Godawari Power and Ispat Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Godawari Power and Ispat Ltd filed with BSE on 13 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Godawari Power & Ispat reported Q1 FY27 revenue growth both year-on-year and sequentially, supported by healthy sales volume and improved realization, while EBITDA and PAT margins came in at 19.1% and 12.7% respectively, softening sequentially due to elevated input costs from higher market iron ore procurement and coal prices. Management said the proposed integrated steel plant has been kept in abeyance due to delays in water allocation approval, and the CRM complex is being relocated to Maharashtra with a revised capex of Rs 1,100 crores. The company also discussed delays in iron ore mining ramp-up due to pending government land approvals for overburden dumping, and confirmed one pellet plant remains shut due to high gas costs and market iron ore prices.
Numbers mentioned
EBITDA margin: 19.1% (Q1 FY27)
p. 4
“EBITDA and PAT margin stood at 19.1% and 12.7%, respectively.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
PAT margin: 12.7% (Q1 FY27)
p. 4
“EBITDA and PAT margin stood at 19.1% and 12.7%, respectively.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
Pellet capacity utilization: 77% (Q1 FY27)
p. 4
“The 4.7 million ton expanded pellet capacity operated at 77% utilization in Q1 and is expected to ramp up to around 80%-85% in FY '27 as the operations scale up.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
Beneficiation plant capex incurred: INR218 crores (till June '26)
p. 4
“capex of INR218 crores incurred in the beneficiation plant till June '26.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
CRM project capex: INR1,100 crores
p. 4
“The project is now targeted to be, commissioned by December '27, with planned capex of INR1,100 crores to be funded through INR550 crores of debt and balance through internal accruals.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
BESS project capex incurred: INR501 crores (till date)
p. 4
“We have already incurred a capex of INR501 crores till date in the project.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
CBAM emission intensity: 3.180 CO2 ton (Q1 FY27)
p. 5
“Under CBAM technology based on the total carbon basis, emission intensity stood at 3.180 CO2 ton in Q1 FY27, improving 1.9% quarter-on-quarter and 4.2% Y-o-Y from 3.244 ton fixed carbon.”
Dinesh Gandhi, page 5 of the filed PDF · View the filing
WSA emission intensity: 2.485 ton CO2 per ton of steel (Q1 FY27)
p. 5
“Under the World Steel Association methodology based on fixed carbon basis, emission intensity stood at 2.485 ton CO2 per ton of steel production in Q1 FY27, remaining broadly stable quarter-on-quarter and Y-o-Y against target of 2.4920 fixed by Government of India.”
Dinesh Gandhi, page 5 of the filed PDF · View the filing
Imported coal cost: INR13,000 (Q1 FY27)
p. 20
“our imported coal cost was about INR10,500 for Q4 and early Q1. Now, it's almost touched INR13,000.”
Abhishek Agrawal, page 20 of the filed PDF · View the filing
Land parcel for Maharashtra CRM: 35 acres
p. 21
“Land cost is about INR50 crores and the land parcel is about 35 acres.”
Abhishek Agrawal, page 21 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Iron ore mining production — 3.4 million tons · FY27
stated firmly by Abhishek Agrawal
p. 9
“3.4 million we have given for this year and it is very much on track.”
Abhishek Agrawal, page 9 of the filed PDF · View the filing
Pellet plant ramp-up — 80%-85% utilization · FY27
stated as an aspiration by Dinesh Gandhi
p. 4
“The 4.7 million ton expanded pellet capacity operated at 77% utilization in Q1 and is expected to ramp up to around 80%-85% in FY '27 as the operations scale up.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
CRM complex commissioning — December 2027 · Q3 FY28
stated firmly by Dinesh Gandhi
p. 4
“The project is now targeted to be, commissioned by December '27, with planned capex of INR1,100 crores to be funded through INR550 crores of debt and balance through internal accruals.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
BESS project commissioning — Q1 FY28 · Q1 FY28
stated firmly by Dinesh Gandhi
p. 4
“The 20 gigawatt base project is progressing well and is scheduled for commissioning in Q1 '28.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
100 megawatt solar project commissioning — September '26
stated firmly by Dinesh Gandhi
p. 4
“the 25 megawatt solar plant has been commissioned in May 2026, and 100 megawatt project is under construction, targeted for commissioning by September '26.”
Dinesh Gandhi, page 4 of the filed PDF · View the filing
Solar storage plant commissioning — Q3 '26
stated firmly by Dinesh Gandhi
p. 5
“The 45 megawatt-based project for storage of captive solar power plant under implementation and targeted for commissioning by Q3 '27 -- targeted for commissioning by Q3 '26, not '27, sorry.”
