PTC India profit dips 28% in Q2 as operating costs surge

PTC India's consolidated net profit fell 28.2 per cent to Rs 159.10 crore in the second quarter of FY27, compared with Rs 222.05 crore in the same period last year, the company disclosed in a regulatory filing on Monday. The decline was primarily driven by a substantial increase in total expenses, which rose to Rs 5,788.97 crore from Rs 5,287.25 crore year-on-year.

The company's total income, however, climbed to Rs 5,958.24 crore in Q2 FY27 from Rs 5,585.21 crore in the corresponding quarter, indicating improved topline performance despite margin compression. On a standalone basis, PTC India's trading volume increased 24 per cent to 32.46 billion units during the quarter, driven by transactions across various contract tenures.

Manoj Kumar Jhawar, Managing Director and CEO of PTC India, attributed the volume growth to diversified trading activity across multiple tenure segments. However, cross-border power imports from Bhutan declined significantly due to elevated domestic power demand within Bhutan, resulting in lower trading income from that segment, he noted in a statement.

The margin squeeze reflects the challenging operating environment for India's energy trading sector, where revenue growth has not kept pace with cost escalation during the period.