CG Power and Industrial Solutions shares rose 2.12% to Rs 846.50 on Thursday, touching an intraday high of Rs 846.60 — a fresh 52-week high — after the electrical equipment major delivered a beat on margins and profitability in Q4 FY26, driven by a blockbuster performance in its Power segment.
The Q4 FY26 numbers
| Metric | Q4 FY26 | Q4 FY25 | YoY | vs Estimates |
|---|---|---|---|---|
| Revenue | Rs 3,441 Cr | Rs 2,753 Cr | +25% | In line |
| EBITDA | Rs 466.1 Cr | Rs 345 Cr | +35% | Beat (est. 13.1%) |
| EBITDA Margin | 13.55% | 12.54% | +101 bps | Beat |
| PAT | Rs 363 Cr | Rs 274 Cr | +32.5% | Beat (est. Rs 333 Cr) |
The EBITDA margin of 13.55% was the highest since Q1 FY25 — a seven-quarter high — and came in above the market estimate of 13.1%. PAT of Rs 363 crore beat the market estimate of Rs 333 crore by 9%.
The Power segment — the engine of the beat
Power segment revenue surged 50% year-on-year to Rs 1,487 crore on the back of strong execution across projects. EBIT margin for the segment expanded 290 basis points to 23.8% from 20.9% — an exceptional margin for a capital goods business that reflects both the operating leverage from scale and the pricing power CG Power enjoys in the transformer and switchgear segment where India’s grid infrastructure build-out is driving sustained demand.
The Industrial segment — the drag
The Industrial segment told a different story. Revenue grew only 2% year-on-year to Rs 1,791 crore — a sharp deceleration from the Power segment’s momentum. Segment margins declined to 8.9% from 11% in Q4 FY25, with management attributing the compression to competitive pricing in the railway business and rising commodity costs. This is the segment to watch closely in FY27 — if competitive intensity in railway traction motors and industrial motors continues, it will weigh on blended margins even as Power powers ahead.
Semiconductor — a new revenue line
CG Power separately disclosed financials for its Semiconductor business, which contributed Rs 155.6 crore to the topline in Q4 FY26. This is a nascent but strategically significant business — CG Power is one of the few Indian companies with skin in the semiconductor manufacturing game through its joint venture, and the Rs 155 crore quarterly run rate gives a first concrete glimpse of scale in this segment.
Order book — the forward visibility story
Order inflows during Q4 surged nearly 40% year-on-year to Rs 5,335 crore — a strong demand signal. The total unexecuted order book now stands at Rs 17,107 crore, providing exceptional revenue visibility for the next several quarters. For a company reporting quarterly revenue of Rs 3,441 crore, a Rs 17,107 crore order book represents approximately 5 quarters of revenue coverage.
At Rs 846.50 — a fresh 52-week high — CG Power trades at a PE of 117.78 with a market cap of approximately Rs 1.29 lakh crore. The premium valuation reflects the market’s confidence in the structural power infrastructure theme, the semiconductor optionality and the consistent margin improvement trajectory that Q4 FY26 has further reinforced.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a qualified financial advisor before making investment decisions.