Sector Alpha

Track where the smart money flows in Indian equities

DashboardWeekly UpdateUploadPipelinePE CyclesBrainAbout

Data updated weekly. Not financial advice.

Sector Alpha
  1. Home
  2. /Momentum
  3. /Electrical Equipments/HVDC
  4. /Quality Power Electrical Equipments Ltd
MomentumDeep Value

Quality Power Electrical Equipments Ltd: Stock Analysis & Fundamentals

Updated this week

Quality Power Electrical Equipments Ltd (Electrical Equipments/HVDC) — fundamental analysis, earnings data, and key metrics. PE: 62.3. ROE: 22.1%. This stock is not currently in the Nifty 500 momentum outperformers list.

What's Happening

📊Debt increased 300% YoY — leverage rising
🌐FII stake decreased 1.9% this quarter
🏛️DII reducing — stake down 2.8%

Earnings Acceleration Triggers

1. ₹500 Crore Order Book Conversion (12+ Months Visibility)
Q4 FY26 - Q2 FY27HIGH
2. Consolidated Operations Scale-Up Delivering 250%+ YoY Revenue Growth
Q4 FY26 - H1 FY27HIGH
3. Operating Leverage & Fixed Cost Absorption at 28% EBITDA Margin
Q4 FY26 onwardsMEDIUM

Key Risks

1. Order Book Execution Delays or Quality Issues
MEDIUM
2. Input Cost Inflation & Margin Compression
MEDIUM
3. Sukrut Electric Integration Risk or Impairment
MEDIUM

Key Numbers

Current Price
₹861
Dividend Yield
0.12%
Market Cap
6.7K Cr
Valuation
N/A

Why Are Quality Power Electrical Equipments Ltd's Earnings Accelerating?

Based on Q3 FY26 earnings • Updated Feb 22, 2026

₹500 Crore Order Book Conversion (12+ Months Visibility)

Expected: Q4 FY26 - Q2 FY27HIGH confidence+₹150 Cr revenue

What: Management guided to ~₹500 cr order book, 3x prior year revenue, providing execution pipeline for 4+ quarters at current run-rates with strong visibility to support ₹1,100+ cr annualized revenue.

Impact: +₹150 Cr revenue

“We have about 500 crores which is about three times what we closed last year in revenue. Going forward we would focus a lot more on execution and from here till June we think we have another four [quarters of visibility].[1]”

Consolidated Operations Scale-Up Delivering 250%+ YoY Revenue Growth

Expected: Q4 FY26 - H1 FY27HIGH confidence

What: Subsidiary consolidation and improved capacity utilization driving 250% YoY revenue growth with operating leverage expanding EBITDA margins to 28%; further margin expansion as fixed costs absorb higher volume.

“Consolidated total income for the quarter ₹2,843 million representing a quarter-on-quarter growth of over 30% and more than 250% increase compared to the same quarter last year. Aided by scale up in consolidated operations, robust order execution, improved capacity utilization and higher operating scale.[1]”

Operating Leverage & Fixed Cost Absorption at 28% EBITDA Margin

Expected: Q4 FY26 onwardsMEDIUM confidence

What: EBITDA margin expanded to 28% through better execution and disciplined cost control; additional 50-100 bps margin expansion possible as volume scales further with fixed cost absorption.

“EBITDA margin improved to about 28%. This was supported by operating leverage and discipline control of fixed cost.[1]”

Sukrut Electric Portfolio Expansion & Diversification

Expected: Q4 FY26 onwardsMEDIUM confidence+₹40 Cr revenue

What: Company expanded portfolio with Sukrut Electric stake, adding new product lines and customer segments to electrical equipment ecosystem; revenue contribution expected from Q4 FY26 onwards.

Impact: +₹40 Cr revenue

“Quality Power posts record Q3 revenue and profit, expands portfolio with Sukrut Electric stake[4]”

What Are the Key Risks for Quality Power Electrical Equipments Ltd?

