HPL electric & power reports strong Q2, H1 FY2026 growth

HPL Electric & Power Limited announced a robust performance for Q2 and H1 FY2026. Its consumer and industrial (C&I) segment contributed 47% to total revenue and grew 30% in Q2 and 23% in H1. This segment, bolstered by wires, cables, switchgear, and an updated lighting portfolio, provided stability and improved margins, offsetting temporary moderation in metering revenues. The company's smart metering order book stands at over ₹3,300 crore, ensuring multi-year execution visibility.

The company expects a significant pick-up in smart meter deliveries from November 2025 to March 2026, with Q3 projected to be stronger than Q2, and Q4 seeing even more substantial growth. Overall, HPL Electric & Power anticipates finishing the year with a topline in the range of ₹1,900 crore to ₹2,000 crore. In the C&I segment, strong double-digit growth is expected, particularly in wires and cables, which grew 30% in Q1 and 24% in Q2. The company aims to double its C&I business within three years.

HPL's consolidated debtor days, including GST, improved to approximately 125 days, a reduction of 50-60 days compared to March. Inventories are expected to decrease by ₹50-60 crore in Q3 and Q4 as sales pick up. Capex on the metering front is largely complete, with future capex primarily for maintenance from FY27 onwards. The C&I segment breakdown is roughly 40% switchgear, 40% cables, and 20% lighting.