Rajesh Power Services Reports 46% H1 FY27 Revenue Growth

Rajesh Power Services Limited reported consolidated H1 FY27 revenue of Rs 929.26 crore, up 46% year-on-year, supported by project execution in power distribution and an expansion into higher-voltage transmission work. Profit after tax rose 35% to Rs 79.22 crore, while the company held an unexecuted order book of Rs 3,647 crore as of September 30, 2026.

What did Rajesh Power Services report for H1 FY27?

Rajesh Power Services reported a broad increase in financial performance during the first half of FY27. Consolidated revenue from operations reached Rs 929.26 crore, compared with the corresponding period a year earlier, while profit after tax increased to Rs 79.22 crore from Rs 58.78 crore in H1 FY26. The company said its growth was supported by disciplined project execution and a diversified order book.

EBITDA increased 33% year-on-year to about Rs 112 crore. However, EBITDA margin was 12.02%, down 1.14 percentage points year-on-year. PAT margin stood at 8.5%, according to management's earnings-call presentation. The company also reported positive cash flow from operating activities, attributing this to improved collections, operating performance and working-capital discipline.

How did the company's order book and new wins develop?

Rajesh Power Services secured fresh order inflows of about Rs 1,250 crore during H1 FY27. Its unexecuted order book was approximately Rs 3,647 crore on September 30, 2026. Management said it subsequently received additional order inflows of about Rs 450 crore during October, while public disclosures also described the aggregate order book as approximately Rs 4,000 crore.

The company cited a Rs 1,212 crore engineering, procurement and construction order from Odisha Power Transmission Corporation Limited, secured in June 2026, as part of its move beyond its established markets. It also announced on November 4 that it had won DGVCL turnkey contracts worth Rs 1,628.74 crore for underground cable conversion, with a 24-month execution period.

These projects add to the company's work across gas-insulated and air-insulated substations, extra-high-voltage cables and transmission lines. The order book is a measure of work yet to be executed rather than revenue already recognised, but it provides visibility into the scale of contracted projects cited by the company.

Why is Rajesh Power Services expanding into transmission and storage?

Rajesh Power Services is a turnkey EPC contractor that builds power-grid infrastructure, including underground cables, substations and high-voltage transmission lines. Management said the H1 FY27 performance was supported by its distribution business, its expansion into higher-voltage transmission and its entry into the energy-storage segment.

The shift matters because the company's stated growth plan extends beyond conventional distribution projects. Management linked the opportunity to India's power-infrastructure expansion, including the National Electricity Plan and Green Energy Corridor Phase III. These policy and grid-development programmes were cited during the earnings discussion as factors supporting the broader transmission environment.

The company also addressed its plans to broaden its geographical reach beyond Gujarat. Its Odisha transmission order indicates activity outside its home state, while management described capability-building and wider geographic expansion as ongoing priorities. No detailed state-by-state expansion timetable was disclosed in the supplied earnings-call material.

What does the earnings call indicate for investors and operations?

The earnings call indicates that Rajesh Power Services entered the second half of FY27 with a substantial pipeline of contracted work and management guidance for 40% growth. Revenue growth of 46% in H1 FY27 exceeded that stated guidance rate for the reported half-year period, although the source does not specify the exact period to which the guidance applies.

For investors, the key operational data are the pace of order conversion, margins and cash generation. Revenue, EBITDA and PAT all rose at double-digit rates, but the 1.14-percentage-point decline in EBITDA margin shows that earnings growth did not translate into margin expansion during the half year. The company nonetheless described its cost management and operating efficiency as supportive of a 12% EBITDA margin.

The reported positive operating cash flow is also relevant for an EPC contractor, where project execution, customer collections and working-capital requirements can materially affect cash generation. Rajesh Power Services did not provide a numerical operating-cash-flow figure in the supplied material, so the scale of the improvement cannot be independently quantified from the disclosure.

What should investors monitor after the H1 FY27 results?

Investors will need to monitor whether Rajesh Power Services converts its reported order book into revenue while maintaining collection discipline and operating margins. The company operates in a competitive market that includes cable suppliers, transmission contractors and EPC companies, particularly as it pursues work beyond Gujarat.

The direction of EBITDA margin will remain important because the company reported strong revenue and profit growth alongside a lower margin. Execution across high-voltage transmission, substations, underground cabling and new storage-related activities will determine how the business mix develops, but the company has not provided project-level profitability figures in the supplied disclosures.

Conclusion

Rajesh Power Services delivered H1 FY27 consolidated revenue growth of 46% to Rs 929.26 crore and PAT growth of 35% to Rs 79.22 crore. The results were accompanied by fresh order inflows of about Rs 1,250 crore, a Rs 3,647 crore unexecuted order book at September-end and management's report of positive operating cash flow.

The next areas to watch are the execution of the DGVCL underground cable contracts over their 24-month period, conversion of the September order book, and management's stated 40% growth guidance. Investors will also assess whether margins stabilise as Rajesh Power Services expands further into transmission and energy storage.