Siemens Energy India (ENRIN IN) – Q3SY26 Result Update – Strong Q3; Execution momentum accelerates – ACCUMULATE

We revise our SY27E/SY28E EPS estimates by +5.7%/+4.2%, factoring in a stronger than expected execution and improving operating leverage aided by favourable revenue mix. Siemens Energy India (ENRIN) reported a strong performance with revenue growing ~39.3% YoY, while EBITDA margin expanded 450bps YoY to 23.6%, driven by robust operating leverage, favourable export mix and improved project execution. Growth was led by the Power Transmission segment (+42% YoY), supported by accelerated execution of its healthy order backlog, strong export demand and margin expansion, while the Power Generation segment (+36% YoY) likely benefited from an improving services mix and healthy demand for steam turbines across domestic and international markets. Order inflow increased by +3% YoY against a higher base, taking the order book to a record ~INR193.3bn (+16% YoY), providing strong multi-year revenue visibility. The long-term growth outlook remains compelling, supported by the INR20.6bn capacity expansion to add ~30,000 MVA transformer capacity, Kalwa facility expansion (to be operational by Q2CY27), localisation across key transmission products, rising investments in grid modernisation, renewables and increasing opportunities in data centres and nuclear power. We maintain our ‘Accumulate’ rating valuing stock at a PE of 55x Mar’28E (same as earlier) arriving at a revised TP of INR3,434 (INR3,274 earlier).