GE Vernova T&D India Ltd (NSE: GVT&D) Q3 2026 Earnings Call dated Jan. 28, 2026
Corporate Participants:
Megha Gupta — Investor Relation
Sandeep Zanzaria — Chief Executive Officer
Abhishek Srivastava — Head Business Operations
Analysts:
Unidentified Participant
Mohit Kumar — Analyst
Umesh Raut — Analyst
Punit Gulati — Analyst
Parikshit Kanpal — Analyst
Garvit Goel — Analyst
Mahesh Patil — Analyst
Mahesh Pendre — Analyst
Viren Deshpandi — Analyst
Aniket Matt — Analyst
Presentation:
operator
Please wait while you are joined to the conference. The conference is now being recorded. It. Foreign.
operator
Ladies and gentlemen, good day and welcome to the conference call hosted by GE Varnova TND India Limited for quarter three of financial year 2025 26. As a reminder, all participant lines will be in the listen only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing Star then zero on your touchstone phone. I now hand the conference over to Ms. Megha Gupta from GE Varnova TND India Ltd. Thank you. And over to you, Ms. Megha Gupta.
Megha Gupta — Investor Relation
Good evening everyone. Welcome to the G1 OVA TNV India Ltd. Earnings call for quarter three of financial year 2526. I am Megha Gupta from Investor Relations team and I’m joined by Mr. Sandeep Santaria, CEO and MB of the company. Mr. Sushil Kumar, Whole Time Director and CFO of the company. Mr. Abhishek Srivastav, Head Business Operations. Ms. Kanika Arora, Communications Leader and Ms. Shweta Mehta, Company Secretary of the company. During the call we will discuss company’s financial performance including operational highlights. After the presentation, we will have a dedicated question and answer session. Before we begin, I would like to highlight that today’s discussion may contain few forward looking statements which are subject to risks and uncertainties.
These statements are based on our current expectations and actual results may differ materially from those expressed or implied. We encourage you to refer to our public filings and documents for comprehensive understanding of the factors that could impact our future performance. Now I’ll turn the call to Mr. Sandeep Zamzaria to initiate the discussion. Thank you.
Sandeep Zanzaria — Chief Executive Officer
Thank you Megha. And thanks everyone for joining the call. India added nearly 38 gigawatt of solar and 6.3 gigawatt of wind capacity in calendar year 2025, marking the country’s highest ever annual renewable energy additions. RE now accounts for about 50% of India’s installed power capacity underscoring the structural shift underway in the generation mix. What does that mean for transmission and distribution infrastructure? Every megawatt of renewable capacity added demands robust T and D network to evacuate power, ensure grid stability and deliver reliable electricity to home industries across this vast nation. The draft NEP 2026 sets a target of 2000 kilowatt hour per capita electricity consumption by 2030 rising to over 4000 kilowatt hour by 2047, a significant leap from the current 1460 kilowatt hour.
The peak power demand is projected to touch 446 gigawatt by 2030. These targets reflect India’s growing energy needs driven by industrialization, urbanization and economic development. Renewable energy is increasingly being generated in remote locations. Solar power in Rajasthan deserts, wind farms of Gujarat coast hydropower in Himalaya. Far from urban and industrial centers where power is consumed, this is where HVDC transmission comes not just useful, but essential. With our HVDC solutions, we are well positioned to support India’s renewable evacuation backbone. Now turning to our financial performance. We had a productive strong quarter of robust demand, significant revenue growth and EBITDA margin expansion.
Our order book remained strong in Q3 and we saw bookings of INR 29.4 billion up by 41% year on year compared to 20.8 billion in quarter ended December 2024. The numbers exclude the Adani Kahwada HDC project which will be reported in subsequent quarters. On achieving defined commercial milestones, our Q3 revenue stood at 17 billion versus 10.7 billion in Q3 FY24 25, up by 58%. Year on year, new orders outpaced revenue, further expanding the order backlog to 143.8 billion as on December 2025 versus 131.1 billion as on September 25, up by 10%. Our profit before tax and exceptional items for the quarter ended December 25 was at 4.6 billion compared to around 1.9 billion in the corresponding quarter of the previous financial year, growing by more than 2.4x.
