THEBUSINESSBYTES BUREAU
NEW DELHI, JULY 29, 2026
Vedanta Power Ltd, the recently listed power generation
company carved out of Vedanta Resources Ltd, reported a healthy rise in revenue
for the first quarter of FY27, driven by a sharp increase in electricity sales
and higher power generation across its key assets. However, the company slipped
into the red during the quarter as higher operating costs weighed on
profitability.
The company's standalone revenue rose to ₹1,844
crore in the quarter ended June 30, 2026, compared with ₹1,734 crore in the corresponding quarter of the previous
financial year. Consolidated income registered an even stronger growth,
increasing to ₹2,616 crore from ₹1,991 crore in the year-ago
period.
Power sales during the quarter surged 38 per cent
year-on-year, supported by improved generation and a stable offtake portfolio.
Vedanta Power said that 74 per cent of its electricity sales were backed by
long-term and medium-term power purchase agreements (PPAs) in Punjab and
Odisha, providing greater revenue visibility. The company also has a 500 MW
power supply agreement with Tamil Nadu and recently secured a 100 MW contract
with Kerala, further strengthening its contracted capacity.
Despite the robust operational performance, the company
reported a standalone net loss of ₹449 crore in the
April-June quarter, compared with a net profit of ₹75 crore in the same period
last year. On a consolidated basis, Vedanta Power posted a loss of ₹423 crore, against a profit of ₹88
crore in the corresponding quarter of FY26.
Higher operating costs impacted earnings during the quarter.
Standalone total expenses rose to ₹1,985 crore in Q1 FY27
from ₹1,638 crore a year earlier, according to the company's filing with the BSE.
Commenting on the results, Vedanta Power Chief Executive
Officer Rajinder Singh Ahuja said the company's maiden quarter as a standalone
listed entity marked a significant milestone in its growth journey.
"Our maiden quarter as a standalone listed company marks
an important milestone for Vedanta Power. Strong revenue and power sales,
backed by operational excellence, fuel security, improved credit ratings and
sustainability initiatives, demonstrate the resilience of our business and
future readiness," Ahuja said.
Chief Financial Officer Pankaj Jha said the company's first-quarter performance underscored the strength of its diversified business model and positioned it well to execute its growth pipeline while creating sustainable value for stakeholders.
The quarterly performance reflects Vedanta Power's continued focus on expanding its contracted power portfolio and improving operational efficiencies, even as rising costs affected bottom-line performance during its first reporting period as an independent listed company.
