NHPC · Power · filed 4 Nov 2026
NHPC Ltd. reported revenue of ₹4,483 cr for July to September 2026, +33.2% on the year and +17.7% on the quarter. That is faster than this quarter has grown in recent years (+7.2% on average), so the year-on-year number is not just the season. It is the highest quarterly revenue in the last 12 quarters on record. Over the last four quarters revenue comes to ₹13,328 cr, +18.9% on the four before.
Operating profit (EBITDA) was ₹2,876 cr, a margin of 64.2%, +393 bps on the year and +239 bps on the quarter. It is the widest margin of the last 8 quarters (range 9.5% to 64.2%). Operating costs grew +20.1% against revenue growth of +33.2%, so more of each rupee of sales reached operating profit.
Net profit was ₹1,658 cr, +35.9% on the year and +40.7% on the quarter, with earnings per share of ₹1.54. Profit before other income, one-offs and tax grew 30.8%, so 5 points of the headline growth came from outside the core business. The tax rate of 28% is in line with its recent average. Profit over the last four quarters totals ₹4,706 cr, +30.7% on the four before.
Of the 10 companies in Power and utilities that have reported Q2 FY27 so far, NHPC Ltd. ranks 4th on revenue growth; the sector median is +21.2%. Its margin moved +393 bps on the year against a sector median of +49 bps.
Most power earnings are regulated returns on equity, with fuel costs passed through, so revenue can swing with fuel prices while profit moves far less.
On earnings per share of ₹4.30 over the last four quarters, the stock at ₹71.44 trades at 16.6 times trailing earnings.
Finance cost rose fast and now takes a large bite of operating profit. New borrowing, or a higher rate?
Finance cost ₹556 cr, +100.3% on the year; 19% of EBITDA.
Source: Results filing
A lower tax rate lifted profit. Is the lower rate going to last?
Effective tax rate 28.2% against 42.3% over the previous quarters, worth about ₹267 cr of profit.
Source: Results filing
Profit is backed by cash: operating cash flow exceeded profit.
Operating cash flow for the first half ₹3,179 cr against profit of ₹2,836 cr.
Source: Cash flow statement
Could not run on this quarter: Exceptional items that recur, Related-party transactions, Promoter pledges and allotments, Earlier promises against delivery. The filing did not carry these lines.
Net profit a year ago, each driver's change, and net profit now. Blue added profit, red took it away.
| Balance sheet | Sep '26 | Last year end | Change |
|---|---|---|---|
| Trade receivables | ₹4,283 cr | ₹2,630 cr | ▲ 62.9% |
| Inventory | ₹299 cr | ₹294 cr | ▲ 1.7% |
| Cash | ₹2,751 cr | ₹1,961 cr | ▲ 40.3% |
| Bank balances | ₹1,894 cr | ₹1,690 cr | ▲ 12.1% |
| Long-term borrowings | ₹50,520 cr | ₹46,174 cr | ▲ 9.4% |
| Short-term borrowings | ₹6,700 cr | ₹5,960 cr | ▲ 12.4% |
| Trade payables | ₹434 cr | ₹387 cr | ▲ 12.2% |
| Net block | ₹46,479 cr | ₹45,771 cr | ▲ 1.5% |
| Capital work in progress | ₹38,890 cr | ₹34,744 cr | ▲ 11.9% |
| Equity | ₹50,752 cr | ₹48,405 cr | ▲ 4.8% |
| Total assets | ₹1.29 lakh cr | ₹1.20 lakh cr | ▲ 7.1% |
| Cash flow, year to date | This year | Last year |
|---|---|---|
| Operating cash flow | ₹3,179 cr | ₹1,583 cr |
| Capital expenditure | −₹5,685 cr | −₹5,094 cr |
| Investing cash flow | −₹5,229 cr | −₹5,046 cr |
| Financing cash flow | ₹2,839 cr | ₹3,804 cr |
| Dividends paid | −₹364 cr | −₹620 cr |
Operating cash flow was 1.12× profit. Receivables at 94 days of sales (+12 days against the last year end). Inventory at 7 days of sales (−3 days).
No emphasis of matter.
₹0.0 cr still unused. “Nil funds raised through Non-Convertible Security during quarter ended September 30, 2026; statement of deviation or variation reports nil deviation.”
Hearing on Scheme of Amalgamation of Jalpower Corporation Limited (JPCL) with NHPC Limited held on September 28, 2026 before MCA; order in this regard…
Tax: Consolidated tax expense of ₹535.99 crore (current tax ₹308.07 crore, deferred tax charge ₹227.92 crore) on Profit before tax of ₹1,897.55 crore for Q2 FY27. Parent Company exercised option under Section 200(5) of Income Tax Act, 2025 effective Tax Year 2026-27.
