Power Grid Corporation of India Ltd — Q1 FY27 earnings call
Summary generated by AI from the official transcript Power Grid Corporation of India Ltd filed with BSE on 14 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
Power Grid reported Q1 FY27 consolidated transmission charges of Rs. 10,905 crore, up 3% from Rs. 10,620 crore, while consolidated PAT was Rs. 3,598 crore versus Rs. 3,631 crore a year earlier. Management attributed the flat PAT to a regulatory drag of about Rs. 560 crore from lower depreciation and interest recognition under the tariff regime, including a reduction in interest income from delayed CERC tariff orders. The company also detailed its capitalization of Rs. 5,277 crore against a full-year guidance of Rs. 30,000 crore, and outlined a sector pipeline including Rs. 1.75 lakh crore of work in hand and Rs. 1.19 lakh crore under bidding.
Numbers mentioned
Transmission charges: Rs. 10,905 crore (Q1 FY27)
p. 6
“the transmission charges, there's a 3% increase from Rs. 10,620 crore to Rs. 10,905 crore”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Total income: Rs. 11,697 crore (Q1 FY27)
p. 6
“the total income from Rs. 11,444 crore to Rs. 11,697 crore”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
PAT: Rs. 3,598 crore (Q1 FY27)
p. 6
“The PAT stands at about Rs. 3,598 crore compared to Rs. 3,631 crore of the previous quarter.”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Gross fixed assets: Rs. 3,25,671 crore (as of Q1 FY27)
p. 6
“the gross fixed assets continue to move upwards from Rs. 2,92,446 crore to Rs. 3,25,671 crore”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Capital work in progress: Rs. 50,419 crore (as of Q1 FY27)
p. 6
“The capital work in progress from Rs. 41,610 crore to Rs. 50,419 crore.”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Net worth: Rs. 1,04,028 crore (as of Q1 FY27)
p. 6
“The net worth improving from Rs. 96,482 crore to Rs. 1,04,028 crore.”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Earnings per share: 3.87 (Q1 FY27)
p. 6
“the ratios accordingly owing to the increased net worth having an impact of earnings per share standing at 3.87, and book value per share about 111.85”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Capitalisation: Rs. 5,277 crore (Q1 FY27)
p. 4
“as against 1,683, we stand about Rs. 5,277 crores as far as capitalization is concerned”
B. Vamsi Rama Mohan, page 4 of the filed PDF · View the filing
Capex: more than 10% above last year's Q1 (Q1 FY27)
p. 4
“we are pleased to inform that compared to last year, we have the capex is more than 10% what we have achieved in this quarter in Q1 itself”
B. Vamsi Rama Mohan, page 4 of the filed PDF · View the filing
Regulatory drag on PAT: Rs. 560 crore (Q1 FY27)
p. 6
“So, this amounts to about Rs. 560 crore was the downside owing to the regulatory nature of revenue.”
B. Vamsi Rama Mohan, page 6 of the filed PDF · View the filing
Works in hand: Rs. 1.75 lakh crore
p. 5
“Total outlook for the sector, the value in terms of Rs. 1.75 lakh crore, which are the works in hand for POWERGRID”
B. Vamsi Rama Mohan, page 5 of the filed PDF · View the filing
Bidding pipeline: Rs. 1.19 lakh crore
p. 5
“The bidding pipeline is also very strong in terms of Rs. 1.19 lakh crore”
B. Vamsi Rama Mohan, page 5 of the filed PDF · View the filing
Long-term outlook: more than Rs. 15 lakh crore
p. 5
“the long-term outlook is also very secure, about more than Rs. 15 lakh crore, which is there”
B. Vamsi Rama Mohan, page 5 of the filed PDF · View the filing
New TBCB awards gross annual tariff: Rs. 2,200 crores (till July 2026)
p. 5
“the success till July 2026 in inter-state as well as intra-state, 6 transmission projects altogether have been successfully won, with a total gross annual tariff about Rs. 2,200 crores”
B. Vamsi Rama Mohan, page 5 of the filed PDF · View the filing
Billing and realization: Rs. 10,963 crore billed, Rs. 11,404 crore realized (104%)
p. 6
“robust collections continue to be there in the sector, with the billing standing at about Rs. 10,963 crore, and the realization about 104%, that is Rs. 11,404 crore”
B. Vamsi Rama Mohan, page 6 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.
Capex — Rs. 37,000 crore · FY27
stated firmly by B. Vamsi Rama Mohan
p. 4
“The guidance what was given as Rs. 37,000 crore, we are pleased to inform that compared to last year, we have the capex is more than 10% what we have achieved in this quarter in Q1 itself.”
