NTPC Green Energy Q4 FY26 PAT falls 15% YoY to ₹197 cr

Key takeaway from the Q4 print

NTPC Green Energy posted a weaker year-on-year profit in the March 2026 quarter despite strong revenue growth, reflecting cost pressures during expansion. Consolidated profit after tax (PAT) fell 15.5% to ₹197.05 crore in Q4 FY26 from ₹233.22 crore in Q4 FY25. Profit before tax (PBT) also declined, dropping 19.5% to ₹247.26 crore from ₹307.02 crore a year earlier. The company’s quarterly revenue picture was stronger, with reported net sales of ₹912.63 crore, up 46.66% YoY from ₹622.27 crore. The results highlight a common pattern in renewable energy platforms, where growth and commissioning activity can lift the top line while funding and operating costs compress near-term profitability.

What NTPC Green Energy reported for Q4 FY26

The company disclosed that its consolidated PAT attributable to owners came in at ₹197.05 crore for the quarter ended March 2026. The year-on-year drop came even as revenue rose sharply in the same period. One stated driver was a steep rise in expenses, with expenses in Q4 FY26 at ₹713 crore versus ₹445 crore in Q4 FY25, a jump of about 60%. The company also reported higher interest costs, with interest expense at ₹257.45 crore in Q4 FY26, compared with ₹176.77 crore in Q4 FY25. Operating profit (PBDIT excluding other income) was reported at ₹774.50 crore in Q4 FY26, while the operating margin compressed to 84.86% from 90.04% in the year-ago quarter. PAT margin was reported at 21.60% for Q4 FY26.

Sequential rebound: Profit up sharply from Q3 FY26

While the year-on-year comparison showed pressure, the quarter-on-quarter movement was markedly stronger. Consolidated PAT rose to ₹197.05 crore in Q4 FY26 from ₹17.48 crore in Q3 FY26, a sequential increase of 1027.29%. Net sales were also higher sequentially, rising to ₹912.63 crore from ₹653.29 crore in Q3 FY26. Reported interest costs increased quarter-on-quarter as well, reaching ₹257.45 crore in Q4 FY26 from ₹230.06 crore in Q3 FY26. In the same period, reported net profit improvement translated into a sharp expansion in PAT margin to 21.60% from 2.65% in Q3 FY26.

Revenue disclosures: Net sales vs total revenue

The data set includes two revenue line items for the quarter that investors should read carefully. Net sales for Q4 FY26 were reported at ₹912.63 crore, compared with ₹622.27 crore in Q4 FY25. Separately, consolidated “Total Revenue Qtr” was reported at ₹942.49 crore for March 2026, against ₹751.50 crore in March 2025 and ₹684.22 crore in December 2025. These line items can differ because “total revenue” can include other income components, while “net sales” typically reflects revenue from operations. The profit line in both disclosures is consistent with consolidated net profit at ₹197.05 crore for Q4 FY26.

Full-year FY26 performance stayed positive

For the full year ended March 2026, NTPC Green Energy reported growth on both revenue and profit. Consolidated net profit rose 9.91% to ₹522.60 crore in FY26 from ₹475.48 crore in FY25. Revenue for FY26 increased 29.36% to ₹2,858.42 crore from ₹2,209.64 crore in FY25. The FY26 outcome suggests the earnings profile can still improve on an annual basis even when quarterly profitability is volatile. This also frames Q4 FY26 as a quarter of strong execution on revenue, but with elevated costs that reduced incremental profitability versus the year-ago period.

What weighed on profitability in Q4 FY26

The reported driver for the year-on-year PAT decline was a sharp increase in expenses. Expenses rose to ₹713 crore in Q4 FY26 from ₹445 crore in Q4 FY25, which is significant given the pace of revenue growth in the same quarter. The numbers also show rising financing costs, with Q4 FY26 interest expense at ₹257.45 crore, higher than both Q3 FY26 and Q4 FY25. In parallel, operating margin was reported lower at 84.86% versus 90.04% in the year-ago quarter, indicating margin compression. Put together, the cost structure in Q4 FY26 offset a large part of the benefit from higher revenue.

Stock market reaction and listings

Shares of NTPC Green Energy fell 0.95% to close at ₹104.40 on 22 May 2026, following the results discussion in the market. The stock trades on both exchanges, with BSE scrip code 544289 and NSE symbol NTPCGREEN (Series EQ). The price move was modest in percentage terms, suggesting investors were weighing the strong revenue growth against the year-on-year profit decline and the visibility on costs.

Company details and sector context

NTPC Green Energy operates in India’s renewable energy segment, a sector where expansion typically requires high upfront capital and can lead to volatile quarterly earnings. In the disclosures provided, the company’s contact address is listed as NTPC Bhawan, Core-7, SCOPE Complex, 7, New Delhi, Delhi 110003, with website https://ngel.in/ngel-home. Such businesses often show a gap between revenue growth and profit growth when projects ramp up and finance costs increase. The Q4 FY26 mix of higher revenue, higher expenses, and higher interest cost fits that pattern.

Key financial snapshot (as reported)

*Note: “Total revenue” and “net sales” are both reported in the provided disclosures; they may differ due to classification and other income items. Some items were not available for all quarters in the provided text.

Why this result matters

The Q4 FY26 outcome shows two simultaneous signals. First, the company’s scale-up is visible in the top line, with strong year-on-year growth in net sales and higher operating profit. Second, the quarter highlights the sensitivity of profitability to costs, particularly expenses and interest, which can rise quickly during aggressive expansion. For investors, this mix typically shifts focus to the sustainability of margins and the trajectory of financing costs alongside commissioning-led revenue growth.

Conclusion

NTPC Green Energy ended Q4 FY26 with ₹197.05 crore consolidated PAT, down 15.5% YoY, even as revenue climbed strongly and FY26 delivered higher annual profit and revenue. The market will track whether expense growth and interest costs moderate in coming quarters while the company continues scaling operations.