RELIANCE POWER LTD. Q1 FY27 Results

Reliance Power's consolidated Q1 FY27 (quarter ended June 30, 2026) revenue from operations was ₹1,956.32 Cr, up 3.75% YoY (₹1,885.58 Cr in Q1 FY26) and 3.66% QoQ (₹1,887.26 Cr in Q4 FY26). Consolidated PAT was ₹64.71 Cr (EPS ₹0.156), up 44.8% YoY from ₹44.68 Cr, and a sharp swing from the ₹494.00 Cr loss booked in Q4 FY26 — that prior-quarter loss was driven by a one-off ₹381.60 Cr impairment charge on a subsidiary's property, plant and equipment, so the QoQ move is a base effect rather than an operating turnaround; neither the current nor the year-ago quarter carried any exceptional item, so the +44.8% YoY PAT growth needs no adjustment. Standalone PAT was ₹3.20 Cr versus ₹1.90 Cr YoY, but the standalone entity is effectively a non-operating holding shell — revenue from operations was just ₹0.20 Cr, with the ₹3.20 Cr profit coming almost entirely from ₹25.11 Cr of other income against ₹12.90 Cr of finance costs.

Consolidated net profit margin (PAT/total income) expanded to 3.08% from 2.21% a year ago, while operating margin (revenue less fuel, employee and generation/admin costs, as a % of revenue) eased to about 28.8% from 30.0% YoY. The PAT improvement was driven less by the topline — up just 3.75% — than by expense mix: finance costs fell to ₹386.63 Cr from ₹425.87 Cr YoY and generation/admin/other expenses fell to ₹296.65 Cr from ₹327.26 Cr, even as fuel cost, the largest expense line, rose to ₹1,031.92 Cr from ₹935.73 Cr in step with higher revenue. Total tax expense was ₹51.22 Cr on a PBT of ₹115.93 Cr, a roughly 44% effective rate split between ₹29.15 Cr current and ₹22.07 Cr deferred tax.

The stock went into the print at ₹24.24, down 1.6% over the past month of trading.

There is no prior guidance or concall commentary on record for Reliance Power, and no management press release on this result was available for this analysis, so neither can be checked against the print. A web search for analyst estimates on this quarter surfaced no dedicated Reliance Power coverage — only unrelated Reliance Industries Q1 FY27 previews — consistent with the stock's thin institutional coverage, so vsStreet is marked unknown rather than assumed. The quarter's more consequential development sits outside the P&L: SMPL's lender invoked Reliance Power's corporate guarantee over a ₹1,841.96 Cr default and has moved to initiate Corporate Insolvency Resolution Process (CIRP) under Section 7 of the IBC against the Parent Company itself during the quarter — both the standalone and consolidated auditors have flagged material going-concern uncertainty as a result, layered on pre-existing issues at RSTEPL (₹2,295.61 Cr of defaulted borrowings, negative net worth of ₹2,645.80 Cr). Separately, 34.32 Cr warrants lapsed unconverted this quarter, forfeiting ₹302.62 Cr of application money (an other-equity item, not routed through this quarter's P&L), and the company remains under simultaneous ED investigation (PMLA, with provisional asset attachments extended), an EOW chargesheet, and a CBI search tied to Reliance Commercial/Home Finance transactions (post quarter-end) — none of which register in the reported numbers but all of which bear on the going-concern qualification the auditors have already raised.