Rajesh Power Services (RPSL) reported a strong fiscal year 2026, with revenue climbing 51.85% to Rs 1,627.94 crore. Profit after tax rose 49.19% to Rs 143.2 crore, bolstered by a robust order book of Rs 3,326 crore. The company is actively diversifying into the Battery Energy Storage System (BESS) sector, including a new 65 MW project in Gujarat. Shareholders should note the proposed leadership transition and the reallocation of unutilized IPO proceeds toward its new energy storage initiatives.
Rajesh Power Services Reports Strong FY26 Growth
Revenue: Rs 1,627.94 Crore | Profit After Tax: Rs 143.2 Crore
Reader Takeaway: Robust top-line growth and entry into energy storage provide momentum, while leadership changes signal strategic shifts.
What just happened
Rajesh Power Services Ltd (RPSL) has released its FY 2025-26 annual report, showcasing significant operational and financial expansion. The company reported a 51.85% year-on-year revenue increase to Rs 1,627.94 crore, while EBITDA grew by 59.14% to Rs 197.16 crore. The bottom line followed suit, with PAT rising 49.19% to Rs 143.2 crore. EPS improved to Rs 79.52 from Rs 59.75 in the previous fiscal.
Why this matters
The financial results highlight a successful transition from a traditional EPC model toward an integrated infrastructure and intelligence platform. With an unexecuted order book of Rs 3,326 crore, the company has strong revenue visibility. The 71/29 split between power distribution and transmission projects underscores its core expertise in the power sector.
Strategic Expansion
Crucially, RPSL has entered the Battery Energy Storage System (BESS) segment, securing a 65 MW/130 MWh project in Gujarat for GUVNL, supported by a 12-year purchase agreement. This aligns the company with India’s energy transition goals.
Corporate Changes
- Dividend: The Board proposed a final dividend of Rs 1 per share (10% on face value).
- Leadership: Mr. Kurang Ramchandra Panchal is set to be redesignated as Chairman and Managing Director effective September 24, 2026.
- IPO Utilization: The company is seeking shareholder approval to reallocate Rs 25.11 crore in unutilized IPO proceeds toward its new BESS project.
Risks to watch
Investors should monitor the integration risks of the new BESS segment and the execution of the proposed reallocation of IPO funds, which requires regulatory and shareholder alignment.
What to track next
The upcoming AGM will be key for shareholders to vote on the IPO fund variation, the appointment of Mr. Chetash Mehta as an Independent Director, and the ratification of the leadership transition.