Transformers & Rectifiers (India) Ltd. shares have delivered remarkable returns of 5,540% over the past six years, transforming a ₹1 lakh investment made in 2020 at approximately ₹5 per share into ₹56.4 lakh today. Despite this exceptional long-term performance, the stock has declined 45.8% over the past year, indicating recent market volatility despite the strong fundamentals. The sharp rerating has been driven by a sizeable change in the company's earnings base, with the transformer maker establishing itself as a major multibagger in the power equipment sector.
The company's financial performance has undergone a dramatic transformation over the past five years. According to reports from The Economic Times, Transformers & Rectifiers' consolidated revenue rose from ₹742.08 crore in FY21 to ₹2,508.8 crore in FY26*, while profit climbed to ₹272 crore. The company's EBITDA increased significantly from ₹78.1 crore to ₹444 crore, and profit jumped from ₹7.63 crore to ₹272 crore over the same period, demonstrating substantial operational efficiency improvements. These numbers indicate the reasons behind the stock's multibagger return over the past six years and continue to support the company's strong market position.
The company has substantially expanded its manufacturing capabilities to support its growing business. As reported by The Economic Times, Transformers & Rectifiers has expanded installed manufacturing capacity to more than 75,000 MVA from 40,000 MVA earlier. Production reached a record 33,763 MVA in FY26, against 29,118 MVA in FY25, indicating strong operational performance and capacity utilization. The company is also adding manufacturing capabilities through backward integration into CTC, pressboard, RIP bushings and fabrication. These facilities are expected to eventually meet around 80%-85% of its raw-material requirements internally, further enhancing operational efficiency and cost control.
The company maintains a robust order book position to support future growth. According to reports from The Economic Times, Transformers & Rectifiers closed FY26 with an unexecuted order book of ₹5,005 crore, while inquiries under negotiation exceeded ₹23,000 crore. During the June quarter, order inflow was ₹2,114 crore, growing at a robust 218% YoY, taking the order book as of June 30 to ₹6,630 crore. The momentum has continued into FY27 with significant orders including a large order from APTRANSCO and Megha Engineering and Infrastructures. On August 14, the company received a large order from APTRANSCO for transformer manufacturing with deliveries scheduled over the following 13 months, followed by another major order from Megha Engineering on August 29 with execution scheduled over 35 months.
The company has achieved a significant milestone by entering the nuclear power sector with its first nuclear-sector order. As reported by The Economic Times, Transformers & Rectifiers will supply generator transformers for NPCIL's Kaiga Units 5 and 6 project in Karnataka, comprising two 700 MWe reactors. This marks the company's first nuclear-sector order, expanding its application base beyond traditional power generation into critical infrastructure projects. The latter order is significant because it takes Transformers & Rectifiers into the nuclear power sector, representing a major expansion of the company's business scope and capabilities.
