Power Grid Corporation of India reported a consolidated PAT decline of 20.85% QoQ to ₹3,598 crore in Q1 FY27 compared to ₹4,546 crore in Q4 FY26. Despite the quarter-on-quarter decline, the company demonstrated strong year-on-year performance with revenue from operations rising 2.68% YoY to ₹11,497 crore, up from ₹11,196 crore in the corresponding quarter last year. The results were announced on August 5, 2026, as scheduled in the company's exchange filing dated July 30. EBITDA increased 4.2% YoY to ₹9,536 crore from ₹9,147 crore a year earlier, with EBITDA margin improving to 82.9% during Q1 FY27 compared with 81.7% in the corresponding period last year, indicating better operating efficiency. However, the company's performance was impacted by higher tax expenses of 1.7% and movement in regulatory deferral account balances during the quarter. The company's earnings were also affected by higher tax expenses in the period under review.
Power Grid shares fell 3.74% to ₹271.45 following the Q1 FY27 results announcement, reflecting investor concerns over the quarterly profit decline. The stock was trading 3.4% lower at ₹271.95 apiece during the trading session on August 6. The stock has lost around 4% in the past one-year period but remained up by 2.6% in the current year and 47% gains over the last three years. In the past 52 weeks, the stock traded between ₹250 and ₹324.95 apiece on NSE, and is currently trading at a price-to-earnings multiple of 16.49 times. The company commanded a market cap of over ₹2.53 lakh crore as at the end of the last trading session. Investors will watch whether the stock stabilises after the initial reaction, with the company's earnings trajectory, regulated asset base expansion and execution of transmission projects remaining key factors for the stock in the coming quarters.
Transmission revenue increased 2.19% YoY to ₹10,929.16 crore, while consultancy revenue jumped 27.79% YoY to ₹518.73 crore during Q1 FY27. However, telecom revenue declined 13.02% YoY to ₹251.77 crore during the quarter. On a quarter-on-quarter basis, revenue from operations slipped 1.44% QoQ to ₹11,496.72 crore in the quarter ended June 30, 2026. Profit before tax (PBT), including regulatory deferral account balances, rose 17.07% QoQ and 7.03% YoY to ₹4,587.32 crore, indicating strong operational performance despite the PAT decline.
On August 5, 2026, Power Grid Corporation approved a ₹856.94 crore project to upgrade the Tirunelveli Udumalpet and PugalurMadurai 400kV double-circuit lines with high-temperature low-sag (HTLS) conductors. The project is set for completion within 24 months by February 11, 2028, demonstrating the company's continued investment in infrastructure modernization. During Q1 FY27, the company secured a JPY 80 billion loan from the Japan Bank for International Cooperation (JBIC) to finance the landmark Khavda-Nagpur HVDC Transmission Project. The company also emerged as the successful bidder in five transmission projects during Q1 FY27, comprising three Inter-State Transmission System (ISTS) projects and two Intra-State Transmission System (InSTS) projects under tariff-based competitive bidding.
At the end of Q1 FY27, the company's total transmission assets stood at 1,86,595 ckm of transmission lines, 291 substations and 6,34,516 MVA of transformation capacity. The company maintained an average transmission system availability of 99.80% during Q1 FY27. During the quarter, the company incurred capital expenditure of ₹7,765 crore and capitalized assets worth ₹5,277 crore on a consolidated basis, excluding FERV and including assets capitalized as finance lease. The company's gross fixed assets on consolidated basis stood at ₹3,25,671 crore as on June 30, 2026, including Gross Lease Receivables.
