CG Power & Industrial Solutions has submitted its quarterly compliance report to stock exchanges, confirming no deviation in the utilisation of funds raised through its Qualified Institutions Placement (QIP) for the quarter ended 31st December, 2025. The statement, filed under Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, was reviewed by the company's Audit Committee on 27th January, 2026.

QIP Fund Details and Utilisation

The company successfully raised Rs. 3,000 crores through its QIP on 4th July 2025. After adjusting for issue-related expenses of Rs. 26.03 crores including GST, the net proceeds available for utilisation stand at Rs. 2,973.97 crores. As of the quarter ended 31st December, 2025, the company has utilised Rs. 274.37 crores across its planned strategic initiatives.

Fund Allocation and Progress

The QIP proceeds have been allocated across multiple strategic objectives, with the largest allocation directed towards semiconductor operations:

Strategic Investment Focus

The primary focus of fund utilisation has been on the company's semiconductor subsidiary, CG Semi Private Limited, which received Rs. 184.67 crores for establishing an Outsourced Semiconductor Assembly and Test (OSAT) facility. This represents the largest single utilisation from the QIP proceeds during the quarter.

Additionally, Rs. 63.44 crores has been deployed towards setting up a power transformer plant, aligning with the company's core electrical equipment manufacturing business. The company has allocated funds for acquisitions and inorganic growth opportunities, though no utilisation has occurred in this category during the reporting quarter.

Compliance and Monitoring

CARE Ratings Limited serves as the monitoring agency for the QIP fund utilisation. The quarterly statement confirms that there has been no deviation in the objects or purposes for which the funds were raised, no deviation in the amount of funds utilised against original disclosures, and no changes in contract terms from the original fund-raising documents.

The Audit Committee and auditors have provided no adverse comments on the fund utilisation pattern, indicating adherence to the planned deployment strategy outlined during the QIP issuance.

CG Power & Industrial Solutions shares declined by 1.88% to Rs 538.80 in Tuesday's trading session, accompanied by increased trading volumes. The stock is a constituent of the Nifty Next 50 index and has attracted market attention amid the broader market movement.

Strong Revenue Growth Trajectory

The company has demonstrated remarkable revenue expansion over the past few years, showcasing consistent growth across multiple financial periods.

The quarterly performance also reflects this positive trend, with revenue for the quarter ending September 2025 reaching Rs 2,922.79 crore.

Profitability and Earnings Analysis

Net profit figures show some fluctuation over the years, though the company has maintained profitability throughout the period.

For the quarter ending September 2025, the company reported a net profit of Rs 284.44 crore with earnings per share of Rs 1.82.

Financial Position and Key Metrics

As of March 2025, CG Power maintains a strong financial position with several key indicators:

The zero debt-to-equity ratio indicates a conservative financial approach, while the substantial reserves and surplus demonstrate the company's retained earnings growth.

Corporate Actions and Shareholder Returns

CG Power has maintained a consistent approach to shareholder returns through various corporate actions:

Recent Dividend History:

• March 2025: Interim dividend of Rs 1.30 per share (65%)
• January 2024: Rs 1.30 per share
• March 2023: Rs 1.50 per share

Upcoming Corporate Events:

• January 22, 2026: Allotment of 15,000 equity shares under ESOP Plan 2021
• January 27, 2026: Board meeting to approve unaudited financial results for nine months and quarter ended December 31, 2025

The company has also undertaken bonus issues and stock splits in previous years, including notable bonus ratios of 3:4 in January 2010 and 2:5 in October 2006, along with a stock split in August 2006 that changed the face value from Rs 10 to Rs 2.

Market Sentiment and Index Inclusion

Despite the day's decline, CG Power remains a constituent of the Nifty Next 50 index. Current market analysis indicates bearish sentiment for the stock, though the company's fundamental financial performance continues to show growth across key revenue metrics.