Sharekhan's research report on Power Grid Corporation of India
Consol. PAT of Rs. 4,143 crore was flat y-o-y while the standalone PAT of Rs. 4,336 crore was up 5% y-o-y led by higher other income. Tighter CERC norms and weak capitalization affected the performance. Capitalization of Rs. 9,014 crore in FY25 was less than the guidance of Rs. 18,000 crore. Company expects it to spill over in FY26 and has given a guidance of Rs. 23,000-25,000 crore for the year. Capex of Rs. Rs. 26,000 crore in FY25 was higher than expectation. Management has given a guidance of capex of Rs. 28,000/35,000/45,000 crore in FY26/27/28 respectively.
Outlook
The strong capex expectation provides good earnings visibility for the future. Hence, we maintain a Buy with an unchanged PT of Rs. 350. At CMP, it trades at 2.7x/2.5x its FY26/27 P/BV.
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
Find the best of Al News in one place, specially curated for you every weekend.
Stay on top of the latest tech trends and biggest startup news.
