RIR Power Electronics is moving closer to operationalising its planned silicon carbide (SiC) semiconductor manufacturing facility in Odisha, with the installation of key manufacturing equipment completed and essential infrastructure in place. The development marks a significant step in the company’s plans to establish a vertically integrated SiC semiconductor production facility in India.
In its Q2 FY27 earnings release, the company said the erection and installation of SiC epitaxial wafer manufacturing reactors at its Bhubaneswar facility had been completed during the quarter. The cleanroom construction and infrastructure for sourcing power through 33kV lines were completed in the previous quarter, while essential power connections, utilities and supporting infrastructure are now in place.
Commercial production is expected to commence after the completion of the remaining statutory and regulatory formalities. Managing Director and Chief Executive Officer N Ramesh Kumar said the company remained on schedule and expected operations to begin sometime in Q3 FY27.
The Odisha project is being developed in two phases. The first phase covers epitaxy and packaging, while the second phase involves semiconductor fabrication. The company’s plans are aimed at establishing an integrated manufacturing chain for SiC-based power semiconductor products.
Silicon carbide is a wide-bandgap semiconductor material used in applications that require efficient power conversion and high-voltage performance. Its properties make it relevant to electric mobility, renewable energy systems, industrial power electronics and other applications requiring efficient management of electricity. Domestic manufacturing of SiC epitaxial wafers could add a specialised capability to India’s semiconductor supply chain, although the scale of the impact will depend on production capacity, commercial yields and customer adoption.
RIR Power Electronics has also identified railways, defence and satellite technology as strategic areas of focus. The company plans to continue developing products for the railway and power sectors, alongside its broader semiconductor manufacturing ambitions.
The Bhubaneswar facility’s readiness was witnessed by senior Odisha government officials in September, according to the company. The next milestone will be the commencement of commercial production and the subsequent ramp-up of manufacturing operations.
Q2 FY27 performance
The manufacturing progress comes alongside growth in the company’s financial performance. RIR Power Electronics reported standalone revenue of Rs 33.98 crore in Q2 FY27, up 32.5% from Rs 25.64 crore in the corresponding quarter last year. Revenue also increased 25.1% sequentially from Rs 27.16 crore in Q1 FY27.
Profit after tax (PAT) grew 41.2% year on year to Rs 4.45 crore, compared with Rs 3.15 crore a year earlier. The PAT margin improved to 12.50% from 11.97% in Q2 FY26.
Adjusted EBITDA, before employee stock option expenses, increased 29.7% to Rs 5.66 crore from Rs 4.36 crore. However, the adjusted EBITDA margin declined to 16.65% from 17.01% a year earlier and 17.32% in the preceding quarter.
The company’s ability to translate the new facility into commercial production, build customer relationships and scale manufacturing will be important factors to watch as it advances its semiconductor ambitions.
