TARIL guides to 25% revenue growth, 16% EBITDA margin for FY27
After a record order quarter, management sets margin targets and reaffirms $1B FY29 ambition. Q1 profit slipped 17%.
— 4 earlier stories on Transformers & Rectifiers (India) Ltd. →What's new
- Order book hits ₹6,630 cr; inflow jumps 218% to ₹2,114 cr
- FY27 guidance: 25% standalone revenue growth, 16% standalone EBITDA margin
- Changodar expansion by Aug '26; backward integration through early FY28
Why this matters
Management's explicit FY27 guidance of 25% revenue growth and 16% standalone EBITDA margin provides a clear trajectory after Q1's profit slip. The record order book and $1B ambition show the company is capturing the transmission capex cycle.
What we're watching
- Execution on Changodar ramp up and its impact on revenue
- Margin trajectory against the 16% standalone target
- Whether the $1B FY29 ambition requires additional capex beyond current plans
The full read
TARIL's Q1 call delivered clarity on the numbers that matter. The existing order book of ₹6,630 crore (roughly 11 times quarterly revenue) gives strong visibility. The story, however, is in margins. Q1 profit slipped 17% on cost pressure; management targets 16% standalone EBITDA margin for FY27, implying cost absorption as capacity scales. The ₹1,000 crore+ PGCIL order that drove 218% inflow growth validates the pipeline. Hardly. The guidance is the real news: 25% revenue growth, with margins expanding from Q1's dip. Changodar capacity opens by August; backward integration runs through early FY28. The $1 billion FY29 ambition is plausible if margins hold. The next test: whether the next quarter shows margin recovery from Q1's dip.
Questions answered
- What is the current order book and how has it grown?
- The unexecuted order book stood at ₹6,630 crore as of June 30, up 26% year-on-year, with quarterly inflows of ₹2,114 crore (up 218%).
- What are the key revenue and margin targets for FY27?
- Management guided to 25% standalone revenue growth, a 16% standalone EBITDA margin, and a consolidated EBITDA margin of 20-21% for FY27.
- What is the capacity expansion timeline?
- The Changodar expansion is targeted for completion by August 2026, while backward integration projects (CTC and bushings) are scheduled for phased commissioning through early FY28.
- What is the $1 billion target and its timeline?
- TARIL reaffirmed its ambition to reach $1 billion in revenue by FY29, which management believes is achievable with existing transformer capacity and integration facilities supporting annual revenue of ₹7,000-8,000 crore.
- How does the guidance compare with Q1 performance?
- Q1 standalone net profit slipped 17% YoY to ₹49.87 crore, though revenue grew 9.5%. The FY27 guidance implies a significant acceleration in both revenue growth and profitability.
Transformers & Rectifiers (India) Ltd.
Latest quarter · Jun 2026
Strength & growth
Story so far
All notes on TARIL →- 21 Jul 2026 · 5:22 PM IST TARIL guides to 25% revenue growth, 16% EBITDA margin for FY27
- 1d ago Transformers & Rectifiers' order book hits record ₹6,630 cr on 218% inflow surge
- 1d ago Transformers & Rectifiers revenue up 9.5% but profit slips 17% on costs
- 21d ago TARIL bags record ₹1,000 cr+ order from Power Grid
- 61d ago Transformers & Rectifiers lands ₹228 cr order from Gujarat utility