CESC Ltd's Q2 FY27 numbers came in soft, with revenue of Rs. 5,607.00 Cr (+6.46% YoY) and PAT growth of -1.17% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 05, 2026 |
|---|---|
| Revenue (Q2) | Rs. 5,607.00 Cr (+6.46% YoY) |
| PAT (Q2) | Rs. 423.00 Cr (-1.17% YoY) |
| EBITDA margin | 21.04% (-141 bps YoY) |
| EPS (Q2) | Rs. 3.20 (-0.93% YoY) |
CESC delivered 6.46% YoY revenue growth but owner PAT fell 1.17% as power purchase costs rose 14.25% YoY and the effective tax rate stepped up to 25.26%. Operating EBITDA margin compressed 141 bps to 21.04%, H1 free cash flow was negative Rs.626 crore, and the regulatory-asset stock grew to Rs.9,014 crore even as regulatory income declined 8.5% in H1. Near-term performance hinges on procurement-cost pass-through and the ReNew acquisition closing targeted for November 21, 2026.
| Driver | Expected before results | What happened | Verdict |
|---|---|---|---|
| Revenue | Moderate single-digit YoY growth | +6.46% YoY | Played out |
| Margins | Compression, pressure back-loaded to September spot spike | Margin 21.04%, −141 bps YoY; CoE +14.25% YoY | Played out |
| Fuel | Flat-to-up, reversing FY26 tailwind | +2.65% YoY, +4.89% QoQ | Played out |
| Finance cost | Q1 tailwind fades | −0.59% YoY vs −14% in Q1 | Played out |
| Regulatory income | Q1's Rs.180 Cr as base; the swing factor | Rs.99 crore (below Q1, above YoY); Rs.80 Cr H1 prudence provision | Partially |
| ReNew closing | Mid-November completion on track | SPA open at results date, Nov 21 target intact | Played out |
| One-time: prudence provision | Rs.40 Cr flagged for Q1 | Rs.80 Cr for H1 per filing → Rs.40 Cr locked for Q2, normalized to Rs.452.9 Cr | Played out |
| ReNew funding / Malegaon / solar-capex inflation | Watch items for the call | Not addressed in the filing — remain open | Not observable |
Read our full results preview.
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| ReNew 1.4 GWp completion — Nov 21, 2026 (revised from Oct 31) | Company SPA amendment announcements, Oct 31, 2026 | SPA in filing subject to conditions precedent; not closed at results date | On Track |
| Group capex ~Rs.350 bn / distribution capex Rs.6,000 Cr over 5 years | Q1 FY27 investor presentation | H1 consolidated PPE/CWIP Rs.2,010 crore vs Rs.1,104 crore (+82%) | On Track |
| Renewables Phase 1: 3.2 GW by FY29; Phase 2: 10 GW by FY32 | FY26 annual report / investor presentations | Not updated in this filing | Too Early |
| PAT 2x FY25 (Rs.1,429 Cr) and ROE +400 bps by 2030 | Vision 2030 investor presentation | Q2 owners PAT Rs.423 crore, −1.17% YoY; H1 +0.86% | Too Early |
| Malegaon breakeven "over next 3 years" | Q2 FY26 investor presentation | No DF data in filing | Too Early |
| Solar manufacturing 3 GW by 2027 | Investor presentations | Not updated in this filing | Too Early |
Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.