GE Power India Q1 FY27: consolidated PAT +55% YoY on margin gains, backlog down 41%
PAT +54.75% YoY · revenue +7.61% · margins expanding
₹308.69 Cr
+7.61% YoY
₹53.73 Cr
+54.75% YoY
15.78%
+5.6pp YoY
₹7.99
GE Power India's consolidated PAT rose 54.7% YoY to ₹53.7 Cr (from ₹34.7 Cr in Q1 FY26), even as total income was flat YoY at ₹340.6 Cr — revenue from operations grew 7.6% to ₹308.7 Cr, but other income fell to ₹31.9 Cr from ₹53.1 Cr a year ago. Sequentially, PAT fell 52.5% and revenue slipped 2.4% from Q4 FY26, but that quarter was an unusually high base: it absorbed the last tranche (₹44.4 Cr) of a multi-quarter BHEL settlement-related ECL reversal that had been crediting Other Expenses through Q2-Q4 FY26 — a credit that fully rolled off this quarter. Neither Q1 FY27 nor the year-ago Q1 FY26 carried any exceptional items, so the 54.7% YoY PAT growth is clean, operating-led growth with no one-off distortion on either side.
Q1 FY-2027 vs prior quarters
The margin improvement is real and traceable: cost of materials and erection services fell to 60.7% of revenue from 68.0% a year ago, and employee costs eased to 13.2% of revenue from 15.5%, consistent with the company's own EBITDA-margin disclosure of 22.5% for continuing operations this quarter versus 15.6% a year ago. NPM (PAT/total income) improved to 15.8% from 10.2% YoY. This validates management's framing — MD Puneet Bhatla said the improvement is "driven purely by operational excellence, without the aid of any exceptional or one-time items," from a pivot toward higher-margin, shorter-cycle services and upgrades work with lower working-capital intensity; the numbers back that claim for this quarter specifically.
The stock went into the print at ₹849.5, down 1.3% over the past month of trading.
For context: PAT has now risen for 2 consecutive quarters.
What the summary numbers don't show
Standalone PAT ₹52.6 Cr (EPS ₹7.82) — JV (NTPC GE Power Services) contributed ₹11.8 Cr profit, down from ₹30.0 Cr YoY and ₹106.0 Cr QoQ
Management expects to build on its FY26 momentum by continuing its disciplined, service-led strategy focused on high-margin, short-cycle opportunities. While no specific quantitative guidance was provided, the company aims to maintain or improve upon the normalized 11% EBITDA margin achieved in FY26. The strategic prio
— This quarter: beat
Against prior guidance, management had targeted maintaining or improving on a normalized 11% FY26 EBITDA margin — this quarter's 22.5% continuing-ops margin is a clear beat of that bar, extending the confident tone from the Q4 FY26 call. No street/consensus estimates for this quarter were found (GEPIL is thinly covered), so vs-Street is unknown. The quarter's biggest negative is order backlog, which nearly halved YoY to ₹1,545 Cr (down 41.4%) after termination of two FGD EP contracts (Jaypee Bina and Nigrie, worth ₹774.9 Cr) — a real headwind for future revenue visibility that the margin story doesn't offset. The ₹550 Cr Saudi Arabia fuel-conversion win announced a day before results (12 Aug 2026) will help refill the pipeline but lands in the next quarter's book. Separately, the Durgapur demerger to JSW Energy continues to progress, with creditors approving the Scheme of Arrangement on 21 July 2026; Durgapur stays classified as a discontinued operation, posting a ₹13.4 Cr net loss this quarter, dragging the standalone/consolidated bottom line down from the continuing-operations PAT of ₹65-67 Cr.
W1
Order backlog recovery from the 41% YoY drop to ₹1,545 Cr — whether the ₹550 Cr Saudi Arabia fuel-conversion win (announced 12 Aug 2026) and further order intake stabilize the pipeline next quarter
W2
Whether the 22.5% continuing-ops EBITDA margin holds versus management's own normalized 11% FY26 base, or reflects a favorable mix this quarter
W3
Durgapur demerger completion — creditor approval secured 21 July 2026; management targets completion within twelve months of the 1 July 2025 appointed date
Source figures in INR Million, converted ÷10 to ₹ Cr and cross-checked against DB's prior-quarter/year-ago figures (exact match on revenue, PAT, EPS); PBT/tax/PAT combine continuing + discontinued (Durgapur) operations to match the co.'s 'Net Profit for the period' line and our DB convention; no exceptional items in Q1 FY27 or Q1 FY26 (the FY26 ₹27.57 Cr exceptional item and cumulative ~₹104.9 Cr BHEL ECL-reversal credits both sat in Q2-Q4 FY26, inflating the Q4 FY26 QoQ base); Durgapur facility is held-for-sale pending JSW demerger.