Yash Highvoltage FY26: Strong execution lifts revenue 57% as order book reaches Rs 400 crore

Yash Highvoltage Ltd., a pure-play transformer bushing manufacturer, closed FY26 with its strongest full-year performance to date. Revenue from operations rose 57 percent year on year to Rs 235.1 crore. EBITDA grew 75 percent to Rs 60.4 crore, with margin expansion to 25.7 percent. Profit after tax increased 75 percent to Rs 37.4 crore, taking PAT margin to 15.9 percent. The second half was also stronger than the first, with H2FY26 revenue at Rs 135.5 crore versus Rs 92.5 crore in H2FY25, and H2FY26 EBITDA margin at 27.4 percent.

The year was not only about higher volumes. The presentation points to a mix of structural demand in power infrastructure and execution choices by the company. Management highlighted a large and rising order book, progress on a greenfield backward integration project, and steps taken to widen the international footprint through a US subsidiary and distribution partnerships.

FY26 in numbers: growth with higher margins

The FY26 results show two parallel trends. First, scale improved materially, with total income reaching Rs 240.9 crore. Second, profitability improved even as employee and other operating expenses rose in absolute terms. Gross profit increased to Rs 104.4 crore, and gross margin expanded to 44.4 percent from 41.4 percent in FY25. EBITDA margin improved to 25.7 percent from 23.1 percent.

Cost lines moved up, but the operating leverage still came through. Employee benefits expense rose to Rs 21.8 crore from Rs 11.8 crore. Other expenses increased to Rs 22.2 crore from Rs 15.5 crore. Depreciation more than doubled to Rs 6.3 crore, and finance cost increased to Rs 4.0 crore. Even with these increases, the company delivered higher PBT at Rs 50.1 crore and higher PAT at Rs 37.4 crore.

Management described FY26 as the strongest year in the company’s two-decade history, supported by disciplined execution across domestic and export markets and continued demand momentum in the transformer and power infrastructure space.

Order book strength and what it suggests about demand

A key operating marker in the deck is the order book. It rose from Rs 150 crore as on 31 March 2025 to Rs 250 crore as on 30 September 2025, and reached Rs 400 crore as on 31 March 2026. This step-up matters because transformer bushing demand is tied to transformer production and grid capex cycles. A larger order book can provide revenue visibility and also allows better production planning, which usually helps margins in engineered manufacturing.

The company’s revenue mix remained broadly stable. Product mix in FY26 was 83 percent RIP, 10 percent OIP, 3 percent high current, 3 percent others, and 1 percent. In FY25, the mix was 82 percent RIP, 11 percent OIP, 3 percent high current, 3 percent others, and 1 percent. Geography mix shifted modestly. Domestic revenue was 93 percent in FY26 versus 95 percent in FY25. Exports increased to 7 percent from 5 percent.

The mix stability suggests growth was broad-based rather than driven by a one-off change in product skew. It also indicates that the core business, RIP condenser bushings in particular, continued to anchor the year.

Strategy in FY26: localisation, scale, and a wider global presence

Yash positions itself as a niche manufacturer in a specialised category. The deck highlights that condenser-graded transformer bushing manufacturing is among the most specialised niches in power equipment and that the company is the only independent Indian manufacturer in this segment.

The FY26 strategy elements were practical and capacity-led. The greenfield facility is the central project. It is planned in Vadodara, Gujarat, with 2.5 lakh sq ft land area and 1.5 lakh sq ft built-up area. The stated investment is Rs 153 crore, with commissioning targeted for H2 FY27. The focus is expansion of RIP and RIS transformer bushing capacity and backward integration.

The logic is tied to a specific supply chain constraint described in the presentation. India still imports more than 95 percent of RIP cores. Yash’s project aims to localise RIP and RIS core production, which management expects to reduce cost, remove import dependency, improve margins, and cut lead times that currently run 12 to 16 weeks on imported cores.

Capacity expansion is quantified. The greenfield project is expected to add around 6,000 units annually, with products engineered to international specifications for the Americas, Europe, and other markets.

Alongside capex, FY26 included business development moves.

First, the company established Yash HV USA Inc., a sales and marketing office aimed at the US transformer build-out cycle. The company cites US grid modernization, transformer demand growth since 2019, aging transformer stock, and long lead times as factors. The stated intent is to improve direct OEM engagement, respond in local time zones for technical and commercial requirements, and build visibility into procurement roadmaps.

Second, the company expanded distribution partnerships, naming Weidmann for select European and North American markets and Electrolink for the UK, Ireland, and Wales.

Third, the company acquired a 50 percent equity stake in Sukrut Electric, a transformer components manufacturer in Pune, in partnership with Quality Power holding the other 50 percent. The presentation frames the transaction as strengthening the high-voltage equipment ecosystem and improving integration across components.

FY26 also included technical and quality progress. The company reports its first 245 kV oil-to-oil transformer bushing tested in-house, enhanced test capabilities including RIV and TRT test setup and dew point measurement, and new ISO certifications for environmental management and occupational health and safety.