The cash and cash equivalent balance was at 15.9 billion as on December 31 versus 15.2 billion as on September 30. The cash generated in Q3 was 0.7 billion. This was our financial performance snapshot. I would like to convey that the Board has recommended the appointment of Ms. Rashmi Joshi as an independent director of the company for a period of five years subject to shareholders approval. In conclusion, as India raises towards a target of 500 gigawatt of non fuel capacity by 2030, we are building the network through which this energy will flow. We are enabling grid modernization, supporting renewable integration and ensuring that India’s growth story has the power infrastructure it deserves.
Our strategy is clear. Execute with excellence, pursue profitable growth and be India’s trusted partner in building the energy infrastructure of tomorrow. On behalf of the leadership team at G Varnova tnd, our sincere thanks to our valued customer, our dedicated investors, our exceptional teams and our partners. Now I’ll request Abhishek to share further insights.
Abhishek Srivastava — Head Business Operations
Hi good Evening. So as Sandeep just mentioned our commitment towards strengthening of the transmission infrastructure of the company of the country, we had added some new strengthening projects to our electrical network in the last quarter. Like for our customer renew we commissioned 402 20kV days concerning the evacuation of wind and solar power from the state of Karnataka. For our customer jsnl we commissioned 132kv base along with 50mb transformer. For our customer WBS TCL we commission 132kv GIS. Similarly we continued addition of transformation capacity to commissioning of transformers shunt reactors. For our customer power grid at badla we commissioned 6 number at MVR single phase 765kV reactors.
Similarly for our customer Ronia at his commission 400kV single phase shunt reactor, 3 numbers at power grid DOSA and power grid Narella. Similarly we added three number 500 MVs 765 KV single phase reactor and 10 number 110 MBR 765 KV single phase reactors. The network transmission network was further strengthened to commissioning of gas insulated substations. Some notable mentions for the last quarter was Getco where we commissioned 15 number bays of 400kV for KPTCL where we commissioned 66kV GIS 41 bays. Then we had a export project for Eleknor Dominic Republic where 400 KVCBs were commissioned. And then for Godrej Power grid service station we commissioned 10 numbers circuit breakers and CSVs.
So our commitment towards the strengthening continues and we will try to keep up this performance and keep on adding to the electrical infrastructure of the country. So I hand over to Sushil to take the floor. Thanks Abhishek and good evening all. We delivered a robust growth in dividend profitability due to our strong operational performance during the quarter as well as for the nine month period. And as highlighted by Sandeep earlier we booked orders of 29.3 billion during the quarter three. This was the highest quarter for orders in this financial year. This quarter order performance includes the refurbishment of Chandrapur HVDC order from Powergate and as Sandeep mentioned, in addition we won HVDC Kavada Southwell RBSC order from Adal Group and the same is expected to book in subsequent quarters.
This is the commercial condition commercial milestone achievement. On a cumulative basis we have booked orders of 61.6 billion in the financial year 2526 out of the 61.6 billion orders during the current financial year, 15% orders are from export market and about 85% orders from the domestic market. New order continuously exceed the revenue execution and this has led to further improvement in our order in hand position to 144 billion INR due to disciplined underwriting process at the company and phasing of the old low margin orders. The margin on order in hand has also improved over the last financial year.
98% of the orders in hand are from private customer centric utilities and public center enterprises. The exposure to state utilities is limited to less than 2% of our orders in hand. Healthy order in hand gives us a strong visibility of continuing strength in our business. Our execution has ramped up and this has led to the strong revenue growth as well. We delivered revenue of 17 billion INR representing a 58% growth during the quarter and on a nine month basis the revenues were 46 billion INR representing a strong 46% growth versus the corresponding period in the previous financial year.
In this quarter, about 28% of the revenues were generated by execution of export contracts and whereas 72% revenues were generated by execution of domestic contracts. On profitability side, we delivered another strong profitable quarter with the EBITDA of 26.7%. On a nine month basis we delivered EBITDA of 27.1% which represents 80 basis point improvement over the last financial year. The significant increase in EBITDA was driven by increase in volume, price improvement and execution productivity. During the quarter we made a provision of 693 million on account of impact in the retireal benefit due to the new wage codes and this was reflected or reported under the exceptional item in the profit and loss statement.
