Ddev Plastiks cuts BESS revenue target by half for FY27
Management now expects ₹200-250 cr from its battery storage unit, down from the previous ₹300-500 cr guidance, as it shifts to a phased capacity rollout.
What's new
- FY27 BESS revenue guidance cut to ₹200-250 cr from the previous ₹300-500 cr range.
- Capacity rollout for BESS is now phased, targeting 1 GWh by FY28 instead of the full 5 GWh.
- Core polymer business guidance remains steady at 13% growth and 11% EBITDA margins.
Why this matters
The downward revision signals execution friction in the company's new battery storage vertical. While the core polymer business remains stable, the BESS segment is the primary growth engine for Ddev's long-term vision. Investors should view this as a reality check on the pace of the energy storage expansion.
What we're watching
- Whether the 1 GWh capacity target for FY28 remains achievable.
- Updates on the Bhiwadi facility's contribution to polymer revenue.
- Progress toward the long-term ₹5,000 cr polymer revenue goal by FY30.
The full read
Ddev Plastiks is tempering expectations for its Battery Energy Storage System (BESS) business. During its May 26, 2026, earnings call, management slashed its FY27 revenue guidance for the segment to ₹200-250 crore, down from the ₹300-500 crore range provided in February. The company is also abandoning its aggressive capacity rollout, opting for a phased approach that targets just 1 GWh by FY28 out of the planned 5 GWh. While the core polymer business remains a steady performer—guiding for 13% growth and 11% EBITDA margins—the BESS segment's walk-back introduces clear execution risk. For a company with a market cap of ₹2,448 crore, the BESS segment is a critical growth lever. Management maintains its long-term vision of ₹5,000 crore in polymer revenue by FY30, with BESS expected to add ₹2,000-2,500 crore on top of that. Whether they can hit those targets now depends on how quickly they can scale the new battery vertical.
Questions answered
- Why did Ddev Plastiks lower its BESS revenue guidance?
- Management shifted to a phased approach for its 5 GWh capacity expansion. They now target only 1 GWh of capacity by FY28, which necessitated a reduction in the FY27 revenue forecast to ₹200-250 crore.
- How is the core polymer business performing?
- The polymer business grew 13% in FY26. Management expects to maintain this growth rate and 11% EBITDA margins throughout FY27.
- What is the company's long-term revenue vision?
- Ddev targets ₹5,000 crore in revenue from its polymer business by FY30. It expects the BESS segment to contribute an additional ₹2,000-2,500 crore incrementally.
- Are there any updates on production facilities?
- The company confirmed that commercial operations have commenced at its new Bhiwadi facility.