Financial Performance - Q2 FY27 (Standalone)

Profit and Loss Statement (Q2 FY27 vs Q2 FY26):

  • Revenue: ₹134.9 Cr (Q2 FY26: ₹63.6 Cr) - 112% YoY increase
  • EBITDA: ₹19.0 Cr (Q2 FY26: ₹10.0 Cr) - 91% YoY increase
  • EBITDA Margin: 14.1% (Q2 FY26: 15.7%)
  • PAT: ₹12.5 Cr (Q2 FY26: ₹6.0 Cr) - 108% YoY increase
  • PAT Margin: 9.3% (Q2 FY26: 9.5%)
  • EPS: ₹25.39 (Q2 FY26: ₹33.30) - 63% YoY increase, behind PAT growth due to IPO dilution

Cost Structure Q2 FY27:

  • Materials cost: 65.1% of revenue (vs 55.3% in Q2 FY26)
  • Total operating expense: 85.9% of revenue (vs 84.3% in Q2 FY26)
  • Finance cost: 2.5% of revenue (vs 3.8% in Q2 FY26)

Financial Performance - H1 FY27 (Standalone)

Half Year Results (H1 FY27 vs H1 FY26):

  • Revenue: ₹213.3 Cr (H1 FY26: ₹123.0 Cr) - 73.4% YoY increase
  • EBITDA: ₹31.0 Cr (H1 FY26: ₹18.9 Cr) - 64.2% YoY increase
  • EBITDA Margin: 14.5% (H1 FY26: 15.3%) - 81 bps decrease
  • PAT: ₹20.0 Cr (H1 FY26: ₹11.8 Cr) - 69.3% YoY increase
  • PAT Margin: 9.4% (H1 FY26: 9.6%) - 22 bps decrease
  • EPS: ₹8.62 (H1 FY26: ₹6.86) - 25.7% YoY increase

Revenue Context: H1 FY27 revenue of ₹213.3 Cr represents 71% of FY26's full-year revenue of ₹330.7 Cr

Order Book and Business Development

Order Inflow Q2 FY27:

  • 7 new orders worth ₹395 Cr (ex-GST)
  • ₹466 Cr including GST (converted at 18%)

Order Book Position:

  • Order book as of September 30, 2026: ₹1,067 Cr
  • 2.6x YoY increase (September 30, 2025: ₹409 Cr)
  • Order book to FY26 revenue ratio: 3.5x

Detailed Q2 Order Wins:

1. September 28: Golden Temple, Amritsar - 2 MW ground-mount solar EPC with 10-year O&M - ₹7.54 Cr ex-GST (₹8.90 Cr incl GST) - Solar completion by December 2026

2. September 21: PSPCL via Marshal Enterprises - RDSS LT/HT loss reduction, Faridkot and Gurdaspur circles - ₹180.92 Cr ex-GST (₹213.48 Cr incl GST) - 15-month term

3. September 02: TPCODL - Network maintenance - ₹20.87 Cr ex-GST (₹24.63 Cr incl GST) - 3 years from October 2026

4. August 31: TPWODL - Network maintenance - ₹84.11 Cr ex-GST (₹99.25 Cr incl GST) - October 2026 to September 2029

5. August 31: TPSODL (Tata Power, Odisha) - Network maintenance; 33/11 kV substation operations - ₹97.47 Cr ex-GST (₹115.02 Cr incl GST) - October 2026 to September 2029

6. August 11: Noida Power Company - Auto-reclosers and sectionalisers - ₹1.51 Cr ex-GST (₹1.78 Cr incl GST) - To November 2026

7. July 02: MP Paschim Kshetra VVCL - FPls with SCADA integration; 5-year AMC - ₹2.86 Cr ex-GST (₹3.37 Cr incl GST) - 70 days, then AMC

Order Book Composition:

  • 82.4% from Bihar (pro forma, against 82% at July 31, 2026)
  • 91% of book with government utilities, PSUs and central schemes (as of July 31, 2026)
  • Geographic presence expanded to 10 states (9 at FY26), with Madhya Pradesh added in Q2

Bid Pipeline:

  • ₹1,260 Cr of tenders at final stage
  • Management guides to winning 15-20% of qualified bids by value, and 10-15% in states where it is new

Balance Sheet Position (Standalone)

As of September 30, 2026 (unaudited) vs March 31, 2026 (audited):

Equity and Liabilities:

