INDIGRID - IndiGrid Trust

📊 NSE: INDIGRID 🏢 Power Generation And Supply 📅 Last Updated: 12/14/2025 8:00

💰 Financial Performance

Revenue Growth by Segment

Total operating income grew 15.1% YoY from INR 2,987 Cr in FY24 to INR 3,438 Cr in FY25. The majority of cash flows are derived from operational power transmission assets, though renewable energy and project development segments are increasing their contribution.

Geographic Revenue Split

Operations are concentrated in India, with specific assets mentioned in Maharashtra and Karnataka (Gadag). Geographic split by percentage is not disclosed in available documents.

Profitability Margins

Profit After Tax (PAT) margin improved from 9.9% in FY24 to 11.9% in FY25, representing a 20.2% improvement in net profitability due to stable operational performance and improved interest coverage.

EBITDA Margin

Interest coverage ratio improved significantly by 94.7% YoY, rising from 1.9x in FY24 to 3.7x in FY25, indicating robust core profitability and debt-servicing capacity.

Capital Expenditure

Planned capital expenditure includes the acquisition of Gadag Transmission Limited for an enterprise value not exceeding INR 372 Cr. The board has also approved a total fundraise of INR 2,500 Cr for asset acquisitions and project development.

Credit Rating & Borrowing

IndiGrid maintains a strong financial risk profile with a 'Stable' outlook from CRISIL and ICRA. Consolidated debt stood at INR 19,246 Cr as of April 30, 2025, with a debt-to-AUM ratio of approximately 59.2%, well within the 70% regulatory cap.

⚙️ Operational Drivers

Raw Materials

O&M services and spare parts for transmission lines and solar panels. O&M expenses represent a small portion of revenue but are critical for maintaining the required 98% line availability.

Key Suppliers

O&M contractors are appointed by the SPVs. Asset sellers include ReNew Transmission Ventures Private Limited and KNI India AS.

Capacity Expansion

Current capacity includes 43 power projects with 53 transmission lines (~9,336 ckms), 16 substations (~25,050 MVA), ~1.5 GWp solar capacity, and 450 MW / 900 MWh of Battery Energy Storage Systems (BESS).

Raw Material Costs

O&M expenses are a minor percentage of revenue; however, improper maintenance can lead to revenue losses if line availability falls below 98%.

Manufacturing Efficiency

Efficiency is measured by line availability; maintaining levels above 98% is critical for full revenue realization under the PoC pool mechanism.

📈 Strategic Growth

Expected Growth Rate

Not disclosed in available documents

Growth Strategy

Growth is driven by a 'buy-and-hold' model focusing on operational transmission and renewable assets. Strategy includes a total approved fundraise of INR 2,500 Cr (INR 438.5 Cr already raised) to finance acquisitions like Gadag Transmission Limited (INR 372 Cr) and diversify into BESS and project development.

Products & Services

Power transmission services, solar power generation, and battery energy storage systems (BESS).

Brand Portfolio

IndiGrid (formerly India Grid Trust).

New Products/Services

Expansion into Battery Energy Storage Systems (BESS) with 450 MW / 900 MWh capacity and greenfield project development.

Market Expansion

Targeting high-quality operating assets across India to aggregate into the InvIT platform.

Market Share & Ranking

IndiGrid is a leading InvIT in the Indian power sector with an AUM of over INR 32,500 Cr (USD 3.6 billion).

Strategic Alliances

Wholly owned by KKR (Investment Manager). Strategic partners include SECI as a counterparty for solar assets with 22-year PPAs.

🌍 External Factors

Industry Trends

The industry is shifting toward renewable energy integration and BESS to manage grid stability. InvITs are evolving as preferred vehicles for aggregating operational infrastructure assets due to tax-efficient 90% NDCF distribution rules.

Competitive Landscape

Competes with other infrastructure developers and InvITs for the acquisition of operational power assets in India.

Competitive Moat

Moat is sustained by long-term (25-year) revenue visibility, high entry barriers in power transmission, and strong sponsorship from KKR, which manages over $500 billion globally.

Macro Economic Sensitivity

Sensitive to interest rate fluctuations due to INR 9,435 Cr in bullet repayments and coupon reset clauses in NCDs.

Consumer Behavior

Not applicable as a B2B infrastructure provider.

Geopolitical Risks

Exposure to bilateral billing aspects and Change-In-Law (CIL) related earn-outs in acquisition agreements.

⚖️ Regulatory & Governance

Industry Regulations

Governed by SEBI (Infrastructure Investment Trusts) Regulations, 2014, and the PoC pool mechanism for transmission billing. Must maintain a consolidated debt-to-asset value cap of 70%.

Environmental Compliance

Factors in risks inherent in operating renewable assets; specific ESG costs not disclosed.

Taxation Policy Impact

Subject to SEBI InvIT regulations requiring 90% of net distributable cash flow to be distributed to unitholders.

Legal Contingencies

Earn-out payments for Gadag Transmission are contingent on bilateral billing and Change-In-Law (CIL) realizations. No specific pending court case values disclosed.

⚠️ Risk Analysis

Key Uncertainties

Refinancing risk for INR 9,435 Cr in bullet repayments (INR 800 Cr due in FY26). O&M risk where failure to maintain 98% availability leads to revenue loss.