We continue to generate or convert our profits into cash and during the nine month period we generated 6.7 billion INR cash. Operationally and end of December we have healthy cash and cash equivalents of 15.9 billion with no debt. We are now happy to answer the questions.
Questions and Answers:
operator
Thank you very much. We will now begin the question and answer session. Anyone who wishes to ask a question may press Star and one on the Touchstone telephone. If you wish to remove yourself from the question queue, you may press Star and two participants are requested to use handsets while asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Mohit Kumar from ICICI Securities. Please go ahead.
Mohit Kumar
Yeah, Good evening sir and congratulations on a very strong quarter and the underlying month. My question is. First question is, can you please can you help us with the reason for not including the HPTC orders from Adani in the current quarter and does the Adani HPTC orders also include transformers for the project or is it only for the terminals?
Sandeep Zanzaria
So. Thanks Mohit. So as per company’s, you know, processes, there are certain processes, there are certain milestones defined on which the orders are booked. So once we reach that milestone, that order will be booked and, and yes, the transformers for the HVDC are included as part of the order itself.
Mohit Kumar
Understood. My second question, how to think about the impact of the of the FDA with Europe. Does it make our product more competitive in the in for European region thereby improving our export chances or does it anyway reduce our cost of cost of raw materials? I think import a significant part from the Oracle.
Sandeep Zanzaria
So Mohit, we are yet to get the details of fta. So once we have the FTA details available with us, then only we will be able to make a judgment on what is the impact both on export side and also on the cost side. So it will be too premature for us to comment on FTA.
Mohit Kumar
Sir, how much exported in last 9. Months to the order? Is that number available?
Sandeep Zanzaria
I don’t think that that will be available that how much we have exported to the European country, but I don’t think that from India the custom duty is so high that FTA is going to make a meaningful impact in terms of increasing the export numbers in a big way.
Mohit Kumar
Understood sir. Thank you. And all the best sir. Thank you.
operator
Thank you. The next question is from the line of Umesh Raut from Nobara, India. Please go ahead.
Umesh Raut
Yeah, hi sir. And congratulations for very good set of numbers. Once again sir, my first question is pertaining to HBTC order win that we had in last quarter. So assuming that we will have commercial finalization by maybe next couple of months. So what could be delivery timeline for this particular project and how it will span over a period of say multi year in next few years.
Sandeep Zanzaria
So Umesh order is already with us. Zero date has already started and it’s only that once we reach certain commercial milestones, we are going to book it into the system and declare it to the market.
Umesh Raut
It. Execution timeline.
Sandeep Zanzaria
Execution timeline is very near to what has been defined by the. By the TBCB development requirement. It is very near to that about four years.
Umesh Raut
Okay. Okay. And if I look at.
operator
Sorry to interrupt you Mr. Rout, but we can hear disturbance from your line. May we request you to please mute your line when management is answering your question.
Umesh Raut
Okay, understood. In terms of HVDC project, so if I, if I look at our current capacity on the basis of existing capacity, are we in a position to execute this, this project immediately or will we require to add more capacity and then we are thinking about execution.
Sandeep Zanzaria
So as a good governance process we don’t take orders when we don’t have the capacity and thinking that we are going to add the future capacity and.
Umesh Raut
Then execute the project.
Sandeep Zanzaria
So whatever capacity is required to execute this order is already available with the company.
Umesh Raut
Understood sir. Thank you. And last question. On the HODC project between Barmer and South Kalam. So you mentioned during last interaction that that order of finalization might happen by the end of fiscal year FY26. So any color on updated status of that project.
Sandeep Zanzaria
We expect that order to get finalized in Q2 of 2627 for the developers and then whatever time addition it requires.
Umesh Raut
For the OEM to take.
Sandeep Zanzaria
Visibility. But it might change depending upon the extensions and things like that which is not in our control.
Umesh Raut
Understood sir. Thank you so much. All the very best.
Sandeep Zanzaria
Thank you.
operator
Thank you. The next question is from the line of Amit and Vani from Prabhadas Leeladar. Please go ahead.
