GE Vernova T&D India Limited (formerly GE T&D India Ltd) is a leading provider of power transmission and grid solutions in India. The company has been operating in India since 1957 and is part of the global GE Vernova group. It manufactures and delivers a wide range of high-voltage equipment and solutions, including power transformers, GIS (Gas-Insulated Switchgear), AIS (Air-Insulated Switchgear), circuit breakers, HVDC technology, grid automation, and digital solutions. The company operates through multiple manufacturing facilities and caters to both domestic and international markets, exporting to over 60 countries.
Core Segments Explained
- Products: These include transformers; GIS and AIS, which are switchgear systems used to control and protect electrical equipment in substations (GIS uses gas insulation, AIS uses air). The company also produces circuit breakers, which protect the grid by disconnecting in case of faults, and instrument transformers, which measure voltage and current for monitoring and control purposes.
- Projects: The company manufactures HVDC systems (High Voltage Direct Current), which are critical for long-distance transmission and renewable energy integration. It also delivers turnkey substation solutions, where GE Vernova designs, builds, and commissions entire substations for utilities and large customers.
- Services: These include maintenance of transmission assets and grid automation solutions, which help utilities monitor, control, and optimize their power networks using digital technologies.
Industry landscape
India is undergoing a massive energy transition driven by electrification, renewable integration, and decarbonization. With a target of 500 GW of renewable energy capacity by 2030 and an expected 80% rise in peak power demand by 2032, the transmission sector requires significant investment. To support this growth, over ₹9 trillion will be invested in building 20,000 circuit km of transmission lines and 125 GW substation capacity annually through 2032.
Key market drivers:
- The government’s NEP II plan (National Electricity Plan, Phase II) focuses on expanding transmission infrastructure to meet growing energy needs and integrate renewable sources into the grid. Alongside this, the TBCB model (Tariff-Based Competitive Bidding) encourages private companies to participate in building and operating transmission projects by awarding contracts to the lowest bidder, thereby increasing competition and efficiency.
- Rising demand from data centers requiring reliable high-capacity power.
- Expansion of EV infrastructure, which needs a stronger grid to support charging.
- Development of inter-regional and cross-border transmission links, balancing demand and supply efficiently.
- Adoption of SF6-free switchgear (eco-friendly) and digital grid solutions, making the power system smarter and more reliable.
Business model
GE Vernova operates on an integrated value chain from R&D to manufacturing and service delivery.
- Domestic market: ~86% of orders in Q1 FY26, largely from utilities, PSUs, and EPC contractors.
- Export market: ~14% in Q1 FY26; exports form ~30% of order backlog across Europe, Middle East, and Asia.
Revenue streams:
- Products: High-voltage equipment (transformers, GIS, AIS, circuit breakers).
- Projects: Large-scale solutions like turnkey substations and HVDC systems.
- Services: Maintenance, grid automation, and digital solutions.
This mix ensures a balanced portfolio across long-cycle infrastructure projects and shorter product contracts.
GE Vernova T&D India segment-wise revenue breakdown (FY 2024-25)
| Segment | Revenue Contribution (Approx %) | Notes |
|---|---|---|
| Products | ~60% | High-voltage equipment such as transformers, GIS, AIS, circuit breakers, switchgear |
| Projects | ~30% | HVDC systems, turnkey substations, large grid projects |
| Services | ~10% | Maintenance, grid automation, digital solutions |
| Exports (Across Segments) | 28-30% of total revenue | Strong exports to Europe, Middle East, Asia |
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GE Vernova financial performance
Q1 FY25-26 highlights
- Orders: ₹1,620 crore (+57% YoY)
- Revenue: ₹1,330 crore (+39% YoY)
- Order Backlog: ₹12,960 crore (3x FY25 revenue)
- PBT: ₹390 crore (vs ₹180 crore YoY)
- EBITDA Margin: 29.1% (up 1,000 bps YoY)
- Cash & Equivalents: ₹1,220 crore (Debt-free)
5-Year financial trend
| Year | Sales (₹ Cr) | OPM % | Net Profit (₹ Cr) |
|---|---|---|---|
| Mar 2021 | 3,452 | 5% | 60 |
| Mar 2022 | 3,066 | -3% | -50 |
| Mar 2023 | 2,773 | 4% | -1 |
| Mar 2024 | 3,168 | 10% | 181 |
| Mar 2025 | 4,292 | 19% | 608 |
GE Vernova’s turnaround became evident in FY25 with strong sales growth, 19% OPM, and net profit of ₹608 crore. Latest TTM revenue stands at ₹4,664 crore, OPM at 22%, and net profit at ₹765 crore.
