Pace Digitek energy reaches 80% of H1 FY27 operating revenue

Pace Digitek Limited shifted its sales base to energy in H1 FY27: Energy accounted for 80% of Rs 1,363.5 crore revenue from operations, versus 15% a year earlier. The change coincided with Rs 2,172.7 crore of Energy Solutions order inflows and 875 megawatt-hours (MWh) of battery energy storage system (BESS) capacity commissioned.

How did Pace Digitek's revenue mix change?

Pace Digitek's revenue mix moved toward Energy, which rose 65 percentage points to 80% in H1 FY27 from 15% in H1 FY26. Telecom & ICT moved in the other direction, falling to 20% from 85%, as BESS and renewable-energy project execution became the larger contributor to the Rs 1,363.5 crore of H1 FY27 revenue from operations.

The shift was already evident in the quarterly series, although the pace was uneven. Energy contributed 7% in Q1 FY2026, 21% in Q2 FY2026 and 14% in Q3 FY2026, before rising to 88% in Q4 FY2026. It then represented 79% in Q1 FY2027 and 80% in Q2 FY2027, while Telecom & ICT represented 21% and 20%, respectively.

The reported segment amounts align with the percentage mix. Energy generated Rs 1,087.6 crore in H1 FY27, while Telecom & ICT generated Rs 275.9 crore. The Energy figure was nearly four times the Telecom & ICT figure during the six months, whereas Telecom & ICT held an 85% share in the comparable H1 FY26 period.

What supported Pace Digitek's energy execution?

Pace Digitek's Energy Solutions activity was supported by BESS manufacturing, engineering, procurement and construction (EPC), asset ownership and long-term operations and maintenance. In H1 FY27, the company commissioned 875 MWh of BESS capacity and produced 844 MWh, while expanding BESS manufacturing capacity from 2.5 gigawatt-hours (GWh) to 5 GWh.

The operating model covers BESS containers, power conversion systems, battery management systems and energy management systems, as well as supply, installation and commissioning. Pace Digitek also describes ownership and operation of contracted storage assets alongside long-term performance management. It reported cumulative BESS deliveries of more than 1.8 GWh and cumulative commissioned capacity of more than 1 GWh.

Pace Digitek has stated a target to double total BESS manufacturing capacity from 5 GWh to 10 GWh by December 2026. Its presentation also cited an October 2026 advisory that prescribes four-hour minimum storage duration for certain non-RoFR applications and standalone BESS at renewable-energy pooling stations, compared with two hours for eligible RoFR applications.

How did Pace Digitek's order book move toward energy?

Pace Digitek's executable order book was 79.4% Energy as of September 30, 2026, compared with 20.6% Telecom & ICT. Of the Rs 10,735.3 crore total order book, Energy represented Rs 8,527.7 crore and Telecom & ICT represented Rs 2,208 crore, providing a pipeline composition broadly consistent with the 80% Energy share of H1 FY27 revenue.

Energy Solutions contributed Rs 2,172.7 crore of FY2027 year-to-date order inflows, or about 89% of the Rs 2,437.5 crore total reported in the order-wins section. Telecom & ICT contributed Rs 264.7 crore through a BharatNet optical fibre cable EPC order from Bharat Sanchar Nigam Limited. The H1 FY27 results snapshot lists order inflows of Rs 2,437.4 crore, Rs 10 lakh below the order-wins and order-book-movement figures.

The largest disclosed Energy Solutions wins were Rs 709.9 crore for NLC India's 250 megawatt (MW)/500 MWh BESS EPC project and Rs 702 crore for DVC's 250 MW/500 MWh BESS EPC project. Pace Digitek also disclosed a Rs 179.4 crore BESS BOOT order from BSES Rajdhani Power for 57.5 MW/115 MWh, plus Rs 581.4 crore of BESS supply orders involving NTPC GE Power Services and Kalpa Power.

What did the mix shift mean for Pace Digitek's H1 FY27 results?

Pace Digitek reported Rs 1,363.5 crore of consolidated H1 FY27 revenue from operations, up 51.4% from Rs 900.5 crore in H1 FY26. Earnings before interest, tax, depreciation and amortisation (EBITDA) increased 40.5% to Rs 244.7 crore, while profit after tax (PAT) rose 30.4% to Rs 159.8 crore. The presentation attributes revenue growth to higher Energy project execution alongside Telecom & ICT projects and operations and maintenance services.

H1 FY27 gross profit increased 57.1% to Rs 405.9 crore from Rs 258.3 crore, lifting the gross margin to 29.8% from 28.7%. However, EBITDA margin was 17.9%, compared with 19.3% in H1 FY26, while PAT margin was 11.7%, compared with 13.6%. Finance costs rose to Rs 64 crore from Rs 16.3 crore, which the presentation links to higher project funding requirements and working-capital utilisation.

The second quarter showed a higher level of execution than the first. Q2 FY27 revenue was Rs 808.2 crore, up 45.5% from Rs 555.4 crore in Q1 FY27, and EBITDA was Rs 158.6 crore, up 84.2% from Rs 86.1 crore. Q2 EBITDA margin reached 19.6%, versus 15.5% in Q1 FY27 and 17.6% in Q2 FY26, while Q2 PAT was Rs 97.3 crore.

Conclusion

Pace Digitek's H1 FY27 results document a substantial business-mix change: Energy reached 80% of revenue and 79.4% of the September 30, 2026 order book, while Telecom & ICT accounted for 20% in each measure. Revenue grew 51.4% year on year to Rs 1,363.5 crore, with BESS commissioning of 875 MWh and Energy order inflows of Rs 2,172.7 crore providing the disclosed operational backdrop.

The next disclosed milestone is the planned increase in BESS manufacturing capacity to 10 GWh by December 2026, from 5 GWh in H1 FY27. Execution of the Rs 10,735.3 crore order book, including the two 500 MWh EPC projects for NLC India and DVC, and the funding needs reflected in Rs 64 crore of H1 FY27 finance costs are the stated items to monitor.