Power Grid Corporation of India Limited (PowerGrid), India's flagship power transmission utility, has reported robust performance for H1 FY26 and unveiled an ambitious capital expenditure plan of ₹1.3 lakh crore over the next five years. This strategic investment aims to meet the rising power demand and support the integration of renewable energy into the national grid.

Financial Performance

According to PowerGrid's investor update:

• Total income for H1 FY26: ₹23,115.00 crore
• Profit after tax for H1 FY26: ₹7,197.00 crore

Operational Highlights

PowerGrid continues to maintain exceptional operational standards:

• System availability of 99.83% up to H1 FY26
• 1,81,054 circuit kilometers of transmission lines
• 1,87,516 MVA transformation capacity
• Commissioned 857 circuit kilometers of transmission lines and 30,555 MVA transformation capacity during the period

Record Works in Hand

PowerGrid has achieved a record works in hand of ₹1,52,287.00 crore, with Tariff Based Competitive Bidding (TBCB) works showing impressive 48% CAGR growth from FY20 to H1 FY26.

Major Developments

• Successful testing of India's first insulated cross arms for 400kV lines
• Launch of the country's first 220kV mobile GIS bay
• In-principle approval received for Sasaram HVDC project upgradation at ₹3,440.00 crore cost

Financial Strength

PowerGrid maintains strong credit ratings:

• AAA rating from domestic agencies
• Investment grade ratings from international agencies
• Debt-to-equity ratio: 58:42
• Return on net worth: 7.27%

Investment Focus

The company's ₹1.3 lakh crore investment strategy centers on two key areas:

1. Digital Grid Modernization
2. Green Energy Corridors

These focus areas align with India's growing energy needs and the push towards a more sustainable power infrastructure.

Future Outlook

With its substantial capital investment plan and record works in hand, PowerGrid is positioning itself as a key player in India's evolving energy landscape. The focus on digital grid modernization and green energy corridors aligns with the country's renewable energy goals and the increasing demand for reliable power transmission.

As India moves towards its clean energy commitments, including over 600 GW of non-fossil fuel capacity by 2032, PowerGrid's investments are likely to play a crucial role in facilitating this transition.

The company's strong financial foundation, coupled with its operational excellence, provides a solid base for executing this ambitious plan. Investors and stakeholders will be watching closely to see how these investments translate into long-term value creation and support India's growing energy needs.

Power Grid Corporation of India Limited (POWERGRID), a leading player in the power transmission sector, has announced significant financial decisions that are set to impact shareholders and the company's future operations.

Interim Dividend Announcement

The Board of Directors of POWERGRID, in a meeting held on November 3, 2025, declared a first interim dividend of Rs 4.50 per equity share for the financial year 2025-26. This dividend represents 45% of the paid-up equity share capital of the company.

Key details of the dividend:

This move signals the company's commitment to delivering value to its shareholders, even as it continues to invest in its growth and operations.

Plans for Substantial Funding

In addition to the dividend announcement, POWERGRID has revealed plans to secure significant funding. The Board has approved raising funds through an Unsecured Rupee Term Loan or Line of Credit (Bank Facility) of up to Rs 60 billion from the State Bank of India (SBI).

This substantial funding initiative suggests that POWERGRID may be preparing for major investments or expansions. The choice of an unsecured loan indicates the company's strong credit standing and relationship with SBI.

Financial Performance Highlights

The company has released its unaudited financial results for the quarter and half-year ended September 30, 2025. These results have been reviewed by the Audit Committee and approved by the Board of Directors.

Looking Ahead

The combination of a dividend payout and plans for substantial funding indicates a balance between shareholder returns and future growth initiatives. As POWERGRID moves forward with these plans, stakeholders will be keen to see how the company utilizes the new funding and what impact it may have on its operations and market position in the power transmission sector.

Investors and market analysts will likely be watching closely to see how these decisions might affect POWERGRID's financial health and stock performance in the coming months.