GE Vernova T&D India Ltd

Financial Performance

• Revenue for quarter: INR 18.4 billion; up 38% YoY from INR 13.3b
• Gross margin: 41.3% in Q1; vs 48.4% YoY; FY25-26 margin 45.3%
• EBITDA margin: 25.1% for Q1; in line with mid-20s guidance
• Profit before tax: INR 4.9 billion in Q1; vs INR 3.9b prior year
• Order intake: INR 11.4 billion in Q1
• Backlog: INR 209.3 billion as of Jun-26; QoQ -2.5%
• Backlog stands at >3 years of FY25-26 revenue
• Cash generated in quarter: INR 4.3 billion; total cash incl. pool: INR 29.3 billion
• Cash utilization plan: ~INR 13 billion; includes INR 10b capex and INR 2.5b dividend ( approvals needed)
• Export share: 46% of Q1 orders; exports accounted for 30% of quarterly revenue

Operating Update

• commissioned first 400 kV substation in Nepal (Khimti) for NEA
• commissioned/added transformation capacity for PGCIL, Resonia, NLP; new bays for Renew, Adani, DVC
• 400 kV GIS order from GE Vernova entities in Spain and Morocco; 155 MVA 245 kV transformers for semiconductor customer
• CTs and CVTs from GE Vernova North America; large RPT order under discussion; finalization in 3–6 months
• Export diversification now 46% of Q1 orders; external orders rising from GE Vernova group
• US data center order INR 1,300 crores RPT not booked yet; timeline Q2/Q3 FY27

Balance Sheet and Cash Flow

• Cash balance including cash pool: INR 29.3 billion as of Jun-26
• Cash generation in quarter: INR 4.3 billion
• Net debt: zero debt position; finance costs negligible

Projects and Capex

• Capex plan: INR 10 billion announced; ongoing capacity expansion
• Surplus cash beyond plan: roughly INR 16 billion
• Utilization plan of INR 13 billion implied; includes capex and dividend

Outlook and Guidance

• Guidance: mid-20s EBITDA for the full year; maintained
• Domestic demand: 6–7% growth possible; not expected to be double-digit
• HVDC backlog to see meaningful growth from FY29 onward

Q&A Highlights

• Q: US data-center order status; A: Not booked yet; expected in Q2/Q3
• Q: INR 3,000 crore RPT; A: On hold by customer; AGM Sep revalidation; unlikely to close by Sep
• Q: HVDC pipeline; A: Bids submitted; August/September decision expected
• Q: Domestic orders growth; A: Pipeline improving; full-year growth not double-digit; 6–7% possible
• Q: Margin guidance; A: Maintain mid-20s EBITDA for the year

Risks and Watchpoints

• RPT approvals total ~INR 4,300 crores; INR 3,000 crores expire at AGM; INR 1,300 crores remaining
• RPT-related delays depend on customer reactivation; approvals at AGM are not assured
• Commodity price volatility; pass-through clauses in transformers; lag in non-transformer pricing
• Domestic TBCB pipeline volatility; project timings influenced by policy and tender cycles
• HVDC project execution timing could defer revenue to future years

Overview

• Standalone BRSR for GE Vernova T&D India Limited, core electrical equipment manufacturing.
• Reporting boundary: standalone, not consolidated, for FY2025-26.
• Five Indian plants and eight domestic offices; three international offices.
• Markets span 28 Indian states and 65 countries; exports ~31% of turnover.
• Main product lines include transformers, control panels, equipment, and grid construction services.

Key ESG Risks & Opportunities

• Occupational health and safety risk in the value chain; mitigated via contractor pre-qualification and EHS audits.
• Energy efficiency adoption presents growth in grid modernization and renewable integration.
• Climate resilience and operational continuity require risk assessments and robust business continuity plans.
• Circular economy and product lifecycle management under 4R framework; 90% top products by 2030.
• Scope 3 emissions management planned; inventory and supplier engagement to reduce footprint.
• Data privacy and cybersecurity risk; robust framework aligned with DPDP Act compliance.

Governance & Policy Highlights

• Sustainability Committee with independent chair; MD/CEO and CFO are members; appointed May 2026.
• Board oversight includes anti-corruption policy and whistleblower/vigil mechanisms; Code of Conduct enforced.
• Policies translated into procedures; extends to value chain; ISO 9001/14001/45001 certified.
• GE Vernova group policies guide many ESG policies; some policies board-approved.
• Independent assurance by Forvis Mazars; BRSR Core reasonably assured; other disclosures limited assurance.
• External EcoVadis Platinum rating referenced for GE Vernova Electrification; not specific to India entity.

