Company Overview

CESC Limited is India's first fully integrated utility company, serving 4.9 million consumers across 7 locations. The RPSG Group, to which CESC belongs, has an EBITDA of ~US$900 million, asset base of ~US$5 billion, and group turnover of >US$8 billion (FY26 figures). The company has over 1.1 million shareholders.

Distribution Business Performance

CESC operates distribution businesses across multiple models and geographies:

Licensed Distribution Areas:

  • CESC Kolkata: 37 lakh customers, 2,700+ MW peak demand, 11,990 MU units sold, T&D loss of 6.11%, revenue of ₹9,939 Cr (FY26)
  • Noida Power (NPCL): 2.2 lakh customers, 848+ MW peak demand, 3,888 MU units sold, T&D loss of 6.95%, revenue of ₹3,001 Cr (FY26)
  • Chandigarh Power (CPDL): 2.4 lakh customers, 465+ MW peak demand, 1,746 MU units sold, T&D loss of 8.30%, revenue of ₹1,007 Cr (FY26)

Distribution Franchisee (Input-based) Areas:

  • Rajasthan DF (Kota, Bharatpur, Bikaner): 5.5 lakh customers, 698+ MW peak demand, 2,427 MU units sold, T&D loss of 11.4%, revenue of ₹2,052 Cr (FY26)
  • Malegaon DF: 1.3 lakh customers, 238+ MW peak demand, 922 MU units sold, T&D loss of 36.33%, revenue of ₹799 Cr (FY26)

T&D Loss Improvement Trends:

Significant improvements were achieved across most distribution businesses from FY25 to FY26:

  • CESC Kolkata: 6.5% → 6.11%
  • Noida Power: 7.5% → 6.95%
  • Chandigarh Power: 12.5% → 8.30%
  • Malegaon DF: 39.7% → 36.33%

Generation Assets Performance

CESC operates thermal power plants with total capacity of 2,125 MW:

Q4 FY26 Operational Performance:

  • Budge Budge TPP (750 MW): 4,948 MU sent out, 82% PLF
  • Southern SGS TPP (135 MW): 333 MU sent out, 31% PLF
  • Haldia TPP (600 MW): 4,627 MU sent out, 95% PLF
  • Chandrapur TPP (600 MW): 4,142 MU sent out, 83% PLF
  • Crescent TPP (40 MW): 281 MU sent out, 92% PLF
  • Solar (TN) (18 MW): 25 MU sent out, 21% PLF

Renewable Energy Strategy

CESC is pivoting toward 10 GW renewable capacity through its subsidiary Purvah Green Energy Limited:

Recent Acquisition:

  • Purvah Green signed SPA for acquisition of 100% of six SPVs from ReNew Solar Power (1,411 MWp operational assets acquired in August 2026)

Contracted Capacity:

  • 4.8 GWp total contracted renewable capacity
  • Committed capex: ~₹26,000+ Cr
  • Expected annualized revenue: ~₹3,400+ Cr
  • Expected annualized EBITDA: ~₹3,000+ Cr

Project Pipeline Details:

The pipeline includes hybrid, RTC, and BESS projects with signed PPAs or LOAs:

  • 300 MW at ₹2.69/kWh (Operational)
  • 300 MW at ₹3.84/kWh (Expected COD FY2027)
  • 300 MW at ₹3.75/kWh (Expected COD FY2028)
  • 180 MW at ₹4.35/kWh with 900 MWh BESS (Expected COD FY2029)
  • 250 MW at ₹3.69/kWh (Expected COD FY2029)
  • 300 MW at ₹2.86/kWh with 600 MWh BESS (Expected COD FY2030)
  • 175 MW at ₹3.85/kWh with 30 MWh BESS (Expected COD FY2030)
  • 70 MW at ₹5.25/kWh with 700 MWh BESS (Expected COD FY2030)

Solar Manufacturing Initiative

CESC is backward integrating into solar cell and module manufacturing:

  • Planning 3 GW integrated solar cell manufacturing capacity
  • Location: 100 acres in Greater Noida (Sector 8D, Yamuna Expressway Industrial Development Authority)
  • Technology: TOPCON+
  • LOA received from UP Government with attractive incentives
  • Execution status: LLI orders placed, site activity initiated

Digital Initiatives

CESC has implemented significant digital transformation:

  • ~88% payment channels are digital
  • ~95% revenue collection digitally
  • 99.7% customer queries answered within 5 minutes using Gen AI
  • First DISCOM in India with GPS outage-vehicle tracker
  • First DISCOM in India implementing SCADA for complete network visibility
  • First DISCOM in India having METAVERSE digital office
  • Won Gold Award at All India Discoms Association (AIDA) Annual Awards for Change Management
  • Customer loyalty program grew from 47,000 registered customers in 2024-25 to over 1.1 lakh in 2025-26

Financial Performance (FY26 Consolidated)

  • Revenue: ₹18,927 Cr
  • EBITDA: ₹4,707 Cr
  • PAT: ₹1,618 Cr

Subsidiary Financials (FY26):

  • CESC Standalone: Revenue ₹9,939 Cr, EBITDA ₹2,673 Cr, PAT ₹852 Cr
  • Noida Power: Revenue ₹3,001 Cr, EBITDA ₹442 Cr, PAT ₹227 Cr
  • Chandigarh Power: Revenue ₹1,007 Cr, EBITDA ₹61 Cr, PAT ₹25 Cr
  • Haldia Energy: Revenue ₹2,166 Cr, EBITDA ₹825 Cr, PAT ₹286 Cr
  • Dhariwal Infrastructure: Revenue ₹2,250 Cr, EBITDA ₹797 Cr, PAT ₹359 Cr
  • Crescent Power: Revenue ₹242 Cr, EBITDA ₹116 Cr, PAT ₹46 Cr
  • Distribution Franchisees: Mixed performance with Kota, Bharatpur, and Bikaner profitable while Malegaon DF reported EBITDA loss of ₹112 Cr

Growth Strategy & Investment Thesis

  • ~₹350 billion capex planned over next 5 years
  • ₹40 billion OCF in FY26, up 57% YoY, supporting self-funded growth
  • Focus on bidding for upcoming distribution privatizations (11 states identified as potential candidates)
  • Targeting 10 GW renewable capacity in medium term
  • Consistent dividend payouts

Disclaimer

The presentation contains forward-looking statements subject to risks including demand-supply conditions, raw material prices, government regulations, tax regimes, economic developments, litigations, and labor negotiations.