Tata Power Sees Surge in Solar Rooftop and Manufacturing Business

Tata Power reported robust growth in its solar business during the fourth quarter of FY 2024-25, with rooftop solar and module manufacturing operations showing sharp revenue and profit increases. The company remains bullish on FY 2025-26, with expectations of a further boost from government initiatives and strong internal demand.

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"Our solar rooftop business registered a 40% year-on-year growth in Q4, reaching ₹865 crore in revenue, and a 72% jump in EBITDA at ₹132 crore," said Praveer Sinha, CEO and MD of Tata Power, during the company’s investor call recently.

For the full fiscal year, Tata Power installed nearly 782 MWp of rooftop capacity, generating ₹2,210 crore in revenue and ₹209 crore in profit after tax (PAT). Sinha said the rooftop segment is likely to double in FY 2025-26, supported by Tata Power’s strategic initiatives and government schemes such as the PM Surya Ghar programme, particularly in states like Odisha, Uttar Pradesh, Rajasthan, Assam, and Maharashtra.

“Tata Power continues to be the number one rooftop solar company in India with a presence in more than 700 cities,” Sinha added.

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The company’s solar cell and module manufacturing plant in Tirunelveli is also operating at over 90% capacity. In FY25, it supplied around 3,300 MW of modules, including 913 MW in Q4 alone, alongside 650 MW of solar cells.

The manufacturing unit, housed under TP Solar, reported ₹5,337 crore in revenue for the year, with EBITDA of ₹875 crore and PAT of ₹422 crore. Tata Power expects to exceed 3,700 MW of both cell and module production in FY26, with most of the output allocated for internal use—either for Tata Power’s EPC obligations or rooftop deployments.

“There will be no excess manufacturing capacity until at least Q3,” Sinha noted, indicating that about 1 GW of modules would be consumed in the rooftop solar segment alone.

Tata Power is also operating a pilot line for TOPCon cells with 300 MW capacity, though the focus remains on the company’s existing 4 GW of mono-PERC capacity. “Upgrades will be based on market readiness and demand,” Sinha said.

The solar EPC (engineering, procurement and construction) arm has a strong order book of about ₹11,000 crore in large-scale utility projects, with ₹4,000 crore of that from external clients. The rooftop solar order book stands at around ₹1,000 crore.