Social Responsibility & Workforce

• Total workforce: 1,697 (1,183 permanent; 514 non-permanent; 705 workers).
• Gender diversity: Board 2 female of 9; KMP 1 female of 3.
• LTIFR: employees 0; workers 0.14; total injuries: employees 2; workers 1.
• Well-being spend: 0.46% of revenue; retirement benefits cover PF/ESI/gratuity.
• Accessibility and equal opportunity policies in place; 100% health/welfare training coverage for employees.
• Vigil Mechanism (Ombuds) for grievances; multiple channels including anonymous reporting.

Environmental Performance

• Total energy: 141,496.5 GJ; renewables 102,071.9 GJ; non-renewables 39,424.6 GJ.
• Renewable electricity reporting at 100% under market-based method via RECs; Scope 2 emissions shown as zero.
• GHG: Scope 1 4,611.44 tCO2e; Scope 2 0 tCO2e; intensity 0.07 per MINR; PPP intensity 1.51.
• Water: withdrawals 87,894.3 KL; consumption 79,675.7 KL; intensity 1.28; ZLD at 4 of 5 plants.
• Waste: total 3,983.11 tonnes; recycled 1,142.97; reused 2,141.02; disposed 699.15; zero landfill noted.
• ISO 14001/45001 certifications; 4R circularity target: 90% of top products by 2030.

Stakeholder Engagement & Complaints

• Stakeholders include shareholders, customers, employees, value chain partners, communities, and regulators.
• Engagement channels: AGMs, investor calls, surveys, town halls, supplier audits, and regulatory communications.
• Shareholders filed 84 complaints; 2 pending at year-end; employees 27 complaints; 6 pending.
• Customers filed 114 complaints; 34 pending; other categories reported as well.
• Grievances addressed via Vigil Mechanism; ongoing engagement informs policy and process improvements.

Other Notable Metrics

• Related-party transactions: purchases 7.89%; sales 29.01%; loans 100%; investments Nil.
• RPTs highlighted as governance and disclosure focus; supplier code of conduct influencing SRG.
• Product safety and quality measures aligned with ISO 9001 and GE Vernova standards; CAPA processes.
• Lifecycle and circularity focus: non-disclosure of product-specific turnover shares; ongoing LCA/EPD work.
• Data privacy disclosures exist; POSH framework in place; no data breach incidents reported.

Financials

• Revenue from operations: ₹62,063.1 million for FY2025-26.
• Profit before tax: ₹16,497.2 million.
• Profit after tax: ₹12,332.5 million.
• Basic EPS: ₹48.16 per share.
• Final dividend proposed: ₹10 per share; payout ≈₹2,560.5 million.
• Cash balance ₹24,987.6 million; company is debt-free.
• Capex commitments: ₹10.5 billion.
• Exports contributed 33% of revenue and 8% of the order book.

Backlog & bookings

• Order bookings: ₹147.8 billion; up 37% YoY.
• Order backlog: ₹214.6 billion.
• Exports expanded to Europe, SE Asia, Middle East and Africa.
• Exports share of revenue: 33% for FY2025-26.

Capex & manufacturing expansion

• Capex commitments announced: ₹10.5 billion.
• HVDC/FACTS manufacturing lines planned in Chennai.
• Vadodara capacity to grow by over 50% for transformers/reactors.
• GIS/AIS capacity expansions at Hosur and Padappai by ~25%.
• New manufacturing lines for LCC HVDC and VSC STATCOM at Hosur.

Dividends & shareholder value

• Final dividend proposed ₹10 per equity share; payout ₹2.56 billion if approved.
• Earlier, final dividend ₹5 per share approved in Sep 2025.
• Make in India localization and manufacturing footprint expansion supported by internal accruals.

Governance & leadership changes

• Mr. Rakesh Nath ceased as Independent Director from June 1, 2025.
• Ms. Rashmi Joshi appointed Independent Director from March 20, 2026.
• Mr. Sandeep Zanzaria reappointed MD & CEO for 3 years from April 17, 2026.
• Mr. Sanjay Sagar reappointed Independent Director for 2025-30.
• Mr. Marco Simiano appointed Additional Director from July 1, 2026.

CSR & ESG

• CSR outlay ₹74.0 million; spent ₹73.42 million in FY2025-26.
• CSR pillars: Education, Healthcare, Rural Development, Livelihood, Environment.
• PM CARES contribution ₹0.6 million disclosed in CSR notes.

Audit & controls

• Deloitte Haskins & Sells re-appointed as statutory auditors for 2026-31.
• Auditors' report is unqualified; no fraud reported to Audit Committee.
• Internal controls over financial reporting deemed adequate and operating effectively.

Outlook & risks

• India’s power sector to attract substantial investments; HVDC expansion through 2032-36.
• HVDC, digital substations, DERMS to drive grid modernization demand.
• Cybersecurity and supply chain risks identified; mitigation ongoing.

AGM Details

• Date and mode: 9 September 2026, 3:00 PM IST, VC/OAVM.
• Deemed venue: Registered Office.
• E-voting cut-off: 2 September 2026.
• AGM to be held via VC/OAVM; deemed venue the registered office.

