NHPC Ltd (Power - Generation/Distribution) — fundamental analysis, earnings data, and key metrics. PE: 26.4. ROE: 7.5%. This stock is not currently in the Nifty 500 momentum outperformers list.
Based on Q3 FY26 earnings • Updated Apr 19, 2026
What: Tariff Approval: 80% recognition
Impact: ₹225 Crore potential revenue
“almost Rs. 225 Crore has not been considered as revenue and that will be accounted after the tariff notification by CERC.”
What: Contract Award: Dam Package
“Today only, we opened the price bid and we are going to award this contract within this month only. With this, all the contracts will stand awarded”
What: Generation growth of 15% YoY to 25,849 MUs.
“Power Stations have achieved generation of 25,849 MUs as against 22,397 MUs... higher by about 15% and this is mainly due to commissioning of our Parbati-II”
What: ₹13,052 Crore → ₹13,300 Crore
“The CAPEX plan for the current fiscal year is Rs. 13,300 Crore”
Earnings deceleration risks from management commentary
Trigger: Historical pay anomalies and arbitration settlements.
Impact: PAT impact: ₹500 Crore (Revenue level)
Management view: Management is normalizing figures to show underlying growth.
Monitor: litigation
Trigger: Project delays of 20-25 years leading to high levelized tariffs of ₹7.50.
Management view: Management is confident that delays were beyond their control and will be allowed per CERC regulations.
Monitor: regulatory
Key quotes from recent conference calls
“2025-26 13052 (Consolidated Target) ... NHPC – CAPEX F.Y Amount (₹ In Crore) [Previous CAPEX guidance]”
“We are planning to start construction of at least two projects during this calendar year, which will add around 2000 MW or more [Initiative: Pumped Storage Projects (PSP) Expansion]”
“during Q3 of the corresponding period, we had a one-off revenue to the extent of Rs. 500 Crore, on account of pay anomalies and interest on arbitration. [Risk (litigation): MEDIUM]”
“CERC is very much clear in their regulation that any cost overrun beyond the control of the management shall be part of the capital cost [Risk (regulatory): LOW]”
Headline numbers from the latest earnings call
Revenue
₹8,800 Crore
Why: The increase in revenue is mainly due to higher generation on account of commissioning of Parbati-II Power Station.
Revenue growth was driven by the 800 MW Parbati-II project becoming operational.
PAT
₹2,306 Crore
Why: Profit growth followed the revenue increase from new capacity despite higher depreciation and tax expenses.
PAT growth lagged revenue growth due to a ₹388 Crore increase in tax expenses.
Other Highlights
• Generation reached 25,849 MUs in 9M FY26, a 15% increase YoY.
• Plant Availability Factor (PAF) stood at 79.27%, down 3% due to monsoon shutdowns.
• Tax expenses rose by ₹388 Crore due to Deferred Tax Adjustments and MAT Credit recognition.
Sub-sector-specific signals from the latest concall — each with management's stated reason for the change
Plant Availability Factor (PAF)
79.27%
Why: Shutdowns at major stations during the monsoon season.
Total Generation
25,849 MUs
Why: Commissioning of Parbati-II and better water availability.
Cumulative Regulated Equity
₹18,075 Cr
Why: Addition of new commissioned capacity into the regulated base.
Hydro Capacity Under Construction
8,514 MW
Why: Ongoing execution of 8 major hydro projects.
Subansiri Levelized Tariff
₹7.50
Why: Reflects the ₹28,000 Crore CAPEX and long gestation period.
Secondary Energy Incentive
₹461 Cr
Why: Better generation by subsidiary NHDC exceeding design energy.
Trade Receivables
₹6,651 Cr
Why: Includes unbilled debtors of ₹4,972 Crore.
Debt Equity Ratio (Consolidated)
1.14
Why: Increased long-term borrowings for CAPEX.
Forward-looking targets from management
Capex Plan
₹15000 Cr
₹15,000 Crore
Hydro and Renewable project construction
Capacity Addition
Guidance Changes
CAPEX FY26: ₹13,052 Crore → ₹13,300 Crore
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 19, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
NHPC Ltd's latest quarterly results (Dec 2025) show
NHPC Ltd's current PE ratio is 26.4x.
NHPC Ltd's price-to-book ratio is 2.0x.
NHPC Ltd's fundamental strength based on key financial ratios
NHPC Ltd has a debt-to-equity ratio of N/A.
NHPC Ltd's return ratios over recent years
NHPC Ltd's operating cash flow is positive (FY2025).
NHPC Ltd's current dividend yield is 2.30%.
NHPC Ltd's shareholding pattern (Mar 2026)
NHPC Ltd's promoter holding has remained stable recently.
NHPC Ltd is an established outperformer with 1 weeks of consecutive Nifty 500 outperformance.
NHPC Ltd has 4 key growth catalysts identified from recent earnings analysis
NHPC Ltd has 2 key risks worth monitoring
In Q3 FY26, NHPC Ltd's management highlighted
NHPC Ltd's management has provided the following forward guidance
NHPC Ltd's most important sub-sector-specific KPIs from the latest concall
Based on quantitative research signals, here is why NHPC Ltd may be worth studying
NHPC Ltd investment thesis summary:
NHPC Ltd's forward outlook based on current data signals
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.
