Tata Power Co. Ltd.Strong Growth Despite Mundra Shutdown

Tata Power delivered robust Q3 FY26 results with EBITDA growing 12% YoY to ₹3,913 crore despite the complete shutdown of its Mundra plant throughout the quarter, which resulted in an ₹800 crore loss for the nine-month period.

The company's transformation is evident as new business segments reached inflection points, with solar manufacturing PAT surging 124% YoY to ₹251 crore in Q3 at industry-leading 28% EBITDA margins. Rooftop solar crossed the 1 GW milestone with 195% YoY PAT growth, while Odisha distribution demonstrated turnaround success with 208% YoY PAT growth. Management expects Mundra restart by end-February 2026 following near-complete SPPA resolution with Gujarat.

For FY26, the company has completed 1.9 GW of its 2.6 GW renewable capacity target, with another 400-500 MW expected in Q4. Looking ahead, FY27 targets 2.5-3 GW of 100% owned renewable capacity. Management emphasized significant growth opportunities in distribution through the upcoming Electricity Act Amendment enabling parallel licensing and government PPP initiatives for financially stressed states, with opportunities expected within six to nine months.