Power Mech Projects Rockets: Stellar Q2 Earnings & Monumental ₹2500 Crore Order Unveiled!

Power Mech Projects has captured investor attention following a robust earnings report for the second quarter ended September 2025 (Q2FY26). The company announced an 11.7 percent jump in net profit, reaching ₹74.92 crore compared to ₹67.07 crore in the same period last year. Revenue also saw a significant increase of 19.5 percent, standing at ₹1,237.8 crore against ₹1,035.4 crore year-over-year.

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 19 percent to ₹147.02 crore, though the EBITDA margin remained relatively flat at 11.88 percent, slightly down from 11.94 percent year-over-year.

Adding to the positive momentum, Power Mech Projects was awarded a substantial balance of plant package on an EPC basis by Bharat Heavy Electricals. This contract, for the 1 x 800 MW Singareni TPS Stage-II, is valued at over ₹2500 crore.

The company's stock closed at ₹2,396.85 in the previous session, up 0.98 percent. It is currently trading 28.71 percent below its 52-week high of ₹3,415.45 and 43.33 percent above its 52-week low of ₹1,698.85. The market capitalisation of Power Mech Projects stands at ₹7,577.95 crore.

Impact This news is highly positive for Power Mech Projects, signalling strong operational performance and significant future revenue streams from the large contract. It is likely to boost investor sentiment and potentially lead to an increase in the stock price. The contract award strengthens the company's position in the power infrastructure sector. Impact Rating: 8/10

Difficult Terms Explained: EBITDA: Earnings Before Interest, Taxes, Depreciation, and Amortization. This metric is used to assess a company's operating performance by removing the effects of financing decisions, accounting decisions, and tax environments. EPC: Engineering, Procurement, and Construction. This is a form of contract or project delivery method where the EPC contractor is responsible for all activities from design and engineering, through procurement of services and materials, to construction and commissioning of the project. YoY: Year-over-Year. A comparison of financial metrics or performance indicators for a given period (e.g., a quarter or a year) with the corresponding period of the previous year. It helps to understand growth trends. Balance of Plant (BOP): Refers to all the necessary components of a power plant that are not part of the main power generation equipment. This includes systems for fuel handling, water treatment, waste disposal, control systems, and electrical infrastructure.