logistics sectors proactively adapted to evolving trade dynamics and tariff recalibrations, encouraging healthy diversification of sourcing and a renewed emphasis on regional self-reliance. This evolution proved particularly beneficial for regions with localised manufacturing footprints, facilitating efficient trade routes and mitigating external volatility, ensuring essential goods and energy components continued to flow uninterrupted. Despite these headwinds, the global output expanded by 3.5%, supported by policy interventions and sustained momentum in technology- related investment. However, growth in advanced economies moderated to 1.9% in CY 2025, whereas emerging market and developing economies achieved higher growth at 4.5%, supported by technology-enabled trade flows across Asia.

Outlook

Global growth is projected to moderate to 3.0% in CY 2026, before a modest recovery to 3.4% in CY 2027, weighed down by geopolitical disruptions, elevated commodity prices and persistent structural constraints. Global headline inflation is projected at 4.4% in CY 2026, driven by rising energy and food prices. While active hostilities in the Middle East have eased, the region continues to present geopolitical risks to the global outlook, with potential implications for commodity markets, inflation expectations and financial stability. Although immediate concerns over disruptions to major energy infrastructure and critical trade routes, including the Strait of Hormuz, have moderated, any renewed escalation could materially affect global hydrocarbon supply and intensify energy market pressures. Growth prospects remain uneven, leaving emerging and developing economies that are net commodity importers particularly vulnerable to inflationary pressures, currency volatility and external shocks.

Emerging markets are expected to remain the primary contributors to global economic growth, driven by strong domestic consumption and expansion in the services sector. Meanwhile, advanced economies are likely to witness a gradual recovery, supported by disciplined monetary policies and improving investment conditions for capital-intensive industries. The global focus on energy security and sustainable infrastructure remains a primary driver of long-term growth. Technological innovation and operational excellence, on the other hand, contribute to a stable and prosperous economic future.

Indian Economy

India sustained its position among the worlds fastest-growing major economies during FY 2025-26, with real GDP growth at 7.7%, driven primarily by resilient domestic demand. Private consumption and capital formation remained the twin engines of this expansion, while the services sector continued to be the largest contributor on the supply side. Manufacturing activity gained further momentum; in contrast, agriculture provided stability despite persistent structural constraints. Consumer price inflation moderated to 3.4%, allowing the Reserve Bank of India to reduce the policy repo rate by a cumulative 100 basis points.

On the fiscal side, the Union Budget 2025-26 introduced direct tax relief for the middle-income segment, aimed at lifting disposable incomes and encouraging discretionary spending. Rationalisation of the GST framework lent further support to MSMEs and the informal sector. The Government sustained its emphasis on infrastructure-led development, allocating capital expenditure of ^11.21 lakh crore in the Union Budget 2025-26, while advancing its clean energy priorities. India also made significant progress in renewable energy deployment, reinforcing the credibility of its updated Nationally Determined Contribution (NDC) commitments. Continued expansion of solar and wind capacity, supported by enabling policy measures and increased investment in clean energy infrastructure, has strengthened the countrys transition towards a low-carbon economy.

Indias renewable energy push received a significant boost through the Domestic Content Requirements (DCR) policy and the shift toward Hybrid and Round-the-Clock (RTC) tenders. These measures are aimed at strengthening grid reliability and domestic manufacturing. By March 2026, total installed renewable capacity reached 274.68 GW, with solar crossing 150 GW. On the international commitments front, India reportedly fulfilled its Paris Agreement target of 50% non-fossil fuel capacity five years ahead of its 2030 deadline.²

Outlook

The RBI projects Indias GDP growth at 6.6%, with a neutral monetary policy stance and repo rate held at 5.25% whereas CPI inflation is projected at 5.1% for FY27.³ Indias National Electricity Plan targets 365 GW of solar capacity and 122 GW of wind capacity by 2032, supported by domestic content requirements, hybrid and round-the-clock tenders and significant transmission network expansion.⁴ The governments continued emphasis on infrastructure investment and monetary easing is expected to sustain private consumption and investment activity over the medium term. Indias non-fossil fuel capacity, having already crossed 50% of the total power mix ahead of its 2030 Paris Agreement commitment, signals a durable structural shift in the energy landscape. Over the long term, the convergence of policy-backed renewable targets, expanding grid infrastructure and a growing domestic manufacturing base positions India as one of the most consequential clean energy markets through 2032 and beyond.