Dinesh Gandhi, page 5 of the filed PDF · View the filing
Carbon capture project completion — end of FY27
stated firmly by Dinesh Gandhi
p. 5
“GPIL is also advancing its de-carbonization efforts through 5 TPD carbon capture utilization project in collaboration with IIT Mumbai, for which civil work is underway and completion targeted by end of FY27.”
Dinesh Gandhi, page 5 of the filed PDF · View the filing
Vision 2030 revenue growth — 4x increase in revenue · by 2030
stated as an aspiration by Dinesh Gandhi
p. 6
“company remains confident of achieving its Vision 2030 targets of 4x increase in revenue, 3x growth in EBITDA and PAT.”
Dinesh Gandhi, page 6 of the filed PDF · View the filing
Mining ramp-up approval timeline — approvals by end of September · end of September
stated conditionally by Abhishek Agrawal
p. 12
“We are very hopeful we should get the desired approvals by end of September, and basis that from October onwards, we will get the land to start dumping.”
Abhishek Agrawal, page 12 of the filed PDF · View the filing
Full mining capacity ramp-up — full capacity · FY28
stated conditionally by Abhishek Agrawal
p. 8
“From Q3 onwards, we expect the mining production to ramp up, and eventually achieve full capacity from Q4 or early Q1 next financial year.”
Abhishek Agrawal, page 8 of the filed PDF · View the filing
Market purchase of iron ore reduction — below 10% · from Q4
stated as an aspiration by Abhishek Agrawal
p. 8
“And from Q4 gradually, it should come down below 10%, and finally in FY28, it should be 100% captive. That is the target.”
Abhishek Agrawal, page 8 of the filed PDF · View the filing
Mining cost reduction — below INR2,700 · FY28
stated as an aspiration by Abhishek Agrawal
p. 11
“So, our target is to bring down the mining cost below INR2,700 from FY28.”
Abhishek Agrawal, page 11 of the filed PDF · View the filing
CRM margin improvement — 10%-11%
stated as an aspiration by Abhishek Agrawal
p. 13
“Yes, we should, Yes, exactly. We should touch 10%-11% with incentives.”
Abhishek Agrawal, page 13 of the filed PDF · View the filing
Boria Tibbu mining expansion — 4 million tons · FY31
stated as an aspiration by Abhishek Agrawal
p. 17
“eventually in FY31, we will be taking the mining capacity from 0.7 million to 4 million tons.”
Abhishek Agrawal, page 17 of the filed PDF · View the filing
Pellet production guidance — slightly lower than 4.0 million tons · FY27
stated conditionally by Abhishek Agrawal
p. 19
“Although we haven't revised, we are still evaluating but you can expect the volumes to be slightly on the lower side.”
Abhishek Agrawal, page 19 of the filed PDF · View the filing
Third pellet plant restart — September
stated conditionally by Abhishek Agrawal
p. 20
“But at the moment, it is under shutdown and we feel August will also be a shutdown period. September, there might be a possibility where we can start the third -- operation for the third plant.”
Abhishek Agrawal, page 20 of the filed PDF · View the filing
Remaining capex — close to about INR2,000 crores · remaining FY27 and entire FY28
stated firmly by Abhishek Agrawal
p. 22
“overall we envisage a CapEx of close to about INR2,000 crores for remaining FY'27 and entire FY'28.”
Abhishek Agrawal, page 22 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management said the steel plant should be viewed as an optional project pending water allocation approval, not a committed capex plan.
Answered by Abhishek Agrawal
Asked by Manav Gogia: Should the steel plant still be considered part of medium-term growth plans?
p. 6
“So, better to keep it as an option now, the steel plant.”
Abhishek Agrawal, page 6 of the filed PDF · View the filing
Management clarified the steel plant has been removed from the Vision 2030 target, which now reflects CRM and BESS only.
Answered by Abhishek Agrawal
Asked by Manav Gogia: Does the Vision 2030 revenue/EBITDA target still include the steel plant?
p. 7
“So, we revised the guidance in the earlier presentation. It was 4x and the EBITDA level, but now we've removed the steel part from that investor presentation.”
Abhishek Agrawal, page 7 of the filed PDF · View the filing
Management explained that new PNGRB guidelines raised gas purchase costs by 40-45%, making pellet production commercially unviable combined with high market iron ore prices.
Answered by Abhishek Agrawal
Asked by Aman Kothari: Why was the pellet plant shut down, and is it linked to gas pricing?
p. 9
“So, purchasing iron ore from the market and also getting gas at higher price, that makes pellet plant operation commercially unviable.”
Abhishek Agrawal, page 9 of the filed PDF · View the filing
Management expects iron ore prices to remain range-bound between USD90 and USD100 given Simandou's slow ramp-up and growing Indian demand.
Answered by Abhishek Agrawal
Asked by Aman Kothari: What is management's outlook for iron ore prices over the next one to two years?
p. 9
“I feel iron ore should remain in the levels of between USD90 to USD100, depending on the, you know, market to market, Yes.”
