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Power Grid Q1 FY26 Profit Declines by 2.5 percent Despite Revenue Growth

Power Grid Corporation of India Ltd (PGCIL), a central PSU and India's largest power transmission company, reported a 2.5% year-on-year decline in its consolidated net profit for Q1 FY26, totaling Rs3,630.58 crore compared to Rs3,724 crore in Q1 FY25. On a sequential basis, the net profit dipped by over 12% from Rs4,143 crore reported in the March 2025 quarter. The company's consolidated revenue rose 2% year-on-year to Rs11,196 crore from Rs11,006 crore.

While the net profit margin stood at 32% for the June 2025 quarter, it reflected a modest drop from 34% recorded in the same quarter last year and in March 2025. Operating margins held steady at 85% quarter-on-quarter but were still lower than the 89% reported in June 2024.

Total expenses increased 7% year-on-year to Rs7,114.23 crore, contributing to the squeeze on margins. The company’s total debt-to-asset ratio stood at 0.48 as of June 2025, in line with June 2024 and marginally better than the 0.49 in March 2025.

Despite the dip in profits, Power Grid continues to maintain strong operational efficiency and financial discipline, with consistent operating margins and a stable debt profile. The company remains a critical infrastructure pillar in India's power sector landscape.