Industry Overview

Global Energy Sector⁵

In 2025, global renewable power capacity reached 5,149 GW, following the addition of 692 GW during the year. This marked a 15.5% increase and the fastest annual growth on record. The sector is undergoing structural change, underpinned by declining levelized costs of energy and policy frameworks promoting net zero emissions, driving investments in wind, solar PV, wind and battery storage. A key trend is the digitalisation of energy assets, enabling virtual power plants and improved grid management, while challenges such as integrating intermittent sources and supply chain risks for critical minerals like polysilicon remain.⁶Low- emissions technologies, comprising solar, wind, nuclear and hydropower, collectively accounted for nearly 60% of global energy demand growth. In a historic milestone, solar PV emerged as the single largest contributor to global energy supply growth, accounting for over 25% of the increase.

The wind energy sector recorded a milestone year with 165 GW of new capacity additions globally, representing a 40% increase. Growth was primarily driven by onshore demand in China, the USA and India, highlighting the sectors ability to scale rapidly while delivering cost-competitive and resilient energy solutions. Supported by continued expansion across Asia, wind power is increasingly competitive with conventional energy sources such as coal and nuclear, reinforcing its role in accelerating the energy transition. Moreover, annual wind installations are projected to reach a record 178 GW in 2026. Supported by existing policy frameworks and the global response to the Middle East crisis, cumulative new wind capacity additions are expected to total 969 GW during 2026-2030, averaging approximately 194 GW annually, maintaining a robust CAGR of 5.2% over the 2026-2030 period.⁷

Outlook

Looking ahead, renewable energy capacity is expected to sustain robust growth through 2030, with the combined share of solar PV and wind projected to increase from 17% of global generation in 2025 to 27% by 2030. Beyond capacity expansion, the industry focus is increasingly shifting toward the structural modernisation of power systems to accommodate higher shares of variable energy. This transition is being supported by the rapid scale-up of battery storage solutions and the expansion of smart grid infrastructure to ensure long-term reliability and grid stability. As renewable technologies continue to mature, they are expected to play a pivotal role in advancing global industrial electrification and strengthening energy security.⁸

[The remaining share is distributed across other sources. Low-emissions sources (solar, wind, nuclear, hydropower) combined met nearly 60% of total demand growth.]

Source: IEA, Global Energy Review 2026

Global wind energy sector⁹

The global wind energy sector delivered a record-breaking performance in CY 2025, with 165 GW of new capacity installed worldwide, representing a 40% year-on-year increase. This took cumulative global wind capacity to 1,299 GW. The Asia-Pacific region remained the primary growth driver, accounting for 80% of new installations. Growth was led by China, which recorded close to 120 GW of new capacity additions, while India added 6.34 GW of new onshore wind capacity, reflecting an 85% increase year- on-year increase. Europe also crossed the significant milestone of 300 GW in cumulative installed wind capacity, adding 19.1 GW during the year. Meanwhile, Africa and the Middle East recorded a 32% increase in new capacity additions, reflecting growing adoption across emerging markets.

Outlook

According to GWEC Market Intelligence, global wind installations are projected to reach 178 GW by the end of 2026 and average approximately 194 GW annually through 2030, resulting in nearly 969 GW of cumulative additions during the period. This growth outlook is supported by Chinas 15th Five-Year Plan, which targets annual installations of at least 120 GW. In addition, global offshore wind capacity is expected to nearly quadruple from 9 GW in 2025 to 33 GW by 2030. However, grid constraints, permitting delays and policy headwinds in the United States, including the rollback of the Inflation Reduction Act, remain key risks to the sectors growth trajectory.

Global onshore wind market

The global onshore wind energy market continued to witness robust growth, driven by increasing demand for sustainable power generation, declining wind technology costs and favourable government policies supporting renewable energy adoption. The Asia- Pacific region emerged as the dominant market, led by Chinas record onshore additions of over 110 GW in CY 2025. India also regained its position as one of the largest onshore wind markets, adding 6.05 GW of new onshore capacity during the year, representing a 46% increase over the previous year.

Outlook

Growth is expected to accelerate across emerging markets, particularly in Southeast Asia, Central Asia, the Middle East and Africa. The Asia-Pacific region, excluding China, is expected to strengthen its position as the third-largest onshore wind growth market. However, achieving the UAE Consensus target of tripling global renewable energy capacity by CY 2030 will require a substantial increase in annual wind installations beyond current projections. This will depend on streamlined permitting processes, supportive auction frameworks and stronger international collaboration to address regulatory, financial and supply chain challenges.

Indias Renewable Energy

Indias renewable energy sector maintained strong momentum during FY 2025-26, recording the highest-ever annual addition of non-fossil fuel capacity at 55.29 GW. Total renewable energy installed capacity increased to 274.68 GW as of March 31, 2026, while total non-fossil fuel capacity reached 283.46 GW¹¹. Solar energy remained the primary growth driver during the year. Record solar capacity additions of 44.61 GW increased cumulative installed solar capacity to 150.26 GW. Wind energy also recorded its highest-ever annual addition of 6.05 GW, taking cumulative installed wind capacity to 56.09 GW.

