Power Grid shares decline over 4% on weak Q4 results; Margins contract to 78%

Shares of Power Grid Corporation of India Ltd. declined on Monday, May 18, 2026 after the company reported a weak set of earnings.

Its net profit increased 9.7% to ₹4,546.3 crore from ₹4,143 crore last year. The remeasurement of deferred tax balanced aided its profit after tax (PAT).

Its revenue declined 5% to ₹11,666 crore from ₹12,275 crore in the fourth quarter last fiscal. Its other expenses were high at ₹1,899 crore from ₹1,283 crore last year.

Power Grid's earnings before interest, tax, depreciation and amortization (EBITDA) declined 11.3% to ₹9,066 crore from ₹10,224 crore in the previous year.

Its margins contracted to 78% from 83% in the year-ago period.



The company reported capex of ₹35,000 crore in FY26 and capitalisation of ₹25,000 crore.

Its planned capex for FY27-FY28 is ₹82,000 crore. The project capitalization for FY27 and FY28 is ₹65,000 crore.

Power Grid's deferred tax assets on the books has been reduced by ₹3,200 crore. Earlier, it was expected to be recovered from the consumer once materialized. Clarity regarding the same is awaited.

Power Grid shares declined 4.4% to hit an intraday low of ₹292.25 apiece at 10.45 am on Monday. The stock has declined 8.8% in the past month but has gained 9.2% this year, so far.

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