Why Did Power Grid Corporation’s Share Price Jump 8% Today?

SYNOPSIS: Power Grid highlighted strong FY26 execution momentum, with capex and capitalisation exceeding guidance, driven by higher Q3 spending, rising asset capitalisation and steady progress across its transmission project portfolio.

During Friday’s trading session, shares of a Maharatna CPSU and India’s largest electric power transmission company surged around 8 percent on the stock exchanges. So, what triggered this sharp rise? Let’s break it down in this article.

With a market cap of Rs. 2.51 lakh crores, shares of Power Grid Corporation of India Limited (PGCIL) closed in the green at Rs. 270.15 on BSE, up by around 8 percent, as against its previous closing price of Rs. 251.05. The stock has delivered negative returns of around 5 percent in the last one year, and has fallen by over 6 percent in the last six months.

Investor Presentation Q3 FY26

Power Grid Corporation of India Limited (PGCIL) shared key takeaways for its investors during the analyst meet on 2nd February, highlighting a strong pickup in both capital expenditure and asset capitalisation in FY26.

Management indicated that capex and capitalisation for the year remain firmly on track and are now expected to exceed the company’s earlier annual guidance, supported by healthy execution momentum.

Consolidated capex during Q3 FY26 stood at Rs. 11,376 crore, up from Rs. 7,649 crore in Q3 FY25, while cumulative capex for the first nine months of FY26 increased to Rs. 26,761 crore from Rs. 17,651 crore a year ago. 

On the capitalisation front, Q3 FY26 saw assets worth Rs. 9,027 crore capitalised compared with Rs. 3,417 crore in Q3 FY25. For the nine-month period, capitalisation rose to Rs. 12,915 crore from Rs. 7,423 crore last year. 

As of 31st January 2026, Power Grid’s cumulative capex had already reached around Rs. 29,200 crore, surpassing its earlier FY26 guidance of Rs. 28,000 crore, while cumulative capitalisation stood at ~Rs. 18,700 crore. The strong numbers underscore robust project execution and steady progress across the company’s transmission portfolio.

Financials

For the quarter, PGCIL posted a consolidated revenue from operations of Rs. 12,395 crores, reflecting a sequential growth of around 8 percent QoQ compared to Rs. 11,476 crores in Q2 FY26. Likewise, on a year-on-year basis, revenue grew marginally by over 10 percent from Rs. 11,233 crores recorded in Q3 FY25.

Net profit for the quarter stood at Rs. 4,185 crore, indicating a rise of around 11 percent QoQ from Rs. 3,566 crores in Q2 FY26, as well as an increase on a year-on-year basis by nearly 8 percent from Rs. 3,862 crores reported in Q3 FY25.

Power Grid Corporation of India Limited, a Maharatna CPSE under the Ministry of Power, is mainly engaged in the business of transmission of power through its EHVAC (Extra-High-Voltage Alternating Current) and HVDC (High-Voltage Direct Current) transmission infrastructure. Notably, the company operates the world’s largest 765 kV transmission network.

As of December 2025, PGCIL’s network spans 1,566 transmission lines covering about 1.83 lakh circuit kilometres, supported by 288 substations with an aggregate capacity of nearly 5.99 lakh MVA. Its inter-regional transfer capacity stands at around 101 GW, accounting for about 84 percent of India’s total, while system availability remains extremely high at 99.84 percent.

The infrastructure includes over 2.92 lakh transmission towers, 18 HVDC substations, 70 substations at 765 kV, 169 substations at 400 kV, and 31 substations below 400 kV. This is complemented by 22 SVC/STATCOM installations, 201 AIS substations, 68 GIS substations, and over 4,000 transformers & reactors. During the same period, PGCIL secured orders worth around Rs. 206 crores under its Telecom segment.

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