Tata-Group Power Company-Tata Power Delivers Strong Q2FY26 Results

DSIJ Intelligence-1 / 12 Nov 2025/ Categories: Multibaggers, Trending

The stock gave multibagger returns of over 600 per cent in 5 years with a PE of 30x, an ROE of 11 per cent and an ROCE of 11 per cent.

Tata Power, an integrated power company under the Tata Group, delivered strong Q2FY26 results, with Profit After Tax (PAT) growing 14 per cent year-on-year (YoY) to Rs 1,245 crore. The company's core businesses were a major driver, contributing to a 35 per cent YoY growth in this segment. Overall revenue for the quarter rose 3 per cent to Rs 15,769 crore, and EBITDA surged 6 per cent to Rs 4,032 crore, reflecting successful operational efficiency and a diversified portfolio. For the first half of FY26 (H1 FY26), PAT increased 10 per cent to Rs 2,508 crore.

The company’s Renewables business showed exceptional performance, with segment PAT up 70 per cent to Rs 511 crore in Q2FY26, and EBITDA increasing 57 per cent. This stellar growth was underpinned by the Solar Cell and Module Manufacturing segment, where PAT soared by 262 per cent to Rs 240 crore. Additionally, the Rooftop Solar business saw massive growth, with PAT climbing 390 per cent to Rs 123 crore. The solar manufacturing plant earned the prestigious Bloomberg NEF Tier-1 manufacturer status, significantly boosting its export capabilities.

Across its traditional business segments, Distribution and Transmission also reported strong gains. The Distribution business’s overall PAT grew 34 per cent YoY to Rs 557 crore, driven partly by the Odisha DISCOMs, whose PAT alone grew 362 per cent to Rs 174 crore. The Transmission business saw its overall PAT grow 41 per cent to Rs 120 crore. Tata Power continues to strengthen its infrastructure, with smart meter installations crossing 41 lakh and Construction commencing on key projects like the 600 MW Khorlochhu Hydro Project in Bhutan.

Not every stock is a winner—but some multiply wealth manifold. DSIJ's multibagger Pick filters these rare gems through rigorous analysis & decades of expertise. Get the Full Brochure

Tata Power is actively focusing on future energy security and clean energy supply. Work has commenced on the 1,000 MW Bhivpuri Pumped Storage Project (PSP) in Maharashtra to ensure firm, dispatchable green power supply (Round-The-Clock, or RTC). Furthermore, the company maintained high standards in sustainability, scoring in the 90th percentile of the Electric Utility sector in the S&P CSA 2025 ESG Ratings, reflecting its commitment to responsible and forward-looking energy solutions.

About the Company

Tata Power Company Ltd, a leading integrated power company under India's largest conglomerate, Tata Group, boasts a diverse portfolio of 14,707 MW spanning the entire power spectrum. This includes the generation of both renewable and conventional energy, along with transmission, distribution, trading, storage solutions and even solar cell and module manufacturing. As champions for clean energy, they've committed to achieving carbon neutrality before 2045. Beyond generation, Tata Power has established India's most comprehensive clean energy platform, offering rooftop solar solutions, microgrids, storage solutions, EV charging stations and home automation systems.

The company has a market cap of over Rs 1.20 lakh crore and has delivered good profit growth of 50 per cent CAGR over the last 5 years. The stock gave multibagger returns of over 600 per cent in 5 years with a PE of 30x, an ROE of 11 per cent and an ROCE of 11 per cent.

Disclaimer: The article is for informational purposes only and not investment advice.