WindForce achieves robust 29% profit growth, reaching Rs. 2.25 billion
Daily FT: WindForce PLC, Sri Lanka’s leading renewable energy company, has reported outstanding financial results for the fiscal year 2024/25, demonstrating its strategic resilience and commitment to sustainable growth.
The Group recorded consolidated revenue of Rs. 6.9 billion, marking an 18% increase from the previous year, while EBITDA rose by 9% to Rs. 6.1 billion. Net profit surged by 29% to Rs. 2.25 billion, driven by key expansions and operational milestones.
Among the major contributors to this performance was the commissioning of the 15 MW Hiruras wind plant in mid-2023 and the 10 MW Kebitigollewa solar plant in 2024, alongside the consolidation of Solar Universe as a subsidiary in August 2024. Additionally, revenue was strengthened by the recognition of Rs. 708 million in late payment revenue from the Ceylon Electricity Board under the standard power purchase agreement.
In the solar sector, revenue grew by 19%, supported by the Kebithigollewa project and the integration of Solar Universe into the Group’s portfolio. The wind sector recorded a modest 4% increase, driven by Hiruras, though reduced wind speeds and operational challenges affected some plants. The hydro sector saw a 13% revenue rise, boosted by Mahoma’s contribution following its subsidiary consolidation in early 2024 and favourable rainfall conditions, though tariff adjustments impacted certain entities.
Despite prevailing market challenges, WindForce PLC said it continues to demonstrate disciplined financial management and operational excellence. With a commitment to innovation and an expanding renewable energy portfolio, the company remains focused on delivering sustainable value to stakeholders while reinforcing its leadership in Sri Lanka’s renewable energy sector.
OSL take:
Sri Lanka’s energy industry, especially the renewable energy generation sector, has become a hotspot for business/investment opportunities in the country. With Sri Lanka on an economic growth path with the target of becoming a hub in the South Asian region and the country’s commitment to increase the renewable energy generation component to 70% of the total energy mix have all expanded Sri Lanka’s energy industry, especially the renewable energy generation sector. The growth, profits and expansion recorded by local businesses already engaged in the renewable energy generation sector indicate the increasing growth and business potential of Sri Lanka’s renewable energy generation sector. Given these factors, foreign businesses/investors could confidently explore the expanding business/investment opportunities in Sri Lanka’s energy industry, especially in the renewable energy generation sector. Foreign businesses could also look at engaging in Sri Lanka’s renewable energy generation projects through local collaborations as well. Ventures in the renewable energy generation sector would be lucrative in nature given the increasing demand for energy as Sri Lanka embarks on a path to becoming a regional hub.
| Article Code : | VBS/AT/20250605Z_4 |