Strategic positioning
- First mover in SF6-free switchgear, reducing carbon footprint.
- Leading supplier for data center substations, with 220 kV and 400 kV GIS solutions.
- Strong HVDC expertise, active in corridors like Barmer-South Kalamb and South Olpad-Khavda.
- Capex plan: ₹2.5 billion for HVDC valves, STATCOM systems, and debottlenecking.
- Exports: ~30% of backlog, providing global scale and diversification.
Capacity expansion and localization
- ₹140 crore investment for HVDC valve and FACTS manufacturing at Chennai and a new R&D/testing lab at Noida.
- Chennai line for HVDC & STATCOM valves operational by 2027.
- 5 advanced manufacturing facilities across India producing transformers, GIS, circuit breakers, and localized HVDC technology.
Growth drivers & outlook
- Approval of new HVDC corridors expected in FY26.
- Renewable energy integration and inter-state capacity driving demand.
- Rising data centers and EV infra boosting GIS and automation demand.
- Exports to grow alongside global energy transition.
- Management targets higher EBITDA margins (>19%) with pricing discipline.
Peer comparison
| Metric | GE Vernova | ABB India | CG Power |
|---|---|---|---|
| CMP (₹) | 2,775.55 | 5,144.00 | 738.40 |
| P/E | 92.89 | 60.60 | 116.00 |
| Market Cap (₹ Cr) | 71,068 | 1,09,006 | 1,16,269 |
| Qtr Sales Var % | 38.80 | 12.17 | 29.20 |
| ROCE % | 54.74 | 38.65 | 37.48 |
| ROE % | 40.35 | 28.82 | 27.66 |
| Debt/Equity | 0.02 | 0.01 | 0.01 |
| Sales Growth % | 36.83 | 10.27 | 25.71 |
| Profit Growth % | 166.22 | 11.75 | 11.48 |
| EV/EBITDA | 64.73 | 40.47 | 75.88 |
Analysis: Highest ROCE (54.7%) and ROE (40.3%), with strong growth justifying premium valuations. But P/E (92.9) remains elevated compared to ABB (60.6).
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Valuation & scenarios
- Current EPS: ₹23.76 | P/E: 92.9x | Industry P/E: 45x
| Scenario | FY27 EPS (₹) | Forward P/E |
|---|---|---|
| Bull (EPS CAGR 45%) | 49.96 | 70 |
| Base (EPS CAGR 30%) | 40.15 | 55 |
| Bear (EPS CAGR 18%) | 33.08 | 40 |
Interpretation: Bull case supports premium valuations via HVDC/export growth. Base assumes steady execution. Bear highlights risks of delays and pricing pressures.
Risks and challenges
- Global supply chain bottlenecks for HVDC valves and components.
- Raw material volatility impacting margins.
- Execution timeline compression with stricter 24-month windows.
- Potential margin compression once industry capacity expands.
- Sustainability risks with SF6-free switchgear adoption pace.
Bottom line
GE Vernova T&D India has delivered a strong turnaround with high margins, robust order book, and leadership in HVDC and SF6-free technology. Exports, renewable integration, and data center demand will sustain growth. However, its premium P/E valuation (92.9x) leaves little room for execution delays.
Overall, GE Vernova represents a structural growth story in India’s energy transition and global decarbonization, though near-term volatility is possible.
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