Tata Power Company (TPWR IN) – Q2FY27 Result Update – Coal SPV drives the beat, Kleros case awaits outcome – ACCUMULATE
Published on 12 Nov 2026
Tata Power (TPWR) reported a strong Q2FY27 performance, with EBITDA growing 11% YoY and adjusted PAT rising 72% YoY. The PAT beat was primarily driven by (1) Coal SPV profitability improving to USD9/t versus ~USD6/t QoQ and USD2/t YoY, benefiting from higher imported coal prices, and (2) standalone PAT growth of 63% YoY, supported by Mundra operations and higher DSM revenues. We retain ACCUMULATE with a TP of INR414, implying 11x 1HFY29E EV/EBITDA. The outcome of the Kleros dispute remains the key stock catalyst, given that Tata Power has not recognised any provision against the USD490mn claim (excluding interest).