| Metric | Q2 FY27 | Q1 FY27 | Q2 FY26 |
|---|---|---|---|
| Capacity (MW) | 1,000 | 750 | 0 |
| Receivable days (days) | 94.34 | — | — |
| Operating Margin | 51.88% | 47.73% | 48.65% |
| Net Profit Margin | 36.98% | 30.93% | 36.23% |
| Debtors Turnover Ratio (6M) (x) | 4.68 | — | 2.27 |
| Inventory Turnover Ratio (6M) (x) | 55.2 | — | 49.25 |
Worked out from filed numbers. Receivable Days: Trade Receivables (₹4,283.37 crore) / (H1 Revenue ₹8,290.86 crore * 2) * 365
Trade receivables stood at ₹4,283.37 crore as on September 30, 2026 compared to ₹2,629.40 crore as on March 31, 2026. Pending CERC tariff final approval, provisional sales of ₹1,252.48 crore for Subansiri Lower (units 1-4) and ₹917.89 crore for Parbati-II were recognized in H1 FY27. Regulatory deferral account debit balances stood at ₹8,817.92 crore. Interest income and guarantee fees (including late payment surcharge) earned was ₹187.57 crore in H1 FY27.
Receivable expansion reflects provisional billing on newly commissioned units pending final CERC tariff orders.
Commissioned 4th unit of 250 MW at 2000 MW Subansiri Lower HE Project in H1 FY27 (reaching 1000 MW by Sep 30, 2026), and 5th unit on Oct 23, 2026 (reaching 1250 MW). 800 MW Parbati-II HE Project commissioned in FY 2025-26. Total CWIP stands at ₹38,889.69 crore across ongoing hydroelectric and renewable capacity additions.
Sequential commissioning of mega hydro units at Subansiri Lower adds substantial generating capacity to the grid.
Read using the Power and utilities framework (named in the filing read). Primary valuation lens: P/B against allowed RoE.
Read more closely in this sector: Regulatory receivables and late payment surcharge · Capacity announced against commissioned.
| Metric | Guidance | For | Against earlier guidance |
|---|---|---|---|
| Subansiri Lower HE Project Total Target Capacity | 2000 | Full Project | unchanged or first given |
| Subansiri Lower HE Project Commissioned Capacity Post Q2 | 1250 | As of October 23, 2026 | unchanged or first given |
Held for next quarter's said-then-did check.
| Q3 FY24 | Q4 FY24 | Q1 FY25 | Q2 FY25 | Q3 FY25 | Q4 FY25 | Q1 FY26 | Q2 FY26 | Q3 FY26 | Q4 FY26 | Q1 FY27 | Q2 FY27 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Revenue | ₹2,056 cr | ₹1,887 cr | ₹2,694 cr | ₹3,052 cr | ₹2,287 cr | ₹2,347 cr | ₹3,214 cr | ₹3,365 cr | ₹2,221 cr | ₹2,816 cr | ₹3,808 cr | ₹4,483 cr |
| YoY | — | — | −2% | +4% | +11% | +24% | +19% | +10% | −3% | +20% | +18% | +33% |
| EBITDA margin | 36.6% | 61.0% | 59.7% | 59.1% | 44.4% | 51.3% | 56.1% | 60.2% | 9.5% | 22.6% | 61.8% | 64.2% |
| Other income, % of PBT | 65% | 56% | 29% | 27% | 84% | 23% | 27% | 17% | 162% | — | 12% | 10% |
| Exceptional items | — | — | — | — | — | — | — | — | — | — | — | — |
| Tax rate | 31% | 46% | 27% | 36% | 24% | 21% | 26% | 34% | 64% | — | 29% | 28% |
| Net profit | ₹623 cr | ₹605 cr | ₹1,102 cr | ₹1,060 cr | ₹330 cr | ₹920 cr | ₹1,131 cr | ₹1,219 cr | ₹321 cr | ₹1,549 cr | ₹1,178 cr | ₹1,658 cr |
| YoY | — | — | +1% | −37% | −47% | +52% | +3% | +15% | −3% | +68% | +4% | +36% |
| Core profit YoY | — | — | −3% | −11% | −79% | +85% | +3% | +8% | −904% | −164% | +4% | +31% |
| EPS | ₹0.48 | ₹0.54 | ₹1.02 | ₹0.90 | ₹0.23 | ₹0.85 | ₹1.06 | ₹1.02 | ₹0.22 | ₹1.45 | ₹1.09 | ₹1.54 |
| Flags | 1 | 1 | 1 | 1 | 3 | 2 | 1 | ✓ | 2 | 2 | 2 | 2 |
Each quarter is read with the same rules. Balance-sheet and cash checks run on half-year and annual quarters; filing-read checks run where a read exists.
NHPC Ltd. reported revenue of ₹4,483 cr (+33.2% on the year) and net profit of ₹1,658 cr (+35.9% on the year) for July to September 2026.
Profit before other income, exceptional items and tax moved +30.8% on the year, against +35.9% for reported profit.
2 checks raised a question: Finance cost rose fast and now takes a large bite of operating profit. New borrowing, or a higher rate?
No. FinMinutes reports what was filed and the questions the numbers raise. It does not recommend buying, selling or holding any security.
Numbers as filed with the exchanges, read by rules. Every flag is a question with its source, not an accusation. FinMinutes is a financial data and analytics platform; nothing here is a recommendation to buy, sell or hold any security. How each check works.