Sector growth continued to be supported by favourable policy measures, including the reduction in GST on renewable energy equipment from 12% to 5%, expansion of domestic manufacturing under the Approved List of Models and Manufacturers (ALMM) and continued transmission support measures. During FY 2025-26, India also achieved the milestone of deriving 50% of its cumulative installed electricity capacity from non-fossil fuel sources, five years ahead of its Paris Agreement target. The country now ranks third globally in renewable energy installed capacity.

Outlook

Indias renewable energy sector is expected to sustain strong long-term growth momentum, supported by the Governments target of achieving 500 GW of non-fossil fuel-based installed capacity by 2030. Policy focus continues to remain on strengthening transmission infrastructure, expanding domestic manufacturing capabilities and accelerating deployment of hybrid and round- the-clock (RTC) renewable energy projects.

In parallel, initiatives such as Green Energy Open Access, expansion of renewable energy corridors and continued support for domestic battery manufacturing are expected to improve grid integration and enhance renewable energy adoption across utility-scale and commercial & industrial segments. The National Green Hydrogen Mission is also expected to support incremental renewable capacity addition over the medium term.

Indias renewable energy sector continues to demonstrate strong structural progress, with non-fossil fuel-based capacity accounting for over 50% of the countrys total installed power capacity. As of FY 2026, total non-fossil fuel capacity stood at approximately 283 GW, reflecting sustained capacity additions supported by policy initiatives and continued investment momentum.¹²

Wind energy remains a key pillar of Indias renewable transition. India ranks fourth globally in installed wind capacity, with cumulative installations exceeding 56 GW. During FY 2025-26, the sector recorded its highest-ever annual capacity addition of over 6 GW, representing a significant year-on-year increase. Domestic wind turbine manufacturing capacity has also expanded to approximately 24 GW per annum, strengthening supply chain localisation and supporting future deployment.¹³

Hydropower continues to play a vital role in ensuring grid stability and balancing intermittent renewable energy generation. India remains among the worlds leading hydropower producers, with an installed capacity of approximately 51 GW in large hydro and over 5 GW in small hydro projects. To further strengthen the sector, the Government of India has approved the Small Hydro Power Development Scheme (2026-31) with an outlay of ^2,584.60 crore, aimed at supporting development across remote and untapped regions. In addition, a substantial pipeline of large hydro projects remains under implementation.¹⁴

Solar energy continues to be a major contributor to renewable capacity addition, with cumulative installed capacity surpassing 150 GW. Sector growth has been supported by policy initiatives and domestic manufacturing incentives aimed at strengthening the solar value chain. Government support measures, including production-linked incentive schemes, are expected to enhance domestic manufacturing capabilities and reduce import dependence over the medium term.

The National Electricity Plan outlines significant overall investment directed toward scaling renewable energy capacity, strengthening grid integration and expanding balancing infrastructure, particularly for variable renewable energy sources. The plan also highlights a robust capital investment pipeline across all three sectors, aligned with long-term renewable capacity addition targets. Overall, Indias diversified renewable energy strategy across solar, wind and hydro technologies continues to strengthen energy security, enhance grid reliability and support long-term sustainability, in line with national clean energy objectives.¹⁵

Indias Wind Energy Sector¹⁶

Indias wind energy sector remains one of the largest globally, ranking fourth in installed capacity. During FY 2025-26, the country recorded its highest-ever annual wind capacity addition of approximately 6 GW, reflecting a strong year-on-year growth. Cumulative installed wind capacity surpassed 56 GW, reinforcing Indias position as a key global wind energy market. Capacity additions continue to be concentrated across leading states such as Gujarat, Karnataka and Maharashtra. Sector growth was further supported by an expanding pipeline of wind-solar hybrid projects and the implementation of Green Energy Open Access regulations. Policy support remained favourable during the year, including concessional customs duties on key components and the waiver of Inter-State Transmission System (ISTS) charges until June 2028. The sector also benefits from a well- established domestic manufacturing ecosystem, with an annual manufacturing capacity of approximately 24 GW and high levels of indigenisation. However, structural challenges persist, particularly in relation to grid connectivity, transmission infrastructure, RoW issues and land acquisition. These areas continue to be critical, requiring sustained policy and infrastructure support.

