CG Power Q1 FY27 standalone profit rises 27% to Rs 364 crore
CG Power and Industrial Solutions Limited reported standalone sales of Rs 3,061 crore in the first quarter of FY27, up 16% year-on-year from Rs 2,643 crore in Q1 FY26, while profit after tax increased 27% to Rs 364 crore. The company said the quarter marked its highest-ever Q1 revenue and profit before tax in recent times, supported by strong performance in the Power Systems business and a higher order backlog.
The unaudited financial results for the quarter ended June 30, 2026, were approved by the Board of Directors at its meeting held on July 24, 2026.
Standalone results
Standalone earnings grew faster than sales during the quarter. Earnings before interest, taxes, depreciation and amortisation (EBITDA) increased 27% year-on-year to Rs 518 crore, compared with the corresponding quarter of FY26. EBITDA margin improved to 16.9% from 15.4%.
Profit before tax (PBT) rose 27% to Rs 487 crore from Rs 383 crore in Q1 FY26, while the PBT margin expanded to 15.9% of sales from 14.5%. Profit after tax (PAT) increased to Rs 364 crore from Rs 286 crore, representing 11.9% of sales. Annualised return on capital employed (ROCE) stood at 23% for the quarter.
CG Power recorded order intake of Rs 4,692 crore during Q1 FY27. Its standalone unexecuted order backlog reached Rs 17,333 crore as of June 30, 2026, an increase of 45% year-on-year.
Power Systems
Power Systems was the stronger of the company’s two major operating segments during the quarter, with both revenue and profitability improving.
Segment sales increased 31% year-on-year to Rs 1,402 crore, supported by strong execution. Profit before interest and tax (PBIT) rose to Rs 324 crore, equivalent to 23.1% of sales, from Rs 225 crore and 21.1% of sales in Q1 FY26. This represented a margin expansion of 209 basis points. The Power Systems order backlog stood at Rs 14,434 crore at the end of the quarter, up 59% year-on-year.
Industrial Systems
Industrial Systems recorded sales of Rs 1,671 crore, an increase of 6% year-on-year, with the Motors business registering strong double-digit growth.
Segment PBIT, however, declined to Rs 148 crore, or 8.8% of sales, from Rs 172 crore, or 10.9% of sales, in Q1 FY26. The company attributed much of the margin deviation to a one-off provision of Rs 20 crore in the Railways business.
The segment closed the quarter with an order backlog of Rs 2,899 crore.
Commenting on the quarter, Mr. Amar Kaul, Group CEO and Managing Director, said:
“This quarter continues to reflect steady, disciplined execution in an uncertain external environment. While global trade realignments, currency volatility, and elevated input costs remain part of the landscape, we continue adapting effectively. Our demand drivers remain intact and diversified, spanning grid modernisation, renewable integration, rail modernisation, and electronics manufacturing in India, further supported by an improvement in manufacturing activity and private capex. We will stay the course on capacity investment, as we believe the medium-term opportunity is stronger than near-term headwinds.”
Consolidated results
On a consolidated basis, CG Power reported sales of Rs 3,281 crore in Q1 FY27, an increase of 14% year-on-year. EBITDA rose 17% to Rs 481 crore from Rs 409 crore, while the margin increased to 14.7% from 14.2%.
Consolidated PBT increased 16% to Rs 423 crore from Rs 364 crore in Q1 FY26. The PBT margin stood at 12.9%, compared with 12.6% in the year-ago quarter. PAT rose 16% to Rs 308 crore from Rs 267 crore, representing 9.4% of sales.
The improvement from the standalone businesses was partly offset at the consolidated level by continued investment in building the talent pool for the company’s semiconductor businesses. The semiconductor segment had an impact of Rs 43 crore, equivalent to 132 basis points, during the quarter.
The consolidated order backlog stood at Rs 18,965 crore as of June 30, 2026, up 45% year-on-year.
Capacity expansion
CG Power continued to add manufacturing capacity during and immediately after the quarter.
On June 4, 2026, the company commissioned its new Extra High Voltage (EHV) switchgear manufacturing facility, S3 Unit-II, at Pimpalgaon Garudeshwar, Nashik, Maharashtra. The facility will manufacture EHV circuit breakers in the 33 kV to 245 kV range.
The new unit adds annual capacity of 7,200 circuit breakers to the existing capacity of 9,000 units, increasing CG Power’s EHV circuit breaker manufacturing capacity by 80%.
The company is also progressing its semiconductor manufacturing business. CG Semi Private Limited, a subsidiary of CG Power, commenced commercial production at its G1 Outsourced Semiconductor Assembly and Test (OSAT) facility in Sanand on July 4, 2026.
