Synopsis: Power Grid has strengthened its presence in India’s power infrastructure space after securing a key transmission project in Karnataka, further supporting the country’s growing renewable energy integration and long-term grid expansion plans.
The shares of this large-cap company majorly engaged in planning, implementation, operation and maintenance of Inter-State Transmission System (ISTS), Telecom and consultancy services, were in focus after securing new transmission project.
With the market capitalization of Rs. 2,66,090 Crores, the shares of Power Grid Corporation of India Ltd were trading at around Rs. 286 per share which is 11 percent discount from its 52-week high of Rs. 322 per share and is trading at a P/E of 17.2 whereas industry P/E stands at 17.5
What is the NEWS
Power Grid Corporation of India a Maharatna CPSU and India’s largest electric power transmission company, has secured a major transmission infrastructure project in Karnataka aimed at integrating an additional 2.7 GW of renewable energy capacity, marking another key addition to its project pipeline.
The company has received the Letter of Intent (LoI) for the Transmission System Strengthening at Tumkur-II project and will execute it under the Build, Own, Operate and Transfer (BOOT) model through the tariff-based competitive bidding route. The scope of work includes setting up a 400 kV double-circuit transmission line across Karnataka, along with augmentation works at the Tumkur-II Pooling Station, including ICTs and line bays, to strengthen grid connectivity for renewable power evacuation.
About the Company and Financials
Power Grid Corporation of India Limited is a Maharatna CPSU and India’s largest electric power transmission company, primarily engaged in the planning, implementation, operation, and maintenance of the Inter-State Transmission System (ISTS), along with telecom and consultancy services.
The company operates across multiple infrastructure segments, including transmission lines, substations, intra-regional capacity expansion, and HVDC projects. It has remained actively focused on capital expenditure, investing over Rs. 1 lakh crore between FY21 and FY26 to strengthen the country’s power transmission backbone. Building on this momentum, the company has outlined an additional planned capex of Rs. 82,000 crore for FY27 to FY28, aimed at supporting renewable energy integration, grid modernization, and future demand growth across regions.
Year on Year analysis: Revenue from operations has increased from Rs. 11,233 Crores to Rs. 12,395 Cores, up 10.3 percent. Operating profit has increased from Rs. 9,533 Crores to Rs. 10,607 Crores, up 11.2 percent and net profit has increased from Rs. 3862 Crores to Rs. 4185 Crores, up 8.3 percent
Quarter on Quarter analysis: Revenue from operations has increased from Rs. 11,476 Crores to Rs. 12,395 Cores, up 8 percent. Operating profit has increased from Rs. 9055 Crores to Rs. 10,607 Crores, up 17.1 percent and net profit has increased from Rs. 3566 Crores to Rs. 4185 Crores, up 17.3 percent
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