Outlook

Indias wind sector is expected to witness sustained long-term growth, supported by favourable policy measures and continued technological advancements. The Government has set ambitious targets, including 100 GW of installed wind capacity by 2030, aligned with the broader objective of reaching 500 GW of nonfossil fuel energy capacity. The increasing adoption of hybrid and round-the-clock (RTC) renewable energy solutions is expected to improve grid stability and optimise resource utilisation, alongside driving demand for wind energy. In addition, Indias significant wind potential at higher hub heights provides a strong foundation for long-term capacity expansion.

Government Initiatives to Support Indias Clean Energy Transition

The Union Budget for FY 2026-27 allocated approximately ^32,915 crore to the Ministry of New and Renewable Energy (MNRE), reflecting continued policy emphasis on accelerating Indias clean energy transition. Further, the Government has approved an additional Rs. 30,000 crores investment in the National Investment and Infrastructure Fund (NIIF) in June 2026. The increased allocation underscores the Governments sustained commitment toward renewable energy deployment. The Government continues to target 100 GW of installed wind capacity by 2030 as part of its broader objective of achieving 500 GW of non-fossil fuel-based energy capacity. These targets remain central to Indias long-term decarbonisation and energy security strategy.

Policy support for renewable energy evacuation also remains strong. Waivers on Inter-State Transmission System (ISTS) charges continue to support project viability, particularly for wind and hybrid energy projects. In parallel, regulatory mechanisms, such as Renewable Consumption Obligations, are being implemented to ensure sustained demand for renewable power across states.

The Government has approved a Viability Gap Funding (VGF) scheme to support offshore wind capacity development, including initial projects along the coasts of Gujarat and Tamil Nadu. This initiative is aimed at improving project viability and encouraging private sector participation in offshore wind deployment. India continues to permits 100% foreign direct investment in the renewable energy sector under the automatic route. This policy supports both greenfield and brownfield investments while encouraging greater global participation in Indias energy transition.

Domestic manufacturing remains a key focus area, supported by policy measures such as ALMM and concessional customs duties on select components. India has established a strong wind equipment manufacturing base with significant installed capacity and high levels of localisation. The National Institute of Wind Energy (NIWE) continues to provide technical support through wind resource assessment and sectoral research initiatives. The National Green Hydrogen Mission remains a major pillar of Indias clean energy strategy. The initiative aims to promote large-scale green hydrogen production and is expected to drive incremental renewable energy capacity additions over the long term through dedicated policy and Budgetary allocations.

India continues to play an active role in global renewable energy initiatives, including leadership in international alliances and bilateral cooperation with key partner countries. These partnerships focus on advancing clean energy technologies, including offshore wind and emerging energy solutions.

Crucial Growth Drivers

Supportive Policy Environment Driving Market Growth

The renewable energy sector continues to benefit from sustained policy support, including ISTS charge waivers, Renewable Consumption Obligations and incentives for domestic manufacturing. The supportive policy framework has strengthened demand visibility, particularly across utility-scale and hybrid renewable energy projects, supporting a stronger sector pipeline.

Domestic Manufacturing Advantage

Indias emphasis on localisation and supply chain resilience continues to strengthen the domestic renewable energy ecosystem. With domestic wind equipment manufacturing capacity continuing to expand, policy support for indigenisation is enhancing the competitiveness of domestic OEMs and reducing import dependence.

Acceleration in Hybrid and RTC Projects

The growing adoption of wind-solar hybrid and round-the-clock (RTC) renewable energy solutions is improving reliable supply of power from renewable energy projects and grid integration. These project formats are increasingly being preferred in recent tenders, driving the demand for integrated renewable energy solutions and supporting higher project scale and efficiency.

Improved Execution Environment

Regulatory developments such as Green Energy Open Access and ongoing investments in transmission infrastructure are facilitating smoother project execution and faster commissioning timelines. While challenges such as grid connectivity, RoW issues and land acquisition persist at the sector level, continued policy focus in these areas is likely to ease execution bottlenecks across the industry.

Long-Term Growth Backed by National Targets

Indias target of achieving 500 GW of non-fossil fuel capacity by 2030 provides a strong long-term demand visibility for renewable energy. Sustained capacity additions, continued policy support and the emergence of offshore wind are projected to expand the sectors opportunity landscape and reinforce long-term growth prospects for the industry.

Opportunities

Growth in Hybrid and Storage-Linked Projects

The governments focus on grid stability and round-the-clock (RTC) renewable procurement is accelerating demand for hybrid/RTC projects. This is creating strong opportunities across integrated wind-solar and storage-linked tenders, supporting larger project scale and broader deployment of renewable energy solutions.

Rising Energy Demand and Renewable Share Expansion

India continues to witness steady growth in electricity demand, supported by economic expansion and industrialisation. With the Government targeting 500 GW of non-fossil fuel capacity by 2030, renewable energy is expected to account for a significantly larger share of incremental capacity additions. This provides sustained long-term demand visibility for the wind and broader renewable energy sector.