Resolutions Proposed

• Adopt Audited Financial Statements for year ended 31 March 2026.
• Declare final dividend of ₹10 per equity share.
• Re-appoint Sushil Kumar as Director liable to retire by rotation.
• Re-appoint Deloitte Haskins & Sells as Statutory Auditors.
• Ratify Cost Auditor remuneration for FY2026-27.
• Appoint Marco Simiano as Non-Executive Non-Independent Director.
• Re-appoint Sushil Kumar as Whole-time Director & CFO for 2027–2031.
• Pay Non-Executive Directors’ remuneration for five years from 2026.
• Approve material RPTs with LM Wind Power Blades (India) Pvt Ltd.
• Approve material RPTs with GE Vernova Inc.
• Increase section 186 limits to ₹51,000 million.

Dividend Details

• Dividend: final ₹10 per equity share; payable if approved.
• Record date for dividend: 21 August 2026.

Material Related Party Transactions

• LM Wind Power Blades (India) Pvt Ltd: cash pool lending up to ₹10,000m; one-year loans up to ₹41,000m.
• GE Vernova Inc.: parent guarantee for LM Wind lending; business support up to ₹50m.

Auditors & Directors

• Deloitte Haskins & Sells re-appointed as Statutory Auditors for 2026–2031.
• Marco Simiano appointed as Non-Executive Non-Independent Director (from July 1, 2026).

Record Date / Voting Details

• Remote e-voting window: Sep 5–8, 2026.
• AGM attendance via VC/OAVM; joining window starts 2:30 PM IST.
• Cut-off for voting: 2 September 2026.

Dividend tax and related requirements

• Board recommended final dividend of Rs 10 per equity share for FY 2025-26, subject to member approval.
• Record date fixed at 21 Aug 2026; dividend paid electronically.
• Dividend will be paid after applying TDS at applicable rates; rate depends on residence and documents.
• Resident: 10% TDS with valid PAN if annual dividend > Rs 10,000; 20% otherwise.
• Non-resident: 20% or treaty rate; TRC and Form 41 required; SEBI/FII docs as applicable.
• Non-residents from Notified Jurisdictional Area face 30% TDS.
• Documents to be uploaded as one PDF to MUFG portal by 24 Aug 2026; physical copies to MUFG Kolkata.
• Self-attestation required; incomplete docs incur maximum rate deduction.
• KYC updation for physical folios by 24 Aug 2026; electronic payments only after KYC.
• Dividend bank details must be updated; demat with DP; physical via NACH to MUFG.

Meeting Details

• Date and time: August 7, 2026, 4:00 PM IST.
• Type and mode: earnings conference call; audio conference.
• Organiser: GE Vernova T&D India Limited.
• Key participant: Company Secretary & Compliance Officer.
• Purpose: discuss unaudited quarterly results for quarter ended June 30, 2026.
• Recording: audio recording uploaded on the company website.

Business Overview

• Manufactures grid equipment (transformers, switchgear, GIS/AIS) and executes utility EPC projects.

Operational Highlights

• Commissioned 220 kV and 400 kV GIS bays at Khimti, Nepal.
• Commissioned 400 kV bays for KPS-3 and RTM package at Khavda, Gujarat.
• Commissioned 110 MVAr 765 kV 1-ph shunt reactors at Bareilly.
• Commissioned 275 MVA 765 kV 1-ph generator transformers at NUPPL Ghatampur.
• Commissioned 125 MVAr 420 kV 1-ph shunt reactors at Beawar.
• Commissioned 400 kV Outdoor GIS Bays and GIB at Renew Power Badla.
• Commissioned 765 kV CBs and CSD for Tata Powergrid Bikaner.
• Korba Power, Adani-Korba: commissioned 400 kV CBs.
• Commissioned 765kV CBs and CSD for BHEL Powergrid, Sikar.
• Commissioned 220 kV line bay for DVC Chandrapura Thermal Power Station, Jharkhand.
• Cash generation ₹4.3bn in the quarter; available cash ₹29.3bn.
• Orders booked: CTs and CVTs from GE Grid Renewable LLC for North America.
• Supply of 400 kV GIS from GE Grid Solutions, S.A. for Spain.
• Supply of 150 MVA, 245 kV transformer for a leading semiconductor client.
• Grid automation packages for utilities, EPCs and data centers.
• Export orders of AIS/GIS equipment to North America, Europe, Middle East and Africa.

Financial Performance

• EBITDA ₹4,608m with 25.1% margin.
• Profit before tax ₹4,871m; PBT margin 26.5%.
• Cash generation ₹4.3bn; available cash ₹29.3bn.

Liquidity & Capital Structure

• Cash balance available ₹29.3bn; no debt details disclosed.
• No material financing actions disclosed.

Strategic Outlook

• Discipline execution and grid system integration; growth via international orders.