  • Shareholders' funds: ₹157.22 Cr (Mar 31: ₹137.21 Cr) - +₹20.01 Cr
  • Long-term borrowings: ₹8.64 Cr (Mar 31: ₹0.21 Cr) - +₹8.43 Cr
  • Short-term borrowings: ₹154.43 Cr (Mar 31: ₹68.73 Cr) - +₹85.70 Cr
  • Trade payables: ₹57.96 Cr (Mar 31: ₹52.68 Cr) - +₹5.28 Cr
  • Other current liabilities: ₹35.10 Cr (Mar 31: ₹6.11 Cr) - +₹28.99 Cr

Assets:

  • Fixed assets and investments: ₹1.87 Cr (Mar 31: ₹1.71 Cr) - +₹0.16 Cr
  • Capital work-in-progress: ₹37.05 Cr (Mar 31: not reported) - new in H1
  • Other non-current assets (BG margin): ₹92.47 Cr (Mar 31: ₹50.28 Cr) - +₹42.19 Cr
  • Inventories: ₹24.75 Cr (Mar 31: ₹10.11 Cr) - +₹14.64 Cr
  • Trade receivables: ₹190.81 Cr (Mar 31: ₹159.25 Cr) - +₹31.56 Cr
  • Cash and bank: ₹1.61 Cr (Mar 31: ₹0.57 Cr) - +₹1.04 Cr

Total Assets/Liabilities: ₹431.03 Cr (Mar 31: ₹269.63 Cr) - +₹161.40 Cr

Borrowings and Returns Metrics

Debt Position:

  • Gross debt: ₹163.1 Cr (Mar 31: ₹68.9 Cr) - +₹94.2 Cr in H1
  • Debt/equity: 1.04x (Mar 31: 0.50x; Sep 30, 2025: 0.69x)
  • Net debt/EBITDA (annualized): 2.6x (FY26: 1.6x)
  • Interest cover (EBIT/finance cost): 5.2x (H1 FY26: 4.8x)
  • Finance cost/revenue: 2.8% (H1 FY26: 3.2%)

Returns:

  • Return on equity (H1, annualized): 27.2% (FY26: 33.0%)

Management Commentary and Strategic Outlook

Santosh Kumar Shah, Chairman and Managing Director commentary:

H1 FY27 has been the strongest half-year in company history with revenue growing 73% to ₹213.31 Cr and PAT increasing 69% to ₹20.01 Cr. Q2 revenue more than doubled to ₹134.91 Cr, reflecting realization of deferred billing as indicated in previous earnings call.

Strategic Priorities for 2026-27:

1. Growth: Grow revenue, EBITDA and PAT together and widen business by state and client

2. Cash flow: Faster collection, wider client base, less concentration, tighter working capital

3. Niche products: Move from standalone FPls to bundled automation with auto-reclosers and SCADA/OMS

4. Execution: Deliver on time and protect margins, starting with Patna and new Odisha and Punjab work

5. New engines: Build EHV transmission capability and bid battery storage tenders

Product Roadmap:

  • Compact FPI through technology-transfer partnership (Q3 FY27 launch)
  • Vacuum circuit breakers and ring main units (about a year out)
  • Target: 50%+ of revenue from products by FY28

Subsidiary Update:

Sugs Renewables Pvt Ltd, wholly owned subsidiary set up in August 2026, to bid for and hold RESCO projects

FY28 Targets:

  • Revenue target: ₹1,000 Cr
  • No equity raise planned in FY27 or FY28

Key Clients and Geographic Presence

Major Clients:

  • Central PSUs and railways: NTPC, Konkan Railway, Indian Railways
  • State utilities and agencies: North and South Bihar discoms, BREDA, PSPCL, MAHAGENCO, HPPCL, MP Paschim
  • Tata Power discoms, Odisha: TPSODL, TPWODL, TPNODL and TPCODL
  • Private utilities and others: BSES Yamuna, Noida Power, SGPC

Operating in 10 states with government utilities, PSUs and central schemes behind 91% of the order book

Industry Opportunity Assessment

Market Sizes and Opportunities:

  • Distribution reform (RDSS): ₹2.83 lakh Cr
  • Transmission: ₹9.15 lakh Cr planned to 2032
  • Feeder automation: 2.65 lakh feeders (CEA)
  • Utility-scale solar: 171 > 365 GW (installed vs 2032 requirement)
  • Battery storage: 4.7 > 236 GWh (installed vs 2032 requirement)
  • Rooftop solar: ~₹22,000 Cr PM Surya Ghar allocation in FY27 Union Budget

Historical Performance

FY23-FY26 CAGR: Revenue has compounded at 103% per year since FY23, with EBITDA margin at 14-15% since FY24