Sterling & Wilson Solar witnessed a revenue hike of Rs 14.38 billion in the second quarter (Q2) of FY22, compared to Rs 11.95 billion in Q1. It registered a quarter-over-quarter (QoQ) growth of over 20%.

Earlier, it registered a net loss of Rs 2.84 billion in Q2 FY21, compared to a net loss of Rs 760 million in Q1 FY22. It also registered a negative net working capital of Rs 2.97 billion in September, compared to Rs 5.71 billion in June 2021.

The company told the media that the gross margins in Q2 FY22 were affected due to an unprecedented increased price of modules, commodities, freight and increased execution cost due to the Covid-19 pandemic.

The gross debt of the company increased to Rs 6.74 billion due to the advance and performance bank guarantee encashed by three customers amounting to Rs 4.04 billion.

Its order book as of November stood at Rs 67.30 billion, while the order book as of June was Rs 4.73 billion.

According to data, the company has already completed seven projects of 38 MW in the US. Two large projects in the US of 400 MW are in progress, which are expected to complete by Q1 FY23. The company has a target order booking for energy storage systems of 500 MWh of $150 million.

In October, Reliance New Energy Solar Limited (RNESL) signed an agreement with Shapoorji Pallonji for acquiring a 40% stake in Sterling and Wilson Solar through primary investment, secondary purchase and an open letter.

CEO of Sterling and Wilson Solar, Amit Jain, said that the company was impacted last year due to the price hike of modules, commodities and freight costs. Though these were the short-term factors, the long-term factor continues due to the global thrust on clean energy and capacity additions.

It received its first order of Rs 15 billion for its waste-to-energy business. It will process 23.2 tonnes of non-recyclable solid water per hour. The project will be commissioned in the next three years.

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