Om Power Transmission Limited Releases Q4 & FY26 Earnings Call Transcript

Om Power Transmission Limited has released the transcript of its earnings conference call held on May 20, 2026, discussing the audited financial results for the quarter and financial year ended March 31, 2026. The call featured management, including Chairman and Executive Director Mr. Kalpesh Patel, Managing Director Mr. Kanu Patel, and CFO Mr. Chetan Modi, alongside Mr. Sayam Pokharna from TIL Advisors Private Limited.

Mr. Kalpesh Patel highlighted the company's journey as a listed entity since April 17, 2026, following a successful IPO. He detailed the company's expertise as a power infrastructure EPC company with over 14 years of experience in high-voltage and extra-high-voltage transmission lines, substations, and underground cabling. The company's revenue breakdown for FY26 showed Transmission line EPC at 51.61%, Substation EPC at 21.86%, Underground cabling at 19.32%, and Operation & Maintenance at 7.21%. A key highlight was the record order inflow of ₹615 crore in FY26, resulting in an all-time high unexecuted order book of ₹621 crore, a 41% increase from FY25. The order book is diversified across verticals and primarily sourced from public sector undertakings (82%). The company is also expanding geographically beyond Gujarat into Rajasthan and Punjab.

Mr. Chetan Modi presented the financial performance, with Q4 FY26 revenue at ₹174.62 crore, a 67.2% growth year-on-year. EBITDA for the quarter was ₹22.87 crore (13.10% margin). For the full year FY26, revenue grew by 60.7% to ₹449.16 crore, with EBITDA at ₹57.11 crore (12.72% margin). Profit after tax for FY26 was ₹40.02 crore, an 81.2% increase. Return on equity stood at 38% and return on capital employed at 44%. The debt-to-equity ratio was a comfortable 0.35x, further strengthened by IPO proceeds. Crisil upgraded the company's long-term rating to BBB+/Stable and short-term rating to A2.

During the Q&A session, management discussed the company's increasing technical capabilities up to 400 kV, expansion into other states, and specialization in projects like Pile Foundation transmission lines. The order book of approximately ₹620 crore is expected to be executed within 12-24 months, with an average of 18 months. The company anticipates continued growth in FY27, aiming for similar performance as FY26. Management addressed concerns about material shortages by stating they proactively place orders and maintain bulk inventory. Price variations are managed through price variation clauses in purchase orders. Payment collection from PSUs, particularly GETCO, is efficient, with 80% of RA bills released within 30 days.

The company confirmed ongoing focus on underground cabling projects and pipeline opportunities. The order book stood at around ₹665-670 crore, with a tender pipeline exceeding ₹900 crore as of March 31, 2026. Management noted a strategic shift from private players due to margin considerations, focusing on projects where sustainable margins can be achieved. The working capital cycle is maintained at approximately 75 days due to efficient collection from PSUs, inventory management, and vendor negotiations. For FY27, growth is expected from both underground cabling and overhead transmission lines, including potential opportunities in the 765 kV segment. The company expects to maintain EBITDA margins between 12%-13% and PAT margins of 8%-9%, with a typical H1 to H2 revenue split of 35:65. They are also participating in DISCOM distribution tenders.