GE Vernova T&D India (522275) Q2 25/26 earnings summary

Executive summary

• Q2 FY 25-26 revenue grew 39% year-over-year to INR 15.4 billion, with profit before tax up 2.1x to INR 4.0 billion and a robust order backlog of INR 131.1 billion as of September 2025.

• Major CapEx of INR 8 billion (INR 806 crore) announced for advanced grid technologies and capacity expansion at Vadodara, Hosur, and Padappai, increasing transformer and reactor capacity by over 50% and GIS & AIS products by up to 25% over three years, all funded from internal accruals.

• Focus on HVDC, STATCOM, digital solutions, and performance management as key growth drivers, with digitization and engineering expansion as differentiators.

• Board approved unaudited standalone financial results for the quarter and six months ended September 30, 2025, and a major investment plan for capacity expansion.

• Cash generation in H1 FY 25-26 was INR 6.0 billion, with available cash equivalents of INR 15.2 billion before dividend payment.

Financial highlights

• Q2 revenue at INR 15,384.6 million, up 39% year-on-year from INR 11,077.7 million; H1 revenue at INR 28.7 billion, up 39% year-on-year.

• Profit before tax for Q2 FY 25-26 was INR 4.0 billion, more than double the previous year; net profit for the quarter was INR 2,994.8 million.

• EBITDA margin for Q2 at 25.8%, up from 18.5% last year; H1 EBITDA margin at 27.3%.

• Cash and cash equivalents at INR 15.2 billion as of September 30, 2025, with no debt.

• Basic and diluted EPS for the quarter was INR 11.70, up from INR 5.65 in the same quarter last year.

Outlook and guidance

• Management expects to deliver EBITDA margins in the mid-20s for the full year.

• Revenue run-rate projected at INR 5,500–6,000 crore for FY 2025-2026, implying 35% growth.

• Strategic capex of INR 8,060 million approved for capacity expansion and new manufacturing lines, to be completed over 2026-2028 and funded through internal accruals.

• Data center segment expected to become a significant growth driver by FY 2027–2028.

• Expansion aims to meet growing demand in domestic and export markets for power transmission equipment.