Earnings deceleration risks from management commentary

Order Book Execution Delays or Quality Issues

MEDIUM

Trigger: QoQ revenue growth dips below 15-20%; order depletion rate slows

Management view: Management emphasized better advanced planning of critical processes, suggesting awareness of execution risks; focused on execution through June period.[1]

Monitor: Sequential QoQ revenue growth rate; order book conversion ratio (quarterly revenue vs order book ÷ quarters)

Input Cost Inflation & Margin Compression

MEDIUM

Trigger: RM costs as % of revenue spike above historical 40-45% or power costs increase >10%

Impact: 250 bps margin impact

Management view: No explicit hedging guidance; management commentary focused on disciplined cost management and pricing power via discipline control.[1]

Monitor: Gross margin % QoQ; RM cost inflation indicators; pricing realization vs peers; power cost trends

Sukrut Electric Integration Risk or Impairment

MEDIUM

Trigger: Sukrut revenue contribution misses guidance by >20%; regulatory action or key customer loss

Management view: Limited detail on Sukrut deal structure in available transcripts; requires ongoing monitoring of integration commentary.[4]

Monitor: Sukrut segment revenue disclosure; asset quality metrics; any goodwill/intangible asset impairment announcements

Consolidated Entity Margin Deterioration or Capacity Underutilization

HIGH

Trigger: Consolidated EBITDA margin falls below 25%; QoQ capacity utilization trends downward

Impact: 300 bps margin impact

Management view: Q3 showed healthy growth and improved execution; early-stage consolidation, so execution risk remains if market conditions deteriorate.[1]

Monitor: Consolidated vs standalone margin tracking; subsidiary capacity utilization %; order book flow rate

What Is Quality Power Electrical Equipments Ltd's Management Saying?

Key quotes from recent conference calls

“Execution improved meaningfully across organizations driven by better advanced planning of critical [processes] — Management”
“Consolidated total income for the quarter ₹2,843 million representing a quarter-on-quarter growth of over 30% and more than 250% increase compared to the same quarter last year. Aided by scale up in consolidated operations, robust order execution, improved capacity utilization and higher operating scale. — Management”
“Overall, the quarter reflects healthy growth in income and profitability driven by better execution, operating leverage and disciplined cost management. — Management”
“EBITDA margin improved to about 28%. This was supported by operating leverage and discipline control of fixed cost. — Management”

What Is Quality Power Electrical Equipments Ltd's Management Guidance?

Forward-looking targets from management for FY27

Revenue Growth Target

30%

Implied PAT Growth

40%

Management Tone: BULLISH

Key Milestones

• ₹500 cr order book conversion over next 4 quarters

• Sukrut Electric integration and revenue contribution from Q4 FY26

• Consolidated capacity utilization ramp to full levels

• Sustained 28%+ EBITDA margin maintenance as volume scales

The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Feb 22, 2026.

Other Top Electrical Equipments/HVDC Stocks Beating Nifty 500

Hitachi Energy India Ltd
Average • 7w streak
+46.1%
GE Vernova T&D India Ltd
Average • 8w streak
+33.5%
← Back to Electrical Equipments/HVDCDashboard

Frequently Asked Questions: Quality Power Electrical Equipments Ltd

Based on publicly available financial data. This is educational research, not investment advice.

What were Quality Power Electrical Equipments Ltd's latest quarterly results?

Quality Power Electrical Equipments Ltd's latest quarterly results (Dec 2025) show

  • PAT Growth YoY: +215.0%
  • Revenue Growth YoY: +289.0%
  • Operating Margin: 28.0%

What is Quality Power Electrical Equipments Ltd's current PE ratio?

Quality Power Electrical Equipments Ltd's current PE ratio is 62.3x.

  • Current PE: 62.3x
  • Market Cap: 6.7K Cr
  • Dividend Yield: 0.12%

What is Quality Power Electrical Equipments Ltd's price-to-book ratio?

Quality Power Electrical Equipments Ltd's price-to-book ratio is 14.2x.

  • Price-to-Book (P/B): 14.2x
  • Book Value per Share: ₹61
  • Current Price: ₹861

Is Quality Power Electrical Equipments Ltd a fundamentally strong company?

Quality Power Electrical Equipments Ltd's fundamental strength based on key financial ratios

  • Return on Capital (ROCE): 27.0%

Is Quality Power Electrical Equipments Ltd debt free?

Quality Power Electrical Equipments Ltd has a debt-to-equity ratio of N/A.

  • Total Debt: ₹36 Cr

What is Quality Power Electrical Equipments Ltd's return on equity (ROE) and ROCE?

