India’s power transmission sector is witnessing rising investments driven by renewable integration and grid upgrades, and this trend is beginning to show clearly in corporate earnings. In this context, Quality Power Q3 FY26 results reflect a sharp improvement in scale and execution, led by strong international order deliveries and improved operational efficiency.
The quarter also strengthened forward visibility, with an order backlog exceeding INR 895 crore and continued progress on capacity expansion at Sangli, Bhiwadi and Cochin, alongside the integration of the Sukrut Electric joint venture, positioning the company for sustained participation in HVDC, FACTS and power quality projects.
Quality Power Q3 FY26 Results: Financial Snapshot
| Particulars | Q3 FY25 | Q3 FY26 | YoY Growth (%) |
|---|---|---|---|
| Total Revenue | 79.7 | 284.3 | 256.5 |
| Gross Profit | 42.7 | 120.3 | 181.5 |
| Gross Margin (%) | 53.6 | 42.3 | — |
| EBITDA* | 24.6 | 79.3 | 222.7 |
| EBITDA Margin | 30.8 | 27.9 | — |
| PAT | 19.6 | 62.8 | 220.7 |
| PAT Margin | 24.5 | 22.1 | — |
| Diluted EPS (INR) | 1.92 | 5.03 | — |
Figures in INR Crore until specified
Quality Power 9M FY26 Results
| Particulars | 9M FY25 | 9M FY26 | YoY Growth (%) |
|---|---|---|---|
| Total Revenue | 262.5 | 697.2 | 165.7 |
| Gross Profit | 133.6 | 292.3 | 118.8 |
| Gross Margin (%) | 50.9 | 41.9 | — |
| EBITDA* | 832 | 1,770 | 112.8 |
| EBITDA Margin (%) | 31.7 | 25.4 | — |
| PAT | 69.6 | 135.0 | 93.8 |
| PAT Margin (%) | 26.5 | 19.4 | — |
| Diluted EPS (INR) | 6.48 | 11.28 | — |
Figures in INR Crore until specified
Growth Drivers
The December quarter was execution-heavy. Management highlighted the timely completion of multiple large-value international orders, particularly through the company’s Turkey operations, which materially lifted quarterly revenues. Improved advance planning of critical materials, tighter project oversight and focused cost control helped sustain profitability despite margin normalization at higher scale.
The subsidiary Mehru Electrical emerged as a key earnings contributor, benefiting from strong domestic and export demand and improved operating leverage.
Order Book and Revenue Visibility
- Order backlog: INR 895+ crore across the Quality Power Group
- Key wins during the period included:
- INR 13.9 crore in coil products for FACTS applications
- INR 26.0 crore order from Power Grid Corporation of India for current transformers via Mehru
The robust backlog underpins revenue visibility over the next several quarters and supports ongoing capacity expansion.
Strategic Capacity Expansion and CAPEX
Quality Power continues to align capital deployment with long-term demand from HVDC, FACTS and grid modernisation projects.
- Sangli expansion: Construction timeline advanced to June 2026; additional INR 25 crore CAPEX approved for a Global Engineering & Technology Centre
- Mehru (Bhiwadi): Expansion underway with four new autoclaves and logistics reconfiguration, expected to raise capacity by ~45%
- Cochin facility: Expansion completed in Q3 FY26
- HVDC CTC magnet wire facility: Progressing as per guidance
The expanded Sangli facility is expected to significantly enhance integrated manufacturing and testing capabilities across product lines.
Sukrut Electric JV: Value Chain Deepening
During the Quality Power Q3 FY26, the company completed the 50% acquisition of Sukrut Electric Company, forming a joint venture with Yash Highvoltage.
Key strategic benefits:
- Entry into transformer component manufacturing
- Strong product and customer alignment
- Immediate operating scale (~INR 25+ crore revenue)
- Enhanced access to global OEM markets
Early operational performance post-integration has been described as encouraging.
Balance Sheet Strength
Quality Power maintains a conservative financial profile:
- Debt/Equity: ~0.05x (H1 FY26)
- ROCE: 23.6%
- ROE: 30.2%
Low leverage provides flexibility to fund future growth without balance sheet stress.
Industry Context & Outlook
The global electricity transmission supply chain is projected to grow at ~6% CAGR, reaching USD 143.5 billion by 2028, driven by renewable integration, HVDC corridors and grid stability investments. India’s own transmission network expansion and FACTS adoption create a favourable multi-year demand environment.
Final Words
Quality Power Q3 & 9M FY26 performance is not merely a cyclical spike but reflects a structural step-up in scale, execution capability and global relevance. With a strong order book, expanding manufacturing footprint and increasing exposure to high-value HVDC and power quality solutions, the company appears well-positioned to compound growth—provided execution discipline remains intact as scale increases.
For more details related to IPO GMP, SEBI IPO Approval, REIT, InvIT and Live Subscription stay tuned to IPO Central.