HPL Electric hits record revenue as consumer segment scales up
Annual revenue crossed ₹1,800 crore for the first time. A 26% jump in the consumer and industrial business drove the growth.
— 1 earlier story on HPL Electric & Power Ltd. →What's new
- Annual revenue reached ₹1,811 crore, a 6.5% increase year-on-year.
- Consumer and industrial segment revenue rose 25.6% to ₹784.7 crore.
- Smart metering revenue recovered sequentially in Q4 after industry-wide disruptions.
Why this matters
The shift toward a dual-engine model reduces reliance on the volatile smart metering market. Higher depreciation from new capacity weighed on net profit. Yet, the 13.4% growth in cash profit shows the business is generating more value than the bottom line suggests.
What we're watching
- Whether the consumer segment maintains its 25%+ growth trajectory.
- Sustainability of the margin gains as capacity utilization ramps up.
- Full-year smart metering performance in FY27.
The full read
HPL Electric & Power crossed ₹1,800 crore in annual revenue for the first time, closing FY26 at ₹1,811 crore. Growth was anchored by the consumer and industrial segment, which surged 25.6% to ₹784.7 crore. This division now represents 43% of total revenue. It provides a hedge against the smart metering business.
Smart metering faced industry-wide execution headwinds throughout the year. It posted a sequential recovery in the final quarter. Profitability metrics improved, with EBITDA rising 10.5% to ₹281.4 crore and margins climbing 56 bps to 15.54%. Although reported net profit dipped due to depreciation from new capacity, cash profit climbed 13.4%.
Diversification is working. The company is balancing its traditional metering business with a scaling consumer portfolio. The next test is maintaining this momentum without the help of the metering sector's recovery. It is a tall order.
Questions answered
- What drove the revenue growth in FY26?
- The consumer and industrial segment, which includes wires, cables, switchgear, and lighting, grew 25.6% to ₹784.7 crore. This segment now accounts for 43% of total revenue.
- Why did reported net profit decline despite revenue growth?
- Profit was impacted by higher depreciation charges resulting from recent capacity additions. Cash profit rose 13.4% year-on-year.
- What is the status of the smart metering business?
- Smart metering revenue declined for the full year due to industry-wide execution disruptions. It showed a sequential recovery in Q4, marking its strongest quarter of the year.
- How did margins perform during the year?
- EBITDA grew 10.5% with margins rising 56 bps to 15.54%. Gross margins also improved by 97 bps to 36%.
Story so far
All notes on HPL →- 27 May 2026 · 4:39 PM IST HPL Electric hits record revenue as consumer segment scales up
- today HPL Electric & Power's investor presentation adds no new information.