Vedanta Power Ltd reported a net profit of ₹83 crore in Q2 FY27, marking a sharp turnaround from a loss of ₹1,688 crore in the same quarter last year and a loss of ₹423 crore in the previous quarter. According to reports from The Economic Times, this represents the company's first positive quarterly profit in recent periods. The profitability improvement was driven by EBITDA rising 122% year-on-year to ₹421 crore from ₹291 crore in the preceding quarter, with EBITDA margins expanding to 14.5% from 11.2%. The company also achieved its first-ever positive earnings per share (EPS) during the quarter, with profit after tax before exceptional items increasing 171% to ₹101 crore.
The company recorded its highest-ever quarterly power sales of 5,593 million units in Q2 FY27, marking a 26% increase year-on-year. As reported by The Economic Times, net sales realisation rose to ₹5.20 per kilowatt-hour (kWh) compared with ₹4.74 per kWh in the corresponding quarter last year. Revenue from operations increased 38% year-on-year to ₹2,908 crore in Q2 FY27, compared with ₹2,104 crore in the corresponding quarter of the previous fiscal year. For the first half of FY27, power sales rose 32% to 10,817 million units, with the company achieving revenue of ₹5,515 crore, up 35% YoY.
Meenakshi Energy Limited in Andhra Pradesh reported quarterly power sales of 1,470 MU, an increase of 111% year-on-year, with the company restoring the plant's full 1,000 MW capacity following its acquisition in 2023. Jharsuguda Independent Power Plant in Odisha achieved 98% plant availability, compared with 48% in the year-ago quarter, with power sales of 873 MU, up 187% YoY and 27% quarter-on-quarter. Talwandi Sabo Thermal Plant in Punjab supplied 2,945 MU during the quarter, an increase of 6% YoY, with plant availability at 79%. The company also highlighted that its Sakti plant was synchronised on October 25, 2026, with stable operations expected to contribute to EBITDA and free cash flow.
The company's balance sheet showed significant improvement, with net debt-to-EBITDA ratio improving to 4.47 times at the end of Q2 FY27, compared with 5.38 times in the June quarter and 9.82 times in the year-ago period. Net debt stood at ₹7,444 crore, down from ₹7,704 crore in the previous quarter, while cash balances stood at ₹1,063 crore. The quarterly results reflect a combination of higher power sales, improved plant availability and stronger profitability metrics across the company's thermal power assets. Vedanta Power secured 85% of its coal requirements through long-term arrangements, with a five-year power purchase agreement covering 300 MW at Meenakshi Energy.
Shares of Vedanta Power closed at ₹28.88 on the NSE, up 0.31% ahead of the earnings announcement, as reported by The Economic Times. The positive market response reflects investor confidence in the company's operational turnaround and improved financial performance. The company also highlighted rating upgrades to CRISIL AA− and ICRA AA−, along with its inclusion in the Nifty 500 and Nifty Smallcap 250 indices. CEO Rajinder Singh Ahuja emphasized the company's operational strength and focus on asset efficiency, while CFO Pankaj Jha highlighted the operational turnaround translating into stronger profitability and balance sheet strength. The company reported sustainability improvements including a 51% year-on-year reduction in freshwater consumption and positive impact on over 1.7 lakh women and children across four states.
