HPL Electric & Power Limited has received work orders and notifications of award worth Rs. 242.24 crores from multiple customers for the supply of smart meters. The orders, which are inclusive of tax, have been secured from regular leading customers and will be executed in the normal course of business according to the terms and conditions of the purchase orders and notifications of award.

Customer Portfolio

The work orders have been received from five prominent customers in the infrastructure sector:

Contract Execution Framework

The contracts will be executed as per the terms and conditions specified in the purchase orders and notifications of award. The company has informed the stock exchanges about this development through a regulatory filing. The intimation was signed by Vivek Kumar, Company Secretary of HPL Electric & Power Limited, confirming the receipt of these orders.

Order Summary

HPL Electric & Power Limited has received a significant credit rating upgrade from CRISIL Ratings Limited, with its long-term bank loan facilities upgraded to 'CRISIL A+/Stable' from 'CRISIL A/Stable'. The company announced this development through a regulatory filing dated April 16, 2026, stating that it received the rating communication on April 15, 2026.

Rating Upgrade Details

The rating action covers total bank loan facilities worth Rs 1614 crore, with the upgrade reflecting CRISIL's expectation of continued improvement in the company's overall business risk profile.

Business Performance and Growth Drivers

The rating upgrade is primarily driven by steady revenue growth and improved business mix. Operating income is expected to grow steadily, with projections to exceed Rs 1800 crore in fiscal 2026 from Rs 1700 crore in fiscal 2025. The company achieved revenue of Rs 1291 crore in the first nine months of fiscal 2026 compared to Rs 1208 crore in the corresponding period of the previous fiscal.

The meters segment has emerged as a key growth driver, contributing approximately 56% of overall revenue during the first nine months of fiscal 2026, significantly up from 39% in fiscal 2022. This shift toward smart meters has positively impacted operating margins, which are expected to improve to 15-16% in fiscal 2026 from 15% in fiscal 2025.

Order Book and Market Position

HPL maintains a robust order book of Rs 3177 crore as of February 2026, representing 1.9 times the fiscal 2025 revenue and providing strong revenue visibility in the near term. The company holds an established market position in the metering segment with approximately 20% market share, supported by complete backward integration and quality controls.

Financial Risk Profile Improvement

The company's financial metrics show continued strengthening. Networth is expected to reach Rs 1000-1050 crore as of March 31, 2026, compared to Rs 917 crore a year ago, backed by healthy reserve accretion. The interest coverage ratio is projected to improve to nearly 3.2 times in fiscal 2026 from 2.8 times in fiscal 2025.

Working capital management has also improved, with Gross Current Assets (GCAs) expected to be around 320-325 days as of March 31, 2026, compared to 328 days in the previous year and 434 days as of March 31, 2021.

Strategic Focus Areas

HPL's strategic positioning in the smart meters segment aligns with government initiatives for smart meter installation. The company operates through a diversified product portfolio serving both B2B (meters) and B2C (lighting, switchgears, wires and cables) segments. The group maintains an established pan-India network of over 900 authorized dealers and distributors and over 80,000 retailers.

The rating agency noted that the company's three R&D facilities have enabled consistent innovation and product development, particularly in smart meters, positioning HPL to capitalize on the government's indication to install 25 crore smart meters over the medium term.