Policy-Driven Market Expansion

Regulatory measures such as Renewable Consumption Obligations, ISTS charge waivers and Green Energy Open

Access are improving the commercial viability of renewable energy projects. These measures are enabling wider participation from commercial and industrial consumers with expanding the addressable market for renewable energy developers and equipment manufacturers.

Domestic Manufacturing and Localisation Advantage

The Governments continued emphasis on domestic manufacturing, supported by policy incentives and localisation measures, continues to strengthen the position of Indian OEMs. The increasing focus on localisation is expected to improve supply chain resilience, enhance cost efficiencies and reduce import dependence across the renewable energy value chain.

Emerging Offshore Wind Opportunity

The Governments initial push toward offshore wind development, including identified project sites along the coasts of Gujarat and Tamil Nadu and viability gap funding support, is expected to create new growth opportunities over the medium term. Although still at a nascent stage, the segment presents a long-term opportunity for the domestic wind energy industry.

Challenges

Execution Constraints and Infrastructure Bottlenecks

Despite strong renewable energy capacity addition targets, challenges related to transmission infrastructure, grid connectivity, RoW issues and land acquisition continue to affect project timelines. Delays in evacuation infrastructure development and regulatory approvals remain key risks for timely project execution across the sector.

Policy and Regulatory Implementation Risks

Although the overall policy environment remains supportive, implementation at the state level can vary, leading to approval delays, land access, RoW issues and connectivity. Variability in regulatory execution may impact project schedules and cost structures, necessitating continuous coordination among stakeholders.

Supply Chain and Cost Pressures

Global and domestic supply chain disruptions, along with volatility in input costs, continue to pose challenges to project economics. Although localisation efforts are improving supply chain resilience, the availability of critical components and logistics-related constraints may impact execution timelines and sector margins.

Dependence on Grid Readiness

The pace of renewable capacity addition is increasingly dependent on the readiness of transmission infrastructure. Delays in grid expansion relative to project commissioning may lead to curtailment risks and lower plant utilisation levels, adversely affecting project returns and operational efficiency.

Early-Stage Offshore Wind Challenges

While offshore wind presents significant long-term potential, the segment currently faces challenges related to high capital costs, evolving regulatory frameworks and infrastructure readiness. These factors may delay large-scale commercial deployment in the near term.

Company Overview

Inox Wind Limited (IWL) operates as one of Indias leading fully integrated wind energy solution providers. As a key entity of the INOXGFL Group, the Company deliveres end-to-end solutions spanning project development, manufacturing, execution and long-term operations and maintenance (O&M). The Company possesses over 17 years of operational experience and has a manufacturing capacity of 2.5 GW across five specialised facilities. It manufactures 2 MW and 3 MW Wind Turbine Generators (WTGs) and has a license for 4 MW platform, with a 4.45 MW commercial launch in FY27. It benefits from a strong promoter backing and has a robust and diversified order book of approximately 4.4 GW as on July 2026. Its subsidiary, Inox Green Energy Services Limited (IGESL), is a leading renewable energy O&M service provider, managing a portfolio of ~13.3 GWp as on June26 across wind and solar assets. Another subsidiary, Inox Renewable Solutions Limited (IRSL), provides turnkey as well as limited scope

EPC services, including resource assessment, site acquisition, infrastructure development, crane services and transformer manufacturing, with plans to enter manufacturing of power electronics such as inverters. The Company also collaborates with Group entity Inox Clean Energy to offer integrated hybrid, BESS and solar power solutions. Manufacturing operations for nacelles and hubs are carried out at Una (HP), Bhuj (Gujarat), and the newly commissioned Bavla facility (near Ahmedabad). Blades and tubular towers are manufactured at plants located at Rohika (Gujarat) and Barwani (MP). These facilities enable in-house production of all critical turbine components specifically designed for Indias low wind speed regimes. The Company achieved a major corporate milestone with the merger of Inox Wind Energy Limited into IWL, which eliminated the holding company structure and reduced liabilities by approximately ^2,050 crores. Supported by a successful ^1,249 crore rights issue, the transition enabled the Company to achieve a net-cash-positive balance sheet.

Key Differentiating Factors

One of the Most Integrated Renewable Energy Players in India

Inox Wind Limited operates as a fully integrated, end-to-end renewable energy solutions provider for the entire value chain. Its capabilities cover project site identification, acquisition, resource assessment, manufacturing, EPC execution and longterm O&M services. By managing the complete project lifecycle, the Company ensures seamless plug-and-play execution for customers. This integrated approach reduces execution risks and provides a competitive advantage over OEMs focused solely on equipment supply.

