NLC India Q4 FY26 profit jumps 189%, stock hits high

Record high rally after results

NLC India shares touched a fresh all-time high on Thursday, 14 May, after the state-owned mining and power generation company reported a sharp rise in March-quarter earnings. The stock rose as much as 18.97% from the previous close of ₹325.55 to an intraday peak around ₹387.70 on the BSE. Another reported print showed the intraday high at ₹387.40, with the day’s gain near 19%. During morning trade, the stock was around ₹384.65, up about 18.15%.

The move took the company’s market capitalisation to about ₹52,969 crore to ₹53,094 crore, based on different intraday snapshots cited. Reports also noted this was the biggest single-day move in the stock since 11 May 2021. The stock’s 52-week low was cited at ₹220.25.

What changed in Q4 FY26

The trigger was a strong Q4 FY26 performance, where profit and operating metrics rose sharply year-on-year. Consolidated net profit for the quarter came in at ₹1,394 crore (₹1,393.46 crore in one report), compared with ₹482 crore (₹481.96 crore) in the year-ago quarter. That translates to a 189% year-on-year jump, with commentary describing profit as “nearly tripled”.

Revenue from operations rose 31.4%-32% year-on-year to about ₹5,042.5 crore (₹5,042.46 crore/₹5,043 crore), versus ₹3,836 crore a year earlier. On a sequential basis, one report noted profit more than doubled from ₹666 crore in the previous quarter, while revenue increased over 13% from ₹4,443 crore.

Margin expansion supported the beat

Operating performance improved alongside revenue growth. EBITDA rose to ₹1,774.4 crore (₹1,774 crore in another report) from ₹861.4 crore in the corresponding quarter last year. The EBITDA margin expanded to about 35.2% (35.18% in one report) from 22.5% a year ago.

The combination of higher revenue, a stronger EBITDA base, and a sharp margin improvement explains why the profit growth outpaced revenue growth. The quarter also reinforced investor focus on operating leverage in power and mining businesses when volumes, tariffs, and cost controls align.

Full-year FY26: record revenue and profit

For FY26, NLC India reported its highest-ever annual financial performance in several line items. Revenue from operations rose to ₹17,490 crore from ₹15,283 crore, a growth of 14.44%. Net profit for FY26 rose to ₹3,769 crore from ₹2,714 crore, registering growth of 38.91%.

EBITDA for the year was reported at ₹7,475 crore, up 14.78%, with commentary indicating both revenue and EBITDA hit their highest-ever levels during FY26. The company also said FY26 saw all-time high production and generation since inception for a financial year.

Dividend: final payout proposed for FY26

Along with the results, the board recommended a final dividend of 2.5%, or ₹0.25 per equity share, for FY26. The proposal is subject to shareholder approval at the upcoming annual general meeting, and one report also mentioned CAG approval.

The company had already paid an interim dividend of ₹3.60 per share during the year. The final dividend recommendation adds to the total distribution for FY26, as per the disclosures cited.

Operational milestones: coal and renewable generation

Operational metrics highlighted record coal output from the Talabira mines. Annual coal production stood at 19.14 million tonnes (MT) from Talabira II and III OCP, while annual coal dispatch was 17.69 MT. One report specified coal production was up 11.28% from the previous year.

Renewable energy power generation for FY26 was reported at 2.26 billion units (BU). These numbers were repeatedly cited in the market coverage as key proof-points supporting the earnings narrative.

Capacity additions and capex in FY26

NLC India reported capacity additions of 1,013 MW during FY26. This included 660 MW of thermal capacity (Unit 2 of GTPP) and 303 MW of renewable capacity, including 300 MW solar in Rajasthan and 3 MW rooftop projects in Tuticorin, Ghatampur, and Neyveli.

The company also reported its highest-ever annual capital expenditure of over ₹9,131 crore in FY26. The capex figure was described as the highest in a fiscal year since the company’s inception, based on the reports cited.

New projects and the renewables pipeline

Beyond FY26 performance, investors also tracked updates on the renewable subsidiary. NLC India Renewables Ltd (NIRL) received a Letter of Award from SECI for developing 600 MW of solar capacity coupled with a 300 MW battery energy storage system (1800 MWh ESS mentioned in one report), awarded through tariff-based competitive bidding.

The government also approved listing NIRL through a public offering and cleared a joint venture between NIRL and NCRTC to set up 100 MW of renewable projects in Uttar Pradesh. Separately, the company received a composite licence from the Chhattisgarh government for the Semhardih and Raipura phosphorite and limestone blocks to undertake detailed geological exploration.

Key numbers at a glance

Market impact and why the update mattered

The sharp re-rating in a single session was driven by a combination of headline profit growth and visible operating leverage, reflected in the EBITDA margin jump to about 35%. Markets also reacted to the full-year records, including FY26 profit of ₹3,769 crore and revenue of ₹17,490 crore.

Dividend visibility added another data point, with the proposed final dividend of ₹0.25 per share following an interim dividend of ₹3.60 per share during the year. Operational disclosures around record coal production, renewable generation, and large capacity additions provided additional context for FY26’s performance.

What investors will track next

The final dividend remains subject to shareholder approval at the AGM, and one report also referenced CAG approval. Investors will also watch progress on NIRL’s proposed listing plan and execution of the SECI-awarded solar plus storage project.

Updates on capacity ramp-up, dispatch volumes from Talabira II and III, and the impact of FY26’s ₹9,131 crore-plus capex on future operations are likely to remain in focus, alongside quarterly earnings consistency.

Conclusion

NLC India’s record-high stock move on 14 May followed a quarter where net profit rose 189% year-on-year to about ₹1,394 crore, supported by a sharp EBITDA and margin expansion. FY26 also delivered record revenue, record profit, and record operational metrics in coal and renewables. The next milestones include shareholder and regulatory steps around the final dividend, and further clarity on renewables expansion and the proposed listing of NLC India Renewables.