Hitachi Energy India reported strong FY26 results with ₹8,147.7 crore revenue and ₹987.8 crore profit. The company also approved an additional ₹2,000 crore capex for manufacturing expansion, boosting its total cumulative investment to around ₹4,000 crore.
Hitachi Energy India Reports Strong FY26 Performance and Significant Capacity Expansion
Hitachi Energy India Limited announced its full-year financial results for FY26, showcasing robust revenue and profit growth. The company reported a revenue of ₹8,147.7 crore and a Profit After Tax (PAT) of ₹987.8 crore for the fiscal year. ## What just happened Hitachi Energy India has declared its FY26 financial results, with revenue reaching ₹8,147.7 crore and PAT at ₹987.8 crore. The company also revealed a significant order backlog of ₹29,555.3 crore. A key announcement was the board's approval of an additional capital expenditure (capex) of ₹2,000 crore. ## Why this matters This substantial capex plan, which brings the total cumulative investment to nearly ₹4,000 crore, is earmarked for expanding manufacturing capacity. This signals the company's intent to meet growing demand, particularly from sectors like renewables and data centers, ensuring future revenue streams and market share. ## The backstory Hitachi Energy India has been strategically investing in enhancing its manufacturing capabilities. The current capex approval follows previous investments, reflecting a sustained focus on bolstering its infrastructure to cater to long-term market trends and large-scale project requirements. ## What changes now The approved ₹2,000 crore capex will fund a new greenfield large power transformer facility in Karjan, Vadodara, expected to be operational by late 2028. This expansion is crucial for servicing the increasing demand from the renewable energy sector and the burgeoning data center market. ## Risks to watch Management highlighted ongoing pressures from geopolitical developments in the Middle East, leading to elevated logistics costs. While full-year margins improved, a sequential contraction in gross margins was noted, attributed by management to product mix variations. ## Peer comparison While specific peer financial data for FY26 is not directly comparable here, Hitachi Energy India's focus on transmission and distribution, alongside renewable energy infrastructure, places it in a critical segment of the industrial and energy sectors. Companies involved in power equipment manufacturing and grid infrastructure are its closest comparables. ## Context metrics (time-bound) For Q4 FY26, revenue stood at ₹2,754.1 crore, with PAT at ₹330.5 crore. Operational EBITDA for FY26 was ₹1,252.5 crore. The company's order backlog reached ₹29,555.3 crore by the end of FY26. ## What to track next Investors will be keen to monitor the progress of the new manufacturing facility and the execution of the large order backlog. Managing supply chain risks and inflationary pressures will be key to sustaining profitability.
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