Summer in India is usually characterized by intense heat, and the temperatures easily soar above 40 degrees Celsius in many parts of the country, because of which heat waves are a common occurrence in several parts of the country. The intense summer creates both challenges and opportunities for power transmission companies. As electricity usage is significantly increased by the use of air conditioners and refrigerators.
Stock To Benefit
Power Grid Corporation of India Ltd is a Maharatna Public Sector Company that has an 84 percent market share in the Inter-State Transmission system with 1,518 transmission lines and a length of 1,79,594 circuit kilometers. The company has a total transformer capacity of 5,52,961 Mega Volt-Amperes (MVA).
During the increased use of electricity in summer, power grids get higher electricity demand, which leads to higher power transmission, which leads to higher utilization of power grid infrastructure and an increase in transmission fees from Distribution Companies ( DISCOMs )
Overview of the Company’s Transmission Lines
As a market leader and monopoly, the company possesses a vast and advanced transmission infrastructure. It operates 18 High Voltage Direct Current (HVDC) substations, 63 Extra High Voltage (765 kV) substations, and 168 High Voltage (400 kV) substations, ensuring efficient long-distance power transmission.
Additionally, the network includes 20 Static VAR Compensators (SVC) / Static Synchronous Compensators (STATCOMs) for voltage stability and 64 Grid Interface Converter (GIC) substations for seamless grid integration. With over 2,90,000 transmission towers and more than 3,800 transformers and reactors, the company plays an important role in maintaining grid reliability and supporting the growing energy demands of the nation.
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Financial Highlights
The company reported a 2.74 percent YoY decrease in revenue from Rs. 11,550 Crore in Q3FY24 to Rs. 11,233 Crore in Q3FY25. On a QoQ basis, the company reported a decrease of 0.39 percent in revenue from Rs. 11,278 Crore in the previous quarter.
Their Net profit saw a decrease of 4.12 percent YoY from Rs. 4,028 Crore to Rs. 3,862 Crore for the same period. On a QoQ basis, the company reported a marginal increase of 1.81 percent in Net profit from Rs. 3,793 Crore in the previous quarter.
About The Company
Established in 1989 and headquartered in Gurugram, Haryana Power Grid Corporation of India Limited (PGCIL) is a state-owned electric utility company responsible for the transmission of electricity across India.
Written By Abhishek Das
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