Vedanta Power Reports Strong Q1 FY27 Results: Revenue Jumps 31% as Credit Ratings Are Upgraded

Vedanta Power Reports Strong Q1 FY27 Results: Revenue Jumps 31% as Credit Ratings Are Upgraded​

Vedanta Power Limited, previously known as Talwandi Sabo Power Limited, announced its financial results for the first quarter of fiscal year 2027 (Q1 FY27), which ended on June 30, 2026. The company reported a 31% year-on-year rise in revenue and witnessed significant improvements in its operational efficiency and credit profile.

The power sales for the quarter surged by 38% year-on-year, reaching 5,224 million units (MU). Total revenue reached Rs. 2,607 Crores, while EBITDA stood at Rs. 291 Crores. In addition to the operational successes, Vedanta Power saw its creditworthiness improved, with ratings upgraded to CRISIL AA+ (CE) and ICRA AA-/A1+. The company maintained a healthy liquidity position, reporting Rs. 1,130 Crores in cash equivalents.

Operational Excellence Across Asset Portfolio​

Vedanta Power is noted as India's fifth-largest private sector merchant thermal power producer, boasting a capacity of 4,180 MW. The company operates four geographically diversified plants: Talwandi Sabo Thermal Plant (TSTP) in Punjab, Meenakshi Energy Limited (MEL) in Andhra Pradesh, Jharsuguda Independent Power Plant in Odisha, and Sakti Thermal Power Plant in Chhattisgarh.

A key operational achievement was the implementation of sustainable practices at TSTP, which recorded the highest biomass co-firing rate across all assets in the National Capital Region (NCR) at approximately 7.92%. This focus on sustainability is complemented by a strong commitment to resource management; Vedanta Power achieved 86% ash utilization for the quarter and reduced freshwater consumption by 17% year-on-year.

Key Financial Performance Highlights (Q1 FY27)​

The Q1 results demonstrate the resilience of the company’s diversified business model, underpinned by strengthened financial health and resource security.

Plant Performance Details​

Meenakshi Energy Limited achieved its highest quarterly EBITDA of Rs. 112 Crores (+20% QoQ), having sold 1,350 MU. The company is currently transitioning from imported to 100% domestic coal at MEL to ensure better future margins and revenue visibility.

TSTP showed marked improvement, with the Plant Availability Factor (PAF) rising from 77% to 86%. Furthermore, TSTP doubled its ash revenues year-on-year by enhancing sales realization. Vedanta Power also advanced operational efficiency through ITMS implementation, which reduced truck turnaround time by up to 50%.

Management View and Growth Strategy​

Rajinder Singh Ahuja, Chief Executive Officer of Vedanta Power Limited, stated that the maiden quarter as a standalone listed company marked an important milestone, demonstrating business resilience backed by strong revenue and fuel security. He also noted that Unit 2 at the Sakti plant remains on track for commissioning in Q4 FY27.

Pankaj Jha, Chief Financial Officer, commented that the improved credit ratings, coupled with the healthy liquidity position and long-term coal security, keep the company well positioned to support its growth pipeline.

The company’s medium-term strategy includes growing its thermal power generation business to 12 GW through organic expansion at Sakti. Furthermore, Vedanta Power is currently evaluating the acquisition of a coal block based on commercial benefit.

VEDPOWER Stock Price Movement​

Vedanta Power Limited saw its shares decline today, settling at ₹35.32 after shedding 0.48% from the previous close. The stock traded over 16.95 million shares during the session, moving within a daily range defined by a low of ₹34.7 and a high of ₹36.26.