TD Power Systems Hits New High on Robust Q2 Results and Heavy Trading Volumes

TD Power Systems witnessed a significant surge in its share price, hitting an intra-day high of ₹768.45, marking a 12% increase on the BSE amidst heavy trading volumes. This rally occurred in an otherwise subdued market, primarily fueled by the company's strong September quarter (Q2FY26) financial performance. Over the past two months, the stock price has climbed 53%, and it has risen an impressive 162% from its 52-week low of ₹292.85. At one point, TD Power Systems was trading 8% higher, significantly outperforming the BSE Sensex, which saw a marginal decline. Trading volumes surged over six-fold, indicating strong investor interest. The company reported a consolidated profit after tax (PAT) of ₹60.74 crore, a 49% year-on-year (YoY) jump, and revenue from operations grew by 48% YoY to ₹452.47 crore. Earnings before interest, taxes, depreciation, and amortization (Ebitda) also saw a 46% YoY increase, reaching ₹85.78 crore. As of September 30, 2025, the company's order book stood at ₹1,587 crore, with order inflow in Q2FY26 growing by 45% YoY to ₹524.1 crore, of which 84% came from exports. The company expressed confidence in its outlook, citing the momentum of the energy transition, expanding global infrastructure, and accelerating digital transformation. It is strategically positioned to capitalize on these trends, with focused investments in scale and engineering capabilities. Notably, the company is gearing up to address surging data center demand by developing larger generators (40–45 MW range), with deliveries expected to start in fiscal 2026, potentially leading to a significant scale-up from fiscal 2027. The hydro segment remains stable and is projected to grow, supported by domestic and export markets. Markets in North, Central, and South America are expanding, with improving outlooks in Oil & Gas and the steam sector. The European market showed significant growth in FY25 and is expected to grow around 20% next year. However, the Turkish market outlook remains bleak due to economic slowdown and protectionist policies.

Impact: This news significantly boosts investor confidence in TD Power Systems, driving its stock performance and potentially attracting further investment. The company's strategic focus on growth areas like data centers and energy transition, coupled with strong financial results and an expanding order book, positions it favorably for future growth. Rating: 8/10.

Definitions: PAT (Profit After Tax): The net profit a company earns after deducting all expenses, including taxes, from its total revenue. EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization): A measure of a company's operating performance before accounting for financing costs, taxes, and non-cash expenses. YoY (Year-on-Year): A comparison of financial data from one period to the same period in the previous year. Order Book: A record of all confirmed customer orders that have not yet been fulfilled. Energy Transition: The global shift from fossil fuel-based energy systems to renewable energy sources like solar and wind power. Data Centre: A dedicated physical facility that organizations use to house their critical IT infrastructure and data, including servers, storage systems, and networking equipment.