B. Vamsi Rama Mohan, page 4 of the filed PDF · View the filing
Capitalization — Rs. 30,000 crore · FY27
stated firmly by B. Vamsi Rama Mohan
p. 4
“And on the capitalization front, the guidance standing at Rs. 30,000 crore, it is almost 3.13 times than what we have achieved in the last quarter.”
B. Vamsi Rama Mohan, page 4 of the filed PDF · View the filing
HVDC capex bid-out timeline for Rs. 7.9 lakh crore pipeline — next 3 to 4 years
stated conditionally by B. Vamsi Rama Mohan
p. 9
“So, the Rs. 7.9 lakh crore would be spread across maybe another 3 years or so, because we need the systems by '35, '36.”
B. Vamsi Rama Mohan, page 9 of the filed PDF · View the filing
Net zero — net zero · 2047
stated as an aspiration by B. Vamsi Rama Mohan
p. 7
“Becoming net zero, the target standing at 2047, 20% reduction already achieved and we are inching forward to that date.”
B. Vamsi Rama Mohan, page 7 of the filed PDF · View the filing
Zero waste to landfill — zero waste to landfill · 2030
stated as an aspiration by B. Vamsi Rama Mohan
p. 7
“the other targets in terms of achieving zero waste to landfill, more than 90% achieved and we are close to achieving that by 2030, which the target is set”
B. Vamsi Rama Mohan, page 7 of the filed PDF · View the filing
Capitalization pace for FY27 — FY27
stated as an aspiration by B. Vamsi Rama Mohan
p. 19
“as we move forward, the projects come into capitalization, and I'm sure that this number would be that much steadier and improve”
B. Vamsi Rama Mohan, page 19 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 quantified the drag at Rs. 560 crore, combining Rs. 330 crore from depreciation/interest and Rs. 230 crore from interest on filing-versus-order differential.
Answered by B. Vamsi Rama Mohan
Asked by Apoorva Bahadur: Quantify the drag from depreciation and regulatory differences on revenue this quarter.
p. 7
“For Q1, depreciation and interest, which stands about Rs. 330 crore and owing to the interest because of the differential between our filing and also the CERC order date, that stands about Rs. 230 crore.”
B. Vamsi Rama Mohan, page 7 of the filed PDF · View the filing
Management said the equity investment was entirely funded through internal accruals, not debt.
Answered by Management
Asked by Apoorva Bahadur: How much of the Rs. 13,000 crore TBCB equity investment was funded by debt versus internal accruals?
p. 8
“All of it is through equity only. Internal accruals.”
Management, page 8 of the filed PDF · View the filing
Management explained the regulator recognizes tariff toward cost of debt and depreciation over 12 years, and interest accrues on the differential between filing and order dates, which was significant in the prior year's Q1 but has since reduced as CERC issued orders.
Answered by B. Vamsi Rama Mohan
Asked by Ketan Jain: What is the reason for the difference in tariff between CERC and the company's filing?
p. 12
“the trajectory of the tariff of the regulator is that they recognize the tariff towards the cost of loan, that is the cost of debt, they recognize it as depreciation, and they unwind that particular cost in 12 years”
B. Vamsi Rama Mohan, page 12 of the filed PDF · View the filing
Management acknowledged the concern and said they would examine improving disclosures, though a colleague noted current disclosures meet regulatory requirements.
