Hitachi Energy shares rally 10% on winning order from Power Grid

Shares of Hitachi Energy rose around 10 per cent to Rs 12,812 on the BSE on Monday after the company won a project order from Power Grid Ltd in partnership with state-run engineering firm BHEL.

According to the company’s filing, the order will design and construct an 800kV, 6,000MW, 1,200km high-voltage direct current (HVDC) termination station to evacuate renewable energy from Kavda in Gujarat to Nagpur in Maharashtra. It is something.

The project is part of the Inter-State Transmission System (ISTS) to evacuate 8GW of renewable energy from Gujarat’s Kavda Renewable Energy Zone under Phase V: Part A, bringing the country’s 500GW renewable energy Incorporated into evacuation and power transmission plans.

The project is scheduled to be implemented by 2029 and will traverse a total length of 1,200 km and power 500 GW of renewable evacuation and interstate transmission systems. The order was received by Power Grid Corporation of India on behalf of the project SPV (special purpose vehicle) company.

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According to brokerage firm Nuvama Institutional Equities, the project is expected to be executed by 2029 with an estimated value of Rs 25,000 crore, with Hitachi Energy’s share of the order inflow ranging from Rs 4,000 crore to Rs 6,000 crore. He added that he expects it to be Rs.

“Considering record-high OB and operating profit margin recovering to approximately 14% by FY2027 (compared to peers already at 18-20%), we are anticipating strong execution by FY26-27. It has also taken options for two HVDC order inflows (Rs 40-600 billion each) over FY25-26,” the brokerage said.

Nuvama Institutional Equities maintained a ‘buy’ rating on the Hitachi Energy stock and said, “Hitachi Energy has a record backlog of Rs 8,910 crore with Adani HVDC worth Rs 2,000 crore, with around 24-24 billion rupees to go. We have a good 26-month earnings outlook,” he added. The actual result is 220 billion. ”

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