GVKPIL reports nil revenue as first-half net loss narrows

GVK Power & Infrastructure Limited reported nil consolidated revenue from operations and a Rs 2 crore net loss for the half year ended September 30, 2026, compared with Rs 80.53 crore of operating revenue and a Rs 1,378.57 crore loss a year earlier. The lower loss reflected sharply lower expenses and no reported exceptional item in the latest half year.

Why did GVKPIL report no operating revenue?

GVKPIL reported nil revenue from operations for the half year ended September 30, 2026, while other income was Rs 2.92 crore. In the corresponding half year ended September 30, 2025, the group recorded Rs 80.53 crore of operating revenue and Rs 2.96 crore of other income, taking total income to Rs 83.49 crore. The latest half-year income therefore came entirely from other income rather than operations.

The consolidated segment report also recorded nil first-half revenue in both the Power and Others segments for September 2026. In the prior-year half, the Power segment generated Rs 82.60 crore of revenue, from which Rs 2.07 crore of inter-segment revenue was deducted to reach Rs 80.53 crore of net sales and income. The filing defines Others as investment, manpower, special economic zone and other companies.

GVKPIL's board approved the standalone and consolidated results on November 13, 2026, and the filing says the statutory auditors reviewed them. The company states that it operates through Power, Roads and other businesses using subsidiaries and associates, but its September 2026 segment disclosure shows no first-half revenue in the two reported segments.

How did GVKPIL's first-half loss change?

GVKPIL's consolidated loss narrowed to Rs 2 crore for the half year ended September 30, 2026 from Rs 1,378.57 crore in the corresponding 2025 period. Total expenses declined to Rs 4.92 crore from Rs 479.49 crore, while loss before tax reduced to Rs 2 crore from Rs 1,378.56 crore. The lower reported loss was recorded despite the absence of operating revenue in the latest half.

The prior-year comparison included an exceptional loss of Rs 1,012.56 crore, whereas no amount was reported in the exceptional-items line for the September 2026 half year. Employee benefit expenses fell to Rs 90 lakh from Rs 2.03 crore, and other expenses declined to Rs 4 crore from Rs 364.74 crore. The filing does not attribute the year-on-year movement to one individual event.

The latest two quarters were both loss-making. GVKPIL reported a Rs 1.45 crore loss for the quarter ended September 30, 2026, after a Rs 55 lakh loss in the quarter ended June 30, 2026; the loss in the September 2025 quarter was Rs 1.21 crore. Basic and diluted earnings per share were negative Rs 0.01 for the latest half year, compared with negative Rs 5.29 a year earlier, on paid-up equity share capital of Rs 157.92 crore.

What do GVKPIL's segments and cash flow show?

GVKPIL's Power segment posted a Rs 2 lakh loss for the half year ended September 30, 2026, while the Others segment reported a Rs 4.90 crore loss. In the half year ended September 30, 2025, Power had reported a Rs 50.02 crore segment profit and Others a Rs 357.83 crore segment loss. The change coincided with the Power segment moving from revenue of Rs 82.60 crore to nil revenue.

Other unallocable income net of unallocable expenditure was Rs 2.92 crore in the latest half year, compared with a negative Rs 1,039.60 crore in the prior-year half. Together with the shift in segment results and the absence of a current-period exceptional item, that movement reconciles with the substantially smaller loss before tax. GVKPIL did not provide a separate narrative explanation for each component of the comparison.

Operating activities used Rs 4.68 crore of cash in the six months to September 2026. Investing activities generated Rs 6.84 crore, including Rs 5.91 crore from net sales of current investments and Rs 93 lakh of interest received, while financing activities used Rs 2.07 crore. Cash and cash equivalents increased by Rs 9 lakh to Rs 45.80 crore at September 30, 2026.

What is GVKPIL's balance-sheet and insolvency position?

GVKPIL reported consolidated assets of Rs 564.97 crore and liabilities of Rs 786.93 crore at September 30, 2026, producing negative net capital employed of Rs 221.96 crore. At March 31, 2026, assets were Rs 569.75 crore and liabilities were Rs 787.64 crore, with negative net capital employed of Rs 217.89 crore. The gap between assets and liabilities therefore widened by Rs 4.07 crore over the six months.

Equity attributable to owners was negative Rs 1,458.88 crore at September 30, 2026, compared with negative Rs 1,456.88 crore at March 31, 2026. Borrowings comprised Rs 290.45 crore of non-current borrowings and Rs 410.08 crore of current borrowings. The group also held Rs 26.92 crore of current investments and Rs 45.80 crore of cash and cash equivalents, including Rs 43.45 crore in deposit accounts.

GVKPIL remains in the Corporate Insolvency Resolution Process, or CIRP, following the National Company Law Tribunal, or NCLT, order of July 12, 2024, uploaded on July 15, 2024. The filing says the group has delayed or defaulted on loan and interest repayments, has accounts classified as non-performing assets by banks or lenders, and faces litigation, invoked guarantees, project terminations and uncertainties across coal, gas-based power and road projects.

The filing says the group had accumulated losses as at September 30, 2026 and that liabilities, including amounts not provided for, were much higher than assets. It also notes that one subsidiary with a terminated project uses liquidation-basis accounting. Management nevertheless prepared the results on a going-concern basis because it believes the CIRP outcome will keep GVKPIL as a going concern.

Conclusion

GVKPIL's latest results show no consolidated operating revenue for the September 2026 half year, while the reported loss was far lower than the prior-year loss because expenses fell to Rs 4.92 crore and no exceptional item was recorded. The balance sheet nevertheless showed liabilities exceeding assets by Rs 221.96 crore, alongside negative equity attributable to owners of Rs 1,458.88 crore.

The next disclosed development is the restored CIRP timetable. On October 16, 2026, the NCLT Hyderabad Bench-II allowed restoration of GVKPIL's CIRP after approval by the requisite majority of the Committee of Creditors and directed its completion within 120 days from the order date. The outcome of that process remains central to management's stated going-concern assessment.