Net-Cash-Positive Capital Structure

The Company continues to remain net cash positive as on Mar26 with a strong balance sheet and enjoys an extremely healthy credit rating of AA- (long term). Short term credit rating of A1+ (highest short term rating). The strong financial position enables the Company to scale up operations in line with the massive market opportunity.

Technological Advancement and 4X MW Platform Readiness

The Company continues to strengthen its technology roadmap through long-term technology-sharing agreements with global partners such as AMSC, W2E, etc. While the 3 MW WTG platform is the primary product offering at present, the Company has secured licenses and is progressing well toward commercial launch of the 4.45 MW platform in CY2026. These turbines are specifically engineered to optimise energy yield in Indias low wind speed conditions. The introduction of higher-capacity turbines is expected to significantly improve the Levelized Cost of Energy (LCOE) for project developers.

Scaled Manufacturing Presence with Geographic Diversification

The Company has a manufacturing footprint of 2.5 GW of annual capacity across strategically located facilities. During the year, the newly commissioned Bavla nacelle and hub facility near Ahmedabad became fully operational, complementing existing manufacturing units in Himachal Pradesh and Gujarat. The Company has also undertaken upgrade of blade molds in the Madhya Pradesh plant during the year. We are also working on the development of a new blade and tower manufacturing facility in South India to reduce logistical costs for regional projects. This multi-location strategy ensures de-risking, high supply chain resilience and compliance with domestic sourcing mandates.

High-Margin Asset-Light Annuity Business from O&M Subsidiary

Through its listed subsidiary, Inox Green Energy Services Limited (IGESL), the Company has established a very large and diversified O&M portfolio. The portfolio of approximately 13+ GWp following strategic investments and acquisitions of multi-brand renewable energy assets is amongst the largest in the country. Further, IGESL is the only listed pure-play renewable O&M player in India.

Long-term service contracts, ranging from 5 to 20 years, generate stable and high-margin annuity cash flows while maintaining machine availability levels exceeding 95%. The transition toward a pure-play O&M model also strengthens the Groups return on equity (ROE) and overall capital efficiency.

Its focus on strong technological capabilities with 24x7 centralized digital monitoring of assets, focus on preventive rather than reactive maintenance and operational optimisation has supported high fleet availability. Value-added services, which includes refurbishment, booster sales, carbon credit trading, amongst other offerings, is another high growth vertical.

Expansion into solar and hybrid asset management further strengthens its long-term growth prospects. Strong relationships with independent power producers (IPPs), PSUs and commercial & industrial clients continue to drive repeat business. The O&M segment remains a key pillar of financial stability and margin improvement.

End-to-end development and EPC capability through subsidiary Inox Renewable Solutions Limited

The Company undertook a strategic restructuring through demerging the substation business from Inox Green Energy Services Limited (IGESL) into Inox Renewable Solutions Limited (IRSL). This scheme of demerger has been approved by the Honble NCLT Ahmedabad. IRSL will be automatically listed on the stock exchanges post receipt of all approvals. This move transformed the O&M business into an asset-light entity while consolidating infrastructure services under IRSL. Further, the Company is successfully backward integrating. It has started manufacturing transformers of upto 3.5 MVA at its factory in Jaipur, Rajasthan, with plans to manufacture higher capacity transformers in future.

The Company now owns and operates 4 cranes, with plans to deploy more over the next two years. Further, the Company is planning to enter into manufacturing of high value-added power electronics such as inverters. Such backward integration initiatives help the company in faster execution, substantial cost savings, improve margins and reduce dependence on external vendors. In line with the evolution of the renewable energy market in India, IRSL has expanded its service offerings beyond plain vanilla wind projects to more complex hybrid projects, including Round-the-Clock (RTC) and Firm and Dispatchable Renewable Energy (FDRE) projects, including solar and battery energy storage systems (BESS).

Captive Order Visibility via Group IPP Company (Inox Clean Energy)

The Company benefits from a stable demand pipeline through its group entity, Inox Clean Energy. This IPP platform has large capacity addition plans, with a targeted capacity of 14 GW by FY29. It plans to add 3 GW+ capacity annually over the next few years. Out of this, about 20-30% is expected to be wind. This is expected to provide a virtuous cycle of continuous order inflow to the entire value chain of Inox Wind, IRSL and Inox Green over the next few years, in addition to order flows in the regular course of business. InoxGFL Groups renewable business is on the cusp of multi-year multi-fold growth, with the benefits of Group synergies and businesses that help secure large growth and insulate from market cycles.