Quality Power Electrical Equipments Ltd's return ratios over recent years

  • FY2023: ROCE 28.0%
  • FY2024: ROCE 31.0%
  • FY2025: ROCE 27.0%

Is Quality Power Electrical Equipments Ltd's cash flow positive?

Quality Power Electrical Equipments Ltd's operating cash flow is positive (FY2025).

  • Cash from Operations (CFO): ₹62 Cr
  • Free Cash Flow (FCF): ₹-38 Cr
  • CFO/PAT Ratio: 62% (adequate)

What is Quality Power Electrical Equipments Ltd's dividend yield?

Quality Power Electrical Equipments Ltd's current dividend yield is 0.12%.

  • Dividend Yield: 0.12%
  • Current Price: ₹861

Who holds Quality Power Electrical Equipments Ltd shares — promoters, FII, DII?

Quality Power Electrical Equipments Ltd's shareholding pattern (Dec 2025)

  • Promoters: 73.9%
  • FII (Foreign): 2.0%
  • DII (Domestic): 6.0%
  • Public: 18.1%

Is promoter holding increasing or decreasing in Quality Power Electrical Equipments Ltd?

Quality Power Electrical Equipments Ltd's promoter holding has remained stable recently.

  • Current Promoter Holding: 73.9% (Dec 2025)
  • Previous Quarter: 73.9% (Sep 2025)
  • Change: 0.00% (stable)

Is Quality Power Electrical Equipments Ltd a new momentum entry or an established outperformer?

Quality Power Electrical Equipments Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.

What are the growth catalysts for Quality Power Electrical Equipments Ltd?

Quality Power Electrical Equipments Ltd has 4 key growth catalysts identified from recent earnings analysis

  • ₹500 Crore Order Book Conversion (12+ Months Visibility)
  • Consolidated Operations Scale-Up Delivering 250%+ YoY Revenue Growth
  • Operating Leverage & Fixed Cost Absorption at 28% EBITDA Margin
  • Sukrut Electric Portfolio Expansion & Diversification

What are the key risks in Quality Power Electrical Equipments Ltd?

Quality Power Electrical Equipments Ltd has 4 key risks worth monitoring

  • Order Book Execution Delays or Quality Issues
  • Input Cost Inflation & Margin Compression
  • Sukrut Electric Integration Risk or Impairment
  • Consolidated Entity Margin Deterioration or Capacity Underutilization

What did Quality Power Electrical Equipments Ltd's management say in the latest earnings call?

In Q3 FY26, Quality Power Electrical Equipments Ltd's management highlighted

  • "Execution improved meaningfully across organizations driven by better advanced planning of critical [processes] — Management"
  • "Consolidated total income for the quarter ₹2,843 million representing a quarter-on-quarter growth of over 30% and more than 250% increase compared to ..."
  • "Overall, the quarter reflects healthy growth in income and profitability driven by better execution, operating leverage and disciplined cost managemen..."

What is Quality Power Electrical Equipments Ltd's management guidance for growth?

Quality Power Electrical Equipments Ltd's management has provided the following forward guidance for FY27

  • Revenue growth target: 30%
  • Implied PAT growth: 40%
  • Management tone: bullish
  • Milestone: ₹500 cr order book conversion over next 4 quarters
  • Milestone: Sukrut Electric integration and revenue contribution from Q4 FY26

Is Quality Power Electrical Equipments Ltd worth studying for long term investment?

Based on quantitative research signals, here is why Quality Power Electrical Equipments Ltd may be worth studying

  • Cash flow is positive — CFO ₹62 Cr

What is the investment thesis for Quality Power Electrical Equipments Ltd?

Quality Power Electrical Equipments Ltd investment thesis summary:

Research Signals (Bull Case)

  • Growth catalyst: ₹500 Crore Order Book Conversion (12+ Months Visibility)

Risk Factors (Bear Case)

  • Key risk: Order Book Execution Delays or Quality Issues

What is the future outlook for Quality Power Electrical Equipments Ltd?

Quality Power Electrical Equipments Ltd's forward outlook based on current data signals

  • Key Catalyst: ₹500 Crore Order Book Conversion (12+ Months Visibility)
  • Key Risk: Order Book Execution Delays or Quality Issues

The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.