Techno Electric cuts data center targets and pushes back EPS goals
Management slashed its data center capacity target to 20 MW from 50 MW and deferred its ₹75 EPS goal by one year.
— 2 earlier stories on Techno Electric & Engineering Company Ltd. →What's new
- Data center capacity target for December 2027 cut to 15-20 MW from 50 MW.
- Management denied ever setting a ₹100 crore revenue target for the current fiscal year.
- FY27 EPS guidance lowered to ₹60 on ₹4,000 crore revenue; ₹75 EPS deferred to March 2028.
Why this matters
The company is walking back its own growth narrative. Denying prior revenue targets while simultaneously slashing capacity goals suggests a significant shift in the business outlook. Investors now face a longer wait for the earnings growth they were promised.
What we're watching
- Whether the market accepts the denial of the prior ₹100 crore revenue target.
- The next quarterly update on data center construction progress.
- Any further revisions to the FY27 revenue guidance.
The full read
Techno Electric is resetting expectations. In a conference call on Tuesday, management slashed its data center capacity target for December 2027 to 15-20 megawatts, down from the 50 megawatts previously promised. The company also pushed back its earnings growth timeline, deferring its ₹75 EPS target from FY27 to March 2028. For FY27, the company now guides to ₹4,000 crore in revenue and an EPS of ₹60. Perhaps most jarring for investors, management denied ever setting a ₹100 crore revenue target for the data center business this fiscal year, contradicting its own prior guidance. The shift is clear. The company is tempering its growth ambitions and extending its horizon for profitability. What changes from here is whether the market trusts the new, lower targets after the sudden revision of the old ones.
Questions answered
- How much has the data center capacity target changed?
- Techno Electric now expects to commission 15 to 20 megawatts of capacity by December 2027. This is a sharp reduction from the previous target of at least 50 megawatts.
- What is the new earnings guidance for FY27?
- The company expects ₹4,000 crore in revenue and an EPS of ₹60 for FY27. It previously targeted an EPS of ₹75 for that period.
- When does the company now expect to reach the ₹75 EPS target?
- The company has deferred the ₹75 EPS goal to March 2028.
- What did management say about the ₹100 crore revenue target?
- Management denied ever setting a ₹100 crore revenue target for the data center business in the current fiscal year, despite prior guidance to the contrary.
Story so far
All notes on TECHNOE →- 26 May 2026 · 4:56 PM IST Techno Electric cuts data center targets and pushes back EPS goals
- today Techno Electric recovers ₹80 cr from distressed Sankhya debt
- 3d ago Techno Electric reports 43% revenue growth in FY26