Balance sheet signals: investment phase underway

The balance sheet reflects a company investing for the next stage. Total assets rose to Rs 264.43 crore as of March 2026 from Rs 204.05 crore as of March 2025. The increase is driven by expansion-related lines.

Capital work in progress climbed to Rs 42.50 crore from Rs 2.39 crore, and intangible assets under development rose to Rs 9.59 crore from Rs 5.22 crore. Property, plant and equipment increased to Rs 45.16 crore from Rs 40.61 crore.

On the working capital side, inventories increased to Rs 66.65 crore from Rs 29.67 crore and trade receivables rose to Rs 30.57 crore from Rs 27.73 crore. Cash and bank balance declined to Rs 20.06 crore from Rs 24.91 crore. Bank balances other than cash and cash equivalents moved from Rs 46.69 crore in March 2025 to nil in March 2026, which aligns with an investment year where funds can shift from deposits into capex and working capital.

Equity remains the largest funding base. Shareholders’ funds increased to Rs 184.00 crore from Rs 147.40 crore, driven by higher retained earnings. Borrowings were Rs 6.35 crore on the non-current side, unchanged, and current borrowings rose to Rs 24.74 crore from Rs 16.32 crore. The deck also highlights a debt-to-equity ratio of 0.17 in FY26, consistent with FY24 and slightly higher than FY25.

This mix suggests that while the company is in a build phase, leverage is still controlled as per the metrics shown.

Industry backdrop: why bushing demand is rising

The presentation argues the tailwind is structural. It points to three major demand channels in India.

One is grid replacement under RDSS, with an outlay of Rs 3.03 lakh crore for FY22 to FY28. It notes 590,369 transformers sanctioned for replacement, with only 22 percent installed so far.

Second is renewable integration. The deck cites 237 GW still to be added by 2030, with India at 263 GW renewables and a target of 500 GW.

Third is transmission expansion under the National Electricity Plan, with an outlay of Rs 9.15 lakh crore to 2032. It also cites 1,23,577 circuit km of new lines by 2027 and peak demand rising from 243 GW today to over 400 GW by 2030.

The company also cites market sizing references. India’s transformer market is shown at USD 3.0 billion in 2025, projected to USD 4.47 billion by 2030, implying an 8.33 percent CAGR. The global transformer bushing market is shown at USD 1.8 billion in 2023, projected to USD 3.0 billion by 2033, implying a 5.1 percent CAGR.

Within bushings, the deck highlights a technology shift. RIP is positioned as maintenance-free, 30 to 40 percent lighter, and lower fire risk versus OIP. The presentation shows RIP share of global installations rising from 22 percent in 2019 to 30 percent in 2023, and projected to reach 45 percent by 2030.

This is where Yash’s localisation plan links directly to market opportunity. If the fastest-growing segment depends on imported cores, a manufacturer’s cost and delivery profile can limit export competitiveness. The greenfield project is framed as the step that lets Yash sell RIP and RIS products globally for the first time, not just in India.

What to watch: execution milestones and mix shift

FY26 has set a high base on both growth and margins, but the next phase depends on delivering the capex and converting the order book into revenue without margin dilution.

Three operational signals in the presentation matter for investors watching FY27 onward.

First is the commissioning timeline for the greenfield facility in H2 FY27. The deck includes progress updates across RM stores, packing area systems, autoclave and resin mixing machines, winding hall equipment, and factory building completion timelines in May and June 2026. The value of these updates is that they anchor the capex to near-term milestones.

Second is export readiness. Exports are still 7 percent of revenue in FY26, but the company has put in place a US sales and marketing presence and European distribution partnerships. If these channels mature alongside the greenfield backward integration, the export mix could become a larger part of the story.

Third is product alignment with global standards. The company highlights products made to IEC 60137:2017 and IEEE standards, and notes it has developed and supplied bushings as per IEEE and ANSI standards for the USA and European markets. The move into higher voltage classes like 245 kV oil-to-oil testing also signals an effort to compete in the upper end of specifications.

Investor takeaways

FY26 for Yash Highvoltage reads like a year where demand, execution, and preparation for the next capacity curve all lined up. Revenue growth of 57 percent and EBITDA margin expansion to 25.7 percent show operating leverage in a specialised manufacturing business. The order book expansion to Rs 400 crore adds visibility, while the balance sheet indicates the company is already deploying capital for the next phase.

The strategy is clear and measurable. The Rs 153 crore greenfield facility and the plan to localise RIP and RIS cores address a stated industry constraint in India and directly tie into the global shift toward RIP technology. The establishment of Yash HV USA and the distribution partnerships point to a more deliberate export push.

The near-term question is execution: delivering the new facility on schedule and using it to improve cost, lead time, and export competitiveness. If those pieces fall into place, the company’s FY26 theme of disciplined execution can extend into a longer runway built on structural power sector capex and a rising share of RIP installations worldwide.