Om Power Transmission Limited Q2 profit more than doubled

Om Power Transmission Limited reported Q2FY27 profit after tax of Rs 13.85 crore, up 117% year on year, as revenue increased 56% to Rs 128.29 crore and EBITDA margin reached 15.2%. Management attributed the margin expansion to quarter-specific business and project mix, while retaining its steady-state EBITDA margin expectation of 12-13%.

How did OPTL perform in Q2FY27?

OPTL reported Q2FY27 revenue of Rs 128.29 crore, compared with Rs 82.01 crore in Q2FY26 and Rs 121.63 crore in Q1FY27. Revenue was therefore Rs 46.28 crore higher year on year and Rs 6.66 crore above the preceding quarter, despite management citing monsoon-season conditions in its commentary on project execution.

EBITDA, or earnings before interest, tax, depreciation and amortisation, rose 111% year on year to Rs 19.56 crore from Rs 9.26 crore. PAT, or profit after tax, increased 117% to Rs 13.85 crore from Rs 6.39 crore, meaning both earnings measures grew faster than the 56% increase in quarterly revenue.

OPTL’s EBITDA margin rose to 15.2% from 11.3% in Q2FY26 and 12.1% in Q1FY27. PAT margin increased to 10.7%, from 7.7% a year earlier and 8.6% in the preceding quarter, a change that accompanied EBITDA growth of Rs 10.30 crore and PAT growth of Rs 7.46 crore year on year.

Why did OPTL’s EBITDA margin reach 15.2%?

OPTL said the Q2FY27 EBITDA margin of 15.2% reflected the business segment mix and project mix specific to the quarter. The margin was 3.9 percentage points above Q2FY26’s 11.3% and 3.1 percentage points above Q1FY27’s 12.1%, according to the company’s quarterly data.

Management said quarterly variation is part of OPTL’s business profile and that a trailing 12-month profitability view is more representative. It said it remains comfortable with a steady-state EBITDA margin of 12-13%, placing the reported Q2FY27 margin 2.2 to 3.2 percentage points above that stated range.

The presentation does not disclose a trailing 12-month EBITDA margin, so it does not allow a calculation of that measure after Q2FY27. It does show that Rs 19.56 crore of Q2FY27 EBITDA was generated on Rs 128.29 crore of revenue, compared with Rs 14.77 crore on Rs 121.63 crore in Q1FY27.

What was OPTL’s H1FY27 financial performance?

OPTL reported H1FY27 revenue of Rs 249.93 crore, up 46% from Rs 170.88 crore in H1FY26. EBITDA rose 61% to Rs 34.34 crore from Rs 21.28 crore, while PAT increased 65% to Rs 24.37 crore from Rs 14.74 crore.

H1FY27 EBITDA margin increased to 13.7% from 12.5% in H1FY26, while PAT margin rose to 9.7% from 8.6%. The first-half EBITDA margin was 1.5 percentage points below the Q2FY27 margin of 15.2%, consistent with management’s statement that project and business mix can affect reported quarterly profitability.

Q2FY27 represented Rs 128.29 crore of the Rs 249.93 crore H1FY27 revenue and Rs 19.56 crore of the Rs 34.34 crore first-half EBITDA. The quarter therefore contributed more than half of H1FY27 EBITDA, while the H1 figures retained a lower 13.7% margin than the standalone second-quarter result.

What orders support OPTL’s FY27 growth plan?

OPTL’s closing order book stood at Rs 565.99 crore as of 30 September 2026. Management also said OPTL won orders worth Rs 273.21 crore during October 2026, after Q2FY27 closed, and cited the order book and inflows as the basis for its confidence in delivering growth targeted for FY27 and beyond.

The disclosed Q2FY27 wins included a Paschim Gujarat Vij Company Limited order to convert existing 11 kilovolt, or kV, high-tension and low-tension overhead networks, including consumer service lines, into an underground cable network. Other wins included a 66 kV underground cable project from Gujarat Energy Transmission Corporation Limited and a private-sector order for a 220 kV air-insulated switchyard for NTPC’s 600 megawatt solar plant at Bhuj.

Management said OPTL intends to move up the value chain in 765 kV transmission and high-voltage direct current, or HVDC, projects, while expanding its private-sector franchise. The presentation does not disclose expected revenue, margins, contract values or completion dates for the 765 kV and HVDC initiatives.

What market conditions does OPTL cite for its EPC work?

OPTL operates in power transmission and distribution engineering, procurement and construction, or EPC, and cited planned Indian transmission and distribution investment of Rs 9.15 lakh crore between 2023 and 2032 under the National Electricity Plan. Its presentation shows India’s transmission network rising from 4.94 lakh circuit kilometres in FY25 to a projected 5.70 lakh circuit kilometres by FY30.

The company identified large-scale power evacuation projects, extra-high-voltage transmission lines, air-insulated and gas-insulated substations, underground cabling and long-term operations and maintenance as relevant capabilities. The 11 kV and 66 kV underground cable orders and the 220 kV switchyard order disclosed for Q2FY27 span several of those project categories.

OPTL also cited growth in India’s 765 kV network to 56,955 circuit kilometres in FY25 from 44,851 circuit kilometres in FY20. The presentation refers to a national target of 500 gigawatts of non-fossil capacity by 2030 and peak-demand growth at a 6% compound annual rate from FY27 to FY36, but does not quantify OPTL’s potential share of this activity.

Conclusion

OPTL combined 56% Q2FY27 revenue growth with 111% EBITDA growth and 117% PAT growth, lifting EBITDA margin to 15.2% and PAT margin to 10.7%. The H1FY27 result showed the same direction of change, with EBITDA and PAT rising 61% and 65%, respectively, faster than 46% revenue growth.

The next measure to watch is whether quarterly project and business mix keeps profitability near management’s stated 12-13% steady-state EBITDA margin range. Management has pointed to a Rs 565.99 crore order book at 30 September 2026, Rs 273.21 crore of October orders, and plans to pursue 765 kV and HVDC projects, without disclosing their timetable or financial contribution.