Compliance with ALMM and Domestic Content Requirements

The Company aligned early with the Ministry of New and Renewable Energys (MNRE) ALMM (Wind) framework. By manufacturing critical components such as nacelles, hubs, blades and towers in-house, the Company has achieved high domestic content integration.

This localisation strategy reduces exposure to import restrictions and strengthens competitiveness against foreign players. The Company plans to source electrical control system (ECS) domestically for its 4X MW turbine. The Companys strong focus on the ‘Make in India initiative also supports preferred positioning across central and state-level PSU tenders.

Diversified Blue-Chip Customer Base and Robust Order Book

The Company maintains a healthy and diversified order book of approximately 4.4 GW as on July 2026, providing revenue visibility for more than two years.* The order pipeline includes projects from reputed counterparties, reflecting continued confidence in execution capabilities. The customer mix includes major public sector undertakings (PSUs) such as NTPC, NLC, GAIL and SJVN, along with leading IPP players such as CESC, Gentari, Hero Future Energies and Aditya Birla Group. Repeat orders from existing customers reflect strong execution performance and service quality. Geographic diversification across high wind-potential states further strengthens the Companys market presence. The Companys growing participation in hybrid and complex projects enhances its relevance in the evolving energy landscape.

This broad-based presence supports sustainable revenue growth. As the Company grows, it is doing a strategic pivot towards increasing the share of equipment supply in the order mix going forward. Strong demand across both Turnkey and Equipment Supply segments reflect the markets trust in the Companys

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Strong Promoter Support and Financial Backing

The Company continues to benefit from the strong backing of the INOXGFL Group, a well-established industrial group with a diversified presence across sectors. Promoter support has enabled improved financial flexibility and access to growth capital. The Groups established industry presence and execution track record continue to reinforce stakeholder confidence. The Company has also seen continued participation from institutional investors, including both domestic and foreign investors. A balanced investor base supports long-term capital stability. Balance sheet strengthening initiatives and capital infusion measures undertaken in recent periods have improved liquidity and financial flexibility. This financial backing enables the Company to pursue growth opportunities across emerging segments. It also supports investments in technology, capacity expansion and operational efficiency.

Operational Efficiency and Technology Focus

The Company has continued to focus on improving operational efficiencies through process optimisation and technology adoption. Enhanced manufacturing processes, regular mold upgrades and quality control measures have supported improved product reliability. The Companys wind turbine platforms remain aligned with evolving grid and site requirements. Increased focus on digital tools, remote monitoring and data analytics has improved asset performance. Operational improvements also contributed to stronger cost management and margin stability. Continuous improvement initiatives across the value chain have strengthened execution capabilities. Investments in technology and innovation support long-term competitiveness. These efforts position the Company to effectively address the increasing scale and complexity of renewable energy projects.

Financial Performance

The Company is engaged in the following business activities, which are considered as a single business segment:

a. Manufacturing of Wind Turbine Generators (WTG)

b. Engineering, procurement & commissioning services (EPC)

c. Operations & Maintenance services (O&M)

d. Common infrastructure facility services for WTGs

	Consolidated		Standalone
Particulars	2025-26	2024-25	2025-26	2024-25
Total Revenue Income	4,56,896	3,70,155	4,12,484	3,56,318
Profit/(Loss) before tax	65,911	53,681	73,579	47,038
Total tax expense	21,002	10,176	18,833	8,632
Profit/(Loss) for the Period Continued Operation	44,909	43,505	54,746	38,406
Profit from discontinued operations	0	1	2	(63)
Tax expense of discontinued operations	0	(256)	-	-
Profit/(Loss) for the Period	44,909	43,762	54,747	38,343

Key ratios

The table below shows that the key financial ratios (Standalone financials) changed by 25% or more compared to the previous financial year:

S. No. Ratios	%/Times	2025-26	2024-25	% Change	Reason for Variance
1 Inventory Turnover	Times	1.88	2.43	(23%)	Reduction due to increase in inventory for execution of new orders
2 Current Ratio	Times	2.28	1.81	26%	Increase due to increase in the receivable cycle
3 Debt Equity Ratio	Times	0.16	0.23	(33%)	Improvement due to reduction in debt and improvement in net worth
4 Debtors Turnover	Times	1.22	1.96	(38%)	Decrease due to increase in the receivable cycle
5 Operating Profit Margin (%)	%	22.96	17.34	32%	Increase due to higher proportion of 3.3 MW WTG sales in the sales mix and cost optimisation
6 Net Profit Margin (%)	%	14.05	10.98	28%	Increase due to higher proportion of 3.3 MW WTG in the sales mix, cost optimisation and reduction in debt
7 Return on net worth (%)	%	9	8	12.5%	Increase on account of operational efficiency.

