Torrent Power Q4 FY26 profit drops 70%, ₹5 dividend

What Torrent Power reported for Q4 FY26

Torrent Power Ltd. reported a sharp fall in consolidated profit for the fourth quarter of FY26, even as operating performance stayed broadly steady. In an exchange filing on Tuesday, the company said net profit dropped 70% year-on-year (YoY) to ₹318.20 crore. The same quarter last year had a net profit of ₹1,059 crore (₹1,059.57 crore in another disclosure cited in the report).

Revenue from operations was almost flat, declining 0.8% YoY to ₹6,406.07 crore from ₹6,456.34 crore. On the operating line, earnings before interest, tax, depreciation and amortisation (EBITDA) rose 1.7% to ₹1,149 crore. The EBITDA margin improved to 17.9% from 17.5% in the comparable quarter.

Profit fall versus steady operating metrics

The quarterly numbers show a divergence between profit and operating profitability. While EBITDA increased and margins inched up, the bottom line fell steeply YoY. The company did not provide a detailed bridge in the provided extract, but it flagged business conditions affecting parts of the portfolio.

Torrent Power said the contribution from its gas-based generation business remained constrained. It linked this to a “dynamic power demand scenario” and “gas market volatility,” as per the regulatory filing. That context is important because it indicates operational conditions can vary by segment even if consolidated revenue is broadly stable.

Compared with the immediately preceding quarter, the company’s net profit was also lower. The report stated net profit in the previous quarter was ₹643.08 crore.

Dividend announcement: final and total for FY26

Alongside the results, Torrent Power’s board approved a final dividend of ₹5 per share on fully paid-up equity shares with face value of ₹10 each. The company has about 50.3 crore equity shares, and the report said the payout would be close to ₹252 crore.

The company had already paid an interim dividend of ₹15 per share during the fiscal. Taken together, the total dividend for FY26 stands at ₹20 per equity share, comprising the ₹15 interim dividend and the ₹5 final dividend.

Fundraising plan: up to ₹10,000 crore via NCDs

Torrent Power’s board also approved fundraising of up to ₹10,000 crore through non-convertible debentures (NCDs). The report specified that the fundraising would be through NCD issuance, highlighting the company’s continued use of the debt market for funding needs.

The broader context included an earlier debt-market transaction. In March 2026, Torrent Power raised ₹2,000 crore via NCDs with maturities extending up to 2036, described as part of its long-term funding strategy.

Board and governance updates

Separately, the company’s board approved the re-appointment of Radhika Haribhakti as a non-executive independent director. The second and final term is for five consecutive years, from August 7, 2026 to August 6, 2031, subject to shareholders’ approval.

The material also referenced a board meeting dated May 12, 2026, to approve audited financial results for the fiscal year ended March 31, 2026. The same context noted investors were tracking decisions around a final dividend and fundraising via private placement of NCDs.

Key financial snapshot (Q4 FY26 vs Q4 FY25)

The table below summarises the headline consolidated performance indicators highlighted in the report.

Dividend and capital-raising decisions at a glance

The quarterly filing combined shareholder return actions with a large funding authorisation.

What investors typically track after such results

For investors, the immediate focus after a quarter like this is usually on the gap between EBITDA stability and profit volatility. In Torrent Power’s case, the reported operating margin improved slightly while net profit fell sharply, which puts attention on segment-level contribution and any quarter-specific items that may have affected profit.

The other monitorable is funding. The approval to raise up to ₹10,000 crore via NCDs is a sizeable authorisation and signals that the company wants flexibility to tap the debt market. The report also pointed to Torrent Power’s earlier use of NCDs, including the March 2026 issuance with maturities up to 2036.

Conclusion

Torrent Power’s Q4 FY26 results showed a 70% YoY decline in net profit to ₹318.20 crore, with revenue nearly flat and EBITDA slightly higher at ₹1,149 crore. The board approved a ₹5 per share final dividend, taking the FY26 total dividend to ₹20 per share, and cleared fundraising of up to ₹10,000 crore through NCDs. The next set of updates investors will watch includes the audited full-year results and the required shareholder approvals for board appointments.