New Delhi: State-owned NHPC Limited, India’s largest hydropower company and a Navratna PSU, reported a steady financial performance for the first quarter of FY2026-27, supported by higher power generation and provisional revenue recognition from its newly commissioned hydropower projects. The company posted a 3.9% year-on-year (YoY) increase in standalone net profit to ₹1,113.41 crore, while consolidated EBITDA margin expanded to 61.78%, reflecting improved operational efficiency.
Revenue growth was primarily driven by provisional sales from the Subansiri Lower Hydroelectric Project and Parbati-II Hydroelectric Project, although finance costs rose sharply due to increased borrowings for ongoing expansion.
NHPC Q1 FY27 Financial Highlights
NHPC reported healthy revenue growth during the June quarter despite higher finance costs and depreciation.
Standalone Performance
- Revenue from Operations: ₹3,537.04 crore (up from ₹2,977.43 crore)
- Total Income: ₹3,742.31 crore (up from ₹3,232.87 crore)
- Profit Before Tax (PBT): ₹1,190.98 crore
- Net Profit: ₹1,113.41 crore (up 3.9% YoY)
- Earnings Per Share (EPS): ₹1.11 (vs ₹1.07 in Q1 FY26)
Consolidated Performance
- Revenue from Operations: ₹3,808.31 crore
- Total Income: ₹3,959.72 crore
- Net Profit Attributable to Owners: ₹1,095.87 crore (up from ₹1,065.02 crore)
- EBITDA: ₹2,352 crore
- EBITDA Margin: 61.78%, compared with 56.07% in Q1 FY26
The Board of Directors approved the unaudited financial results on August 4, 2026, while the Joint Statutory Auditors issued an unmodified limited review report confirming compliance with SEBI’s Listing Regulations.
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Revenue Growth Driven by New Hydropower Projects
NHPC’s strong top-line growth was largely supported by provisional power sales from two major projects awaiting tariff approvals from the Central Electricity Regulatory Commission (CERC).
Subansiri Lower Hydroelectric Project
The company recognized ₹574.31 crore as provisional revenue from the Subansiri Lower Project during the quarter.
- One additional 250 MW generating unit was commissioned.
- Four out of the total eight generating units (1,000 MW) are now operational.
Parbati-II Hydroelectric Project
NHPC also booked ₹364.42 crore as provisional revenue from the Parbati-II project.
Since tariff approvals are still pending, these revenues remain provisional and may change once final CERC orders are issued.
EBITDA Margin Improves Despite Rising Costs
NHPC reported improved operational efficiency during the quarter.
- Consolidated EBITDA: ₹2,352 crore
- EBITDA Margin: 61.78%
- Previous Year Margin: 56.07%
The margin expansion reflects stronger electricity generation and improved operating performance despite higher expenses.
Finance Costs Rise on Higher Borrowings
The company’s financing expenses increased significantly during the quarter as project investments continued.
Key expense highlights include:
- Finance Cost: ₹602.01 crore (vs ₹252.34 crore last year)
- Depreciation & Amortization: ₹578.12 crore
- Standalone Debt-to-Equity Ratio: 1.16
- Consolidated Debt-to-Equity Ratio: 1.32
Higher borrowing costs partially offset the gains from increased revenue, resulting in relatively modest profit growth.
Operational Updates
NHPC continued making progress across its key hydropower projects during the quarter.
Teesta-V Power Station Resumes Operations
The 510 MW Teesta-V Hydroelectric Power Station resumed commercial generation in July 2026 after restoration work following the October 2023 flash floods.
Tariff Petitions Filed
NHPC has submitted tariff petitions to CERC for:
- Subansiri Lower Project
- Parbati-II Hydroelectric Project
Until final tariffs are approved, customers are being billed using provisional Annual Fixed Charges (AFC).
Debt Position and Regulatory Compliance
The company maintained a healthy financial position while remaining fully compliant with regulatory requirements.
Key disclosures include:
- No default on loans or debt securities
- Security cover for listed debt securities remains above 100%
- Secured asset value stands at ₹25,477.81 crore
- Total financial indebtedness at ₹47,434.94 crore
- No deviation in the utilization of proceeds from the ₹2,000 crore non-convertible securities issued in May 2026
NHPC also confirmed that the merger process with its wholly-owned subsidiary Jalpower Corporation Limited remains under regulatory review.
What the Q1 FY27 Results Indicate
NHPC’s Q1 FY27 performance highlights the company’s ability to generate steady revenue growth through higher power generation and the commissioning of new hydropower capacity. Although increased finance costs limited profit growth, the expansion in EBITDA margin demonstrates improved operational efficiency.
The provisional revenue recognition from Subansiri Lower and Parbati-II underscores the importance of timely tariff approvals, which could influence future earnings. Meanwhile, the restoration of the Teesta-V project and continued project execution strengthen NHPC’s long-term growth outlook.
NHPC’s Role in India’s Clean Energy Transition
As India’s largest hydropower developer, NHPC continues to play a crucial role in supporting the country’s renewable energy goals. Hydropower provides reliable peak-hour electricity and grid-balancing support for rapidly growing solar and wind capacity.
With several hydropower and renewable energy projects under development, NHPC remains well-positioned to benefit from rising electricity demand, government support for clean energy, and India’s long-term transition toward sustainable power generation.
About NHPC Limited
NHPC Limited is a Navratna Central Public Sector Enterprise (CPSE) under the Ministry of Power, Government of India. Incorporated in 1975, the company is India’s largest hydropower developer and is engaged in the planning, construction, and operation of hydroelectric, solar, and wind power projects. NHPC plays a vital role in strengthening India’s renewable energy capacity and ensuring reliable, sustainable electricity generation across the country.
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