Power Infra Stock Targets Over 40% Growth as BESS and Green Hydrogen Investments Gather Pace

Synopsis: An energy transition-focused company is entering FY27 with strong growth visibility backed by a record order book, expanding manufacturing capacity, and growing exposure to BESS, green hydrogen, and renewable energy. With management guiding for 40 percent-plus revenue growth and major investments underway, the company is positioning itself to benefit from India’s accelerating clean energy transition. 

Introduction

India’s energy sector is undergoing a significant transformation as investments in renewable energy, battery storage, green hydrogen, and transmission infrastructure continue to accelerate. Supported by government initiatives, rising electricity demand, and ambitious clean energy targets, the country is creating substantial opportunities across the energy value chain. 

Companies that can combine traditional power infrastructure capabilities with emerging energy transition technologies are increasingly well positioned to benefit from this long-term growth cycle. 

Management Targets 40%+ Revenue Growth in FY27 

Following an 80 percent increase in consolidated revenue during FY26, Advait Energy Transitions Limited remains optimistic about its growth trajectory. Management has guided for more than 40 percent revenue growth in FY27, supported by a strong execution pipeline and healthy order backlog. During the earnings call, management indicated that this guidance remains conservative, similar to the previous year when actual growth significantly exceeded initial expectations.

The company believes its expanding order pipeline, manufacturing investments, and growing renewable energy portfolio can support sustained growth over the coming years.

Record Order Book Provides Strong Revenue Visibility

Advait Energy Transitions ended FY26 with its highest-ever order book of Rs.1,304 crore, representing a growth of 159 percent compared to the previous year. The order book provides strong visibility for future revenues and reflects the company’s growing presence across both traditional and emerging energy segments.

Around 64 percent of the order book is contributed by the power transmission solutions business, while the remaining 36 percent comes from renewable energy and new-age businesses. This diversified mix positions Advait Energy Transitions to benefit from multiple growth drivers across the energy value chain.

Management also highlighted that the company is actively pursuing opportunities worth nearly Rs.2,000 crore, providing additional confidence in future order inflows and business expansion.

BESS Manufacturing Could Become a Major Growth Driver

One of the company’s most important growth initiatives is its planned 2.5 GWh Battery Energy Storage System (BESS) manufacturing facility. Advait Energy Transitions expects the facility to become operational during FY27 and views battery storage as one of the largest opportunities emerging from India’s renewable energy expansion. As solar and wind installations continue to increase, battery storage systems are expected to play a crucial role in balancing electricity supply and improving grid stability.

Management indicated that the facility could begin contributing revenues during FY27, while the full benefits are expected to emerge over the following years as utilization ramps up. The company believes energy storage could become a significant contributor to future revenues and profitability.

Green Hydrogen Expansion Opens a New Opportunity

Advait Energy Transitions is also preparing to participate in India’s emerging green hydrogen ecosystem. The company is establishing a 100 MW electrolyser manufacturing facility, with management indicating that the roadmap could expand to 300 MW initially and eventually scale up to 1 GW (1,000 MW) as demand picks up.

During the interaction, management noted that while the electrolyser expansion plan is clearly defined, the fuel cell strategy is still being evaluated, with discussions focused on whether the company will manufacture fuel cell products or operate through a service-oriented model. Management expects electrolyser demand to accelerate from FY28 onwards as large-scale hydrogen projects move from planning to execution. 

To strengthen its presence in the segment, the company has created a dedicated subsidiary focused on green hydrogen and electrolyser manufacturing. Management believes India could witness substantial growth in hydrogen investments over the coming years as industries seek cleaner alternatives to fossil fuels.

Rs. 300–350 Crore Capex to Support Future Growth

To support its long-term vision, Advait Energy Transitions plans to invest approximately Rs.300–350 crore during FY27. The investment will be directed towards manufacturing facilities, battery storage solutions, electrolyser production, and other energy transition businesses. 

Management believes these investments will improve scalability, strengthen indigenous manufacturing capabilities, and create multiple growth engines beyond the company’s traditional transmission business. The company is also investing in emerging opportunities such as fuel cells, carbon solutions, renewable EPC, and energy storage technologies to diversify its future revenue streams.

Manufacturing Expansion Could Improve Margins

Beyond revenue growth, Advait Energy Transitions expects manufacturing-led expansion to support gradual margin improvement. Management indicated that newly commissioned facilities and a greater contribution from value-added manufacturing businesses could improve operating leverage over time. The company expects EBITDA margins to gradually expand as production volumes increase and manufacturing capacities achieve higher utilization levels.

Outlook

Advait Energy Transitions appears to be entering a new phase of growth driven by a record Rs.1,304 crore order book, strong revenue guidance, and large-scale investments in emerging clean energy technologies. The company’s growing exposure to BESS manufacturing, electrolysers, renewable EPC, fuel cells, and carbon solutions is gradually transforming it from a traditional power infrastructure player into a broader energy transition company.

With management targeting more than 40 percent revenue growth, a Rs.300–350 crore capex program, and multiple manufacturing facilities scheduled to come online over the next few years, Advait Energy Transitions appears well positioned to benefit from India’s long-term shift toward clean energy and sustainable infrastructure.

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