Material Development in Human Resource/ Industrial Relations

Material development in human resources at Inox Wind Limited played an instrumental role in strengthening workforce capabilities to support the Companys accelerated growth trajectory. The ramp-up of the advanced nacelle and hub facility at Bavla created diverse career opportunities and increased the need for specialised technical training. These expansions prompted ongoing skill development initiatives to master cutting-edge technologies, including the advanced 4X MW turbine platform. The Companys integrated group structure promoted seamless collaboration and open communication among its subsidiaries, which was vital for strengthening industrial relations across the INOXGFL Group.

This collaborative approach helped ensure that employees remained well-informed and engaged, aligned with the Companys growth objectives, while sustaining high productivity levels amid rapid operational expansion. Inox Winds expansion into hybrid renewable projects and solar integration promoted cross-functional learning, enabling employees to gain expertise across multiple renewable technologies. By fostering a culture that valued innovation and professional development, the Company enhanced both organisational performance and employee well-being in an evolving landscape.

As on 31st march, 2026, the company had a permanent workforce of 1, 309 personnel.

As of the reporting period, the Company continued to maintain a dedicated workforce that supported robust execution in FY26. The experienced management team, characterised by unparalleled expertise in large-scale wind projects, remained a core strength in driving the Company toward its goal of becoming a multi-billion-dollar energy transition leader.

Risk Management and Mitigation Framework

Risk Category	Definition and Impact	Mitigation Strategy
jUl? Financial Risk	Potential volatility in earnings and liquidity arising from fluctuations in interest rates, credit availability and working capital cycles.	The Company eliminated interest-bearing debt and promoter preference shares (NCRPS/NCPRPS) through a ^1,249 crore rights issue and the IWEL merger. Achieving a net-cashpositive position significantly reduced finance costs and strengthened the balance sheet against interest rate volatility.
Operational and Execution Risk	Delays in project commissioning due to site readiness issues, logistical bottlenecks or infrastructure constraints are impacting revenue recognition timelines.	IWL deployed an in-house fleet of 750-ton crawler cranes and established a dedicated transformer manufacturing facility to ensure end-to-end control. The demerger of the substation business into a specialised EPC entity, Inox Renewable Solutions Limited (IRSL), enabled focused infrastructure development and improved project execution efficiency.
Regulatory and Policy Risk	Changes in government regulations, including ALMM (Wind) mandates or revisions in GST rates, may affect sector competitiveness and project economics.	The Company maintained 75-80% domestic sourcing of critical components, ensuring early compliance with ALMM (Wind) requirements. Proactive localisation of the 3 MW and upcoming 4X MW platforms reduced import-related risks while enabling the Company to benefit from the reduced 5% GST rate applicable to wind energy components.
Technology Risk	Risk of product obsolescence or failure to meet the evolving energy yield requirements of project developers in low-wind regimes.	The Company secured long-term technology licensing agreement with global leaders such as W2E for the 4X MW platform. Continued investment in R&D and the planned CY2026 commercial launch of the 4.45 MW (4X) platform ensure the Company remains at the forefront of LCOE optimisation.

Internal Control Systems and Their Adequacy

The Company has established and continues to strengthen a comprehensive internal control framework designed to ensure the orderly and efficient conduct of its business operations. These controls support compliance with applicable laws and regulations, safeguard assets, and promote optimal utilisation of resources. An independent internal audit function is in place, carried out by qualified external Chartered Accountants, to evaluate the effectiveness of internal controls, risk management practices and governance processes. The internal audit plan is risk-based and is reviewed periodically to address evolving business requirements.

The Audit Committee of the Board provides oversight of the internal audit function and regularly reviews audit observations, management responses and the status of implementation of recommendations. Corrective actions are tracked to closure to ensure continuous improvement in control processes. The Company also maintains robust financial and management reporting systems, which are subject to periodic review and enhancement to ensure accuracy, timeliness, and reliability of information used for decision-making.

Disclaimer

The statements contained in the Management Discussion and Analysis describing the Companys objectives, projections, outlook, expectations, or predictions may constitute forwardlooking statements within the meaning of applicable laws and regulations. Such statements are subject to a number of risks and uncertainties, both known and unknown, that could cause actual results to differ materially from those expressed or implied. These risks include, but are not limited to, changes in the macroeconomic environment, regulatory developments, market conditions, and other external factors. Unforeseen global events, including public health emergencies similar to COVID-19 or other disruptive occurrences, may also have a material impact on the Companys operations and performance.

The assumptions underlying these statements are based on information currently available to the Company and are considered reasonable at the time of preparation. However, they may change due to evolving circumstances. Accordingly, readers are cautioned not to place undue reliance on such forwardlooking statements, which speak only as of the date of this report. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.