KPI Green Energy shares gained 4.7% on BSE, logging an intra-day high at ₹440.65 per share, though the stock pared some gains to close 3.95% up at ₹437.3 at 12 PM. According to latest market reports, the stock advanced after the company's subsidiary Sun Drops Energia executed a Battery Energy Storage Purchase Agreement (BESPA) with Gujarat Urja Vikas Nigam Limited (GUVNL) for developing a standalone Battery Energy Storage System (BESS) project. The deal represents a notable advancement in the company's renewable energy strategy and strengthens its position in the competitive energy storage market.
Sun Drops Energia, a subsidiary of KPI Green Energy, has executed a Battery Energy Storage Purchase Agreement (BESPA) with Gujarat Urja Vikas Nigam Limited (GUVNL) for developing a standalone Battery Energy Storage System (BESS) project. As per latest reports, this agreement covers an aggregate capacity of 120 MW / 240 MWh and represents a significant expansion of the group's renewable energy portfolio. The project was executed on May 19, 2026, marking a substantial addition to the company's renewable energy initiatives. The order is not a related party transaction and has been awarded by a domestic entity. This BESPA has been executed subsequent to the earlier executed 445 MW / 890 MWh BESPA with GUVNL, bringing the group's cumulative executed standalone BESS portfolio to 565 MW / 1,130 MWh.
This latest BESPA follows the earlier executed 445 MW / 890 MWh BESPA with GUVNL, bringing the group's cumulative executed standalone BESS portfolio to 565 MW / 1,130 MWh. According to latest reports, the execution was conducted under the tariff-based competitive bidding process by GUVNL during Phase-VIII, supported by Viability Gap Funding (VGF) through the Power System Development Fund (PSDF). This strategic expansion demonstrates the company's commitment to enhancing its renewable energy infrastructure and capitalising on emerging opportunities in the sector. The execution of the present BESPA marks another significant milestone for the Group and further strengthens its presence in the utility-scale Battery Energy Storage System (BESS) segment, while continuing to expand its footprint across emerging renewable energy infrastructure opportunities.
Under the terms of the BESPA, Sun Drops Energia will develop, own and operate the standalone BESS project at locations near 220kV Gariyadhar AIS Substation (65 MW / 130 MWh) and 220kV Otha AIS Substation (55 MW / 110 MWh) in Gujarat state. As reported by latest market reports, the company will make the contracted battery energy storage capacity available to GUVNL on a long-term basis, strengthening its presence in the utility-scale BESS segment. The project forms part of GUVNL's Phase VIII tender, highlighting the company's strategic focus on supporting Gujarat's energy storage capabilities. The BESPA has been executed as a self-owned IPP Standalone Battery Energy Storage System (BESS) Project, further enhancing the company's operational capabilities in the renewable energy sector.
The company has delivered exceptional consolidated financial growth between March 2025 and March 2026, driven by robust operational scaling. Annual revenue surged by 55.39%, rising from ₹1,735 crores to ₹2,696 crores. Operating profit (EBITDA) outpaced top-line growth, jumping 69.86% from ₹564 crores to ₹958 crores, while operating margins expanded to 36%. This strong fundamental performance directly translated to the bottom line, lifting net profit by 56.62% from ₹325 crores to ₹509 crores. Sequentially, the momentum peaked in Q4 March 2026, where quarterly revenue and net profit spiked by over 20% quarter-on-quarter. With a market cap of ₹8,671 crore, the stock currently trades at ₹438.9 per share with a P/E ratio of 18.3.