Answered by B. Vamsi Rama Mohan
Asked by Sumit Kishore: Can the company disclose separate consolidated revenue, EBITDA and PAT contribution from TBCB projects?
p. 16
“I do appreciate the concern. In fact, it is an equal concern from my side as well, that you need to appreciate certain regulatory pulls or pushes actually impacts the POWERGRID 's financials.”
B. Vamsi Rama Mohan, page 16 of the filed PDF · View the filing
Management said transmission tariff is not linked to power flow and revenue continues to accrue once assets are commissioned, though RTM-mode assets need regulatory clearance for deemed commissioning status.
Answered by B. Vamsi Rama Mohan
Asked by Sumit Kishore: Are any POWERGRID transmission lines underutilized due to delayed renewable generation, and does this affect revenue collection?
p. 17
“my tariff is not rupees per megawatt-hour, it is rupees per annum. So, be rest assured that the revenue is not linked to the generation.”
B. Vamsi Rama Mohan, page 17 of the filed PDF · View the filing
Management said capitalization depends on project timelines and ROW challenges but expects the number to steady and improve as more projects like Koppal, Gadag and Bidar-Maheshwaram come into capitalization.
Answered by B. Vamsi Rama Mohan
Asked by Dhruv: Is there scope for meaningful upside to the Rs. 30,000 crore capitalization guidance given the strong Q1 start?
p. 19
“the quantum of capitalization which has happened in the Q1 stands about Rs. 5,277 crore”
B. Vamsi Rama Mohan, page 19 of the filed PDF · View the filing
Management confirmed TBCB projects use lease accounting, so depreciation is instead amortization of the lease receivable, but this does not change reported PAT.
Answered by Management
Asked by Dhruv: Why is depreciation growth lower than gross block growth on a consolidated-minus-standalone basis, and is this due to lease accounting for TBCB projects?
p. 20
“lease method only we are following, sir, wherein the depreciation will not come, it will be taken as amortization of the lease”
Management, page 20 of the filed PDF · View the filing
Management said the situation is improving as manufacturers ramp up capacity in response to bulk procurement visibility from POWERGRID.
Answered by B. Vamsi Rama Mohan
Asked by Bharanidhar: Is the equipment supply challenge for high-capacity transformers or GIS substations easing?
p. 11
“it would not be as bad as what it was before because the manufacturers are also now ready to take on the additional capacity requirements”
B. Vamsi Rama Mohan, page 11 of the filed PDF · View the filing
Risks flagged
Regulatory tariff trajectory reduces depreciation and interest revenue as assets age beyond 12 years
p. 8
“what capitalization happened 12 years ago, that will definitely have an impact, because that is the characteristic of the industry itself, the transmission industry under the regulatory regime”
B. Vamsi Rama Mohan, page 8 of the filed PDF · View the filing
Right of way and land compensation challenges affecting transmission line execution
p. 11
“the challenge of ROW is there, cannot be wished away”
B. Vamsi Rama Mohan, page 11 of the filed PDF · View the filing
Potential cost escalation not factored into the Rs. 7.9 lakh crore capex estimate
p. 9
“it would be difficult to factor in the quantum of escalations what would be happening during this period of time. So, should there be a massive escalation, it obviously would get reflected in these costs”
B. Vamsi Rama Mohan, page 9 of the filed PDF · View the filing
Land compensation guidelines and new circle rates not yet factored into cost estimates, creating scope for cost increase
p. 10
“this has not been factored while working upon the estimates, and it is presently not possible to actually even factor in the quantum because that would be emerging only once the MRC rate has been finalized”
B. Vamsi Rama Mohan, page 10 of the filed PDF · View the filing
Equipment supply constraints from high-intensity sector growth
p. 11
“Equipment supply, with the high-intensity growth in this sector, obviously the existing capacities at times have a challenge in trying to provide the supplies.”
B. Vamsi Rama Mohan, page 11 of the filed PDF · View the filing
Raw material costs continuing to impress upon equipment pricing
p. 13
“the raw material, which is required for the transformers and all, that is the factor which will continue to impress upon the costing of this equipment over here”
B. Vamsi Rama Mohan, page 13 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.