Power Mech Projects

Power Mech Projects has secured a contract worth ₹371 crore. The company announced this new business win, which represents a significant order for the organization.

Power Mech Projects Limited reported total income of INR 1,304 crores for Q1 FY26, representing a 28% increase from INR 1,016 crores in Q1 FY25. EBITDA grew 48% to INR 182 crores, while PAT increased 31% to INR 81 crores. EBITDA margin improved from 12.1% to 13.95%. The quarterly performance was significantly boosted by exceptional revenues of INR 288.53 crores from the Uttarakhand Riverbed Mineral project, which contributed INR 55 crores to PAT. The company secured fresh orders worth INR 1,270 crores during the quarter and maintains a total order backlog of INR 53,972 crores. Key new orders included the Telangana Yadadri project worth INR 972 crores and a solar project in Bihar worth INR 159 crores. The company has set a revenue target of INR 6,500 crores for FY26, representing 25% growth, and aims to secure INR 10,000 crores in new orders. Mining operations commenced at the Kotre Basantpur MDO project in April 2025, while the Kalyaneswari Tasra project produced 7.61 lakh tons of coal. The company faces challenges including limited washery capacity constraining coal offtake and delayed payments in water projects.

Power Mech Projects is expanding into battery energy storage and green energy sectors, with management recently traveling to China to explore battery supply partnerships. The company has set a revenue target of ₹6,500 crore for FY26, representing 25% annual growth, while maintaining EBITDA margins at FY25 levels. Power Mech aims to secure ₹10,000 crore in new orders by March 2026, having already secured ₹1,882 crore. The company provided long-term margin guidance of 22% by 2028, with average margins of 15-16% expected until then. For mining operations specifically, the company anticipates 22% margins at peak capacity by 2028 and 10-15% margins in the interim period.