Shares of Premier Energies were trading over 4% lower on Friday, January 23, placing the stock among the top losers on the NSE, after the company reported weaker-than-expected Q3 FY26 earnings across key parameters.
In early trade, Premier Energies shares were quoted around Rs 709.80, down 4.05%, as investors reacted to the company’s December quarter performance missing Bloomberg consensus estimates.
For Q3 FY26, Premier Energies reported revenue of Rs 1,936 crore, up 13% year-on-year, but below the Street estimate of Rs 2,118.8 crore. EBITDA stood at Rs 592.7 crore, registering a 15.5% YoY increase, but also falling short of the estimated Rs 626 crore.
While EBITDA margins expanded to 30.6% from 29.95% in the year-ago period and came in slightly above estimates, margins narrowed sequentially, which added to near-term concerns. Net profit rose sharply by 53% YoY to Rs 391.6 crore, compared with Rs 255.2 crore last year, supported by operating leverage.
At the end of the December quarter, the company’s order book stood at 9.4 GW valued at Rs 13,700 crore, compared with 9.1 GW in the September quarter, indicating limited sequential improvement in order inflows.
Following the results, brokerage reactions remained mixed. Nomura maintained a ‘neutral’ rating with a price target of Rs 1,190, citing EBITDA that was 7% below its estimates and subdued order flow during the quarter. UBS, while retaining a ‘buy’ rating with a price target of Rs 1,340, flagged sequentially soft results and flat margins compared with peers, which could keep the stock under pressure in the near term.
Overall, analysts tracking the stock pointed to the earnings miss and sequential margin softness as key reasons behind the decline in Premier Energies shares during Friday’s session, despite strong year-on-year profit growth.
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