Abhishek Agrawal, page 9 of the filed PDF · View the filing
Management quantified that a INR100 reduction in mining cost per ton translates to roughly INR45-50 crores EBITDA benefit on 5-6 million tons of production.
Answered by Abhishek Agrawal
Asked by Yogansh: What EBITDA benefit is expected from mining cost reduction via beneficiation?
p. 11
“INR100 saving in the iron ore straightaway gives a, you know, EBITDA of INR45 crores - INR50 crores on a 5-6 million production of iron ore.”
Abhishek Agrawal, page 11 of the filed PDF · View the filing
Management said Maharashtra's industrial incentives would improve CRM margins by an additional 2-3%.
Answered by Abhishek Agrawal
Asked by Sunil Jain: Will relocating CRM to Maharashtra improve profitability?
p. 13
“Yes. So the incentives will improve the margin by another 2%, 3% for sure on the CRM complex side.”
Abhishek Agrawal, page 13 of the filed PDF · View the filing
Management attributed the increase mainly to lower mining volumes and higher market iron ore purchases, plus diesel costs, not fuel issues broadly.
Answered by Abhishek Agrawal
Asked by Tanuj: Why has iron ore/mining production cost risen roughly 10%?
p. 14
“Mining cost, exactly, the mining cost again has gone up, it's mainly because of lower production in the mines, and the other operating cost has gone up because only because of the lower production.”
Abhishek Agrawal, page 14 of the filed PDF · View the filing
Management said iron ore contributed about 75% of the cost increase and imported coal about 25%, driven by the West Asia crisis.
Answered by Abhishek Agrawal
Asked by Rohan Mehta: How much of the raw material cost increase is due to iron ore versus imported coal?
p. 20
“iron ore contributes about 75% of the increase cost and 25% was the imported coal.”
Abhishek Agrawal, page 20 of the filed PDF · View the filing
Management said the company has sufficient free cash flow to fund current projects without new borrowing.
Answered by Abhishek Agrawal
Asked by Rohan Mehta: Will the company need additional debt for capex given the steel plant is on hold?
p. 20
“We are very much -- we have sufficient free cash flows to fund the entire projects now.”
Abhishek Agrawal, page 20 of the filed PDF · View the filing
Management indicated pellet production would be around 500 kt in Q2 given the plant shutdown.
Answered by Abhishek Agrawal
Asked by Manav Gogia: What pellet production run rate should be assumed for Q2 FY27?
p. 22
“No, so if we happen to keep the plant shut for the entire quarter, the numbers will be on the lower side. So, at the moment, if you talk about, somewhere about 500 kt.”
Abhishek Agrawal, page 22 of the filed PDF · View the filing
Risks flagged
Iron ore mining volume decline due to delayed tree-cutting permission for overburden dumping land
p. 3
“Our iron ore mining volume declined primarily due to space constraints for dumping of overburden, in view of delay in obtaining tree-cutting permission in the additional allotted land.”
Dinesh Gandhi, page 3 of the filed PDF · View the filing
Higher input costs from increased market iron ore sourcing and elevated coal prices following the West Asia crisis
p. 3
“Sequentially, profitability was impacted by higher input cost, driven by increased iron ore sourcing from the market and elevated coal prices, following West Asia crisis.”
Dinesh Gandhi, page 3 of the filed PDF · View the filing
Steel plant project delays due to water allocation approval challenges
p. 6
“the entire water allotment of 9.4 something MCM has been delayed. It's been almost 6-8 months now.”
Abhishek Agrawal, page 6 of the filed PDF · View the filing
Rise in gas purchase cost under new PNGRB guidelines making pellet operations commercially unviable
p. 9
“the purchase value of the gas has gone up drastically. It's almost up by 40%-45%.”
Abhishek Agrawal, page 9 of the filed PDF · View the filing
Downside risk to iron ore prices from low-cost supply via the Simandou project
p. 6
“While additional low-cost supply from Simandou project presents downside risk, principally iron ore prices broadly remain stable closer to about INR5,500 range, ex-mine”
Dinesh Gandhi, page 6 of the filed PDF · View the filing
Industry pellet capacity utilization constrained by reduced exports, limited high-grade availability, and margin pressure
p. 5
“However, industry utilization remain constrained at 65% due to reduced exports, limited high-grade availability, and margin pressure.”
Dinesh Gandhi, page 5 of the filed PDF · View the filing
Uncertainty over natural gas supply normalization due to geopolitical conflict
p. 20
“It's every day situation how the war unfolds every day. So, as you know, things are very irrational right now, so we just hope for the best, yes.”
Abhishek Agrawal, page 20 of the filed PDF · View the filing
Repeated delays in state government approvals across projects
p. 15
“there have been enormous delays at different stages when it comes to approval from the state government.”
Abhishek Agrawal, page 15 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.