Unidentified Participant
Hi sir. Thank you. First question sir. On the base order inflow for nine months which is about 6100 versus 7700 and we understand that there was an export order. So just wanted to understand the status of one export order we were expecting from the parent. Is it expected in 4Q and on the base order side what are the opportunities that are still there in terms of pipeline or areas and what is our kind of estimate or confidence on the base order growth for 4Q and even for next year? If you could highlight the pipeline there.
Abhishek Srivastava
Thanks Amit. So on the export order that was in the pipeline, it is still in the pipeline but there has been some delay from the customer side in terms of the decision. And now we expect the order to move to quarter two of the next, sorry second half of the next financial year. So it will be from let’s say September to March of the next financial year. Then we expect the order to be decided and I request Sandeep to.
Sandeep Zanzaria
So Amit, we are not seeing any major, what any slowdown in the market. So we have today a number of TBCB opportunities coming up. I don’t think that we are seeing any slowdown in the ordering. And now with states also going for tbcb for example we have seen Maharashtra and Karnataka going and few more states thinking of going or moving their pipeline towards tbcb. I think we are pretty confident on achieving the growth in orders in the base order this year as well as next year.
Unidentified Participant
Right. So next question on this. The Chinese new news which was circulating. Are you seeing any impact to you any assessment you guys have done if at all the government reverses, relaxes that, you know, order which was there for fires back for Chinese players to beat for HVDC or TND orders. So any, any color on that, any impact or any assessment?
Sandeep Zanzaria
One thing is there, it’s a media reporting. So the government has not issued any clarification on that. I think without any government clarification, if we try to do anything or if we try to do anything on that, it is purely a speculation but we don’t think that government is going to dilute its make in India criteria. And for example we have built a very strong, you know, since we have put up the manufacturing capacities, the teams have worked together in developing lot of supply chain in the country. So I don’t see a major impact coming in terms of even if the existing factories which are based in India are approved of the Chinese make which are approved.
I think to reach that maturity level it’s going to take them a lot of time.
Unidentified Participant
Right. So lastly on the export opportunity we saw a few companies getting orders for the US data centers and transformers and stuff like that. Wanted to understand. I think GE Global also has been focusing there. So any strong traction you guys are looking which will be directly, directly related to the data center space in global markets and also in India. So just more color on the data center opportunity and what we are actually eyeing on that space here?
Sandeep Zanzaria
I think yes, definitely we are working with the global teams and India being a strong manufacturing base. So whenever the capacity is required and IT is not available, obviously Indian factories would be available depending upon the delivery slots etc. But I think if you look at the data center or the IT company’s announcement of close to about $80 billion of data center in AI factories by four major US companies to be invested in next four to five years. I think that itself is going to present a huge opportunity in terms of data center and AI for the Indian market as well.
So we’ll be concentrating on those opportunities as well.
Unidentified Participant
Right. So lastly on the margin, so for nine months we had 27% margin already. So are we dividing revising that upward. For the full year? And after this order win of vsc hvdc, what is the margin expectation at firm level for the upcoming years? Will it dilute to certain level or some understanding with the execution of HUDC coming in for the subsequent years?
Abhishek Srivastava
Okay Amit, so we talked about this year’s expectation of delivering mid-20s kind of EBITDA So now we expect with the first three quarters of good performance that will be kind of delivering at the higher end of this range. And it’s difficult to talk about individual orders. Of course the endeavor of the management is to continue to perform like this and to deliver good dividend in the coming years.
Sandeep Zanzaria
I think you would have seen that we have been constantly saying that improvement of commercial terms and conditions, better cash conditions, better margin, these have been the focus of the company in the turnaround. What has achieved and this is the area we’ll be constantly on working. So I think we don’t expect a major dilution or things like that happening on the margin front in the foreseeable time.
Unidentified Participant
Understood, sir. Thank you so much sir. And all the best.
Abhishek Srivastava
Yeah.
operator
Thank you. The next question is from the line of Punit Gulati from hsbc. Please go ahead.
Punit Gulati
Yeah, thank you so much and you know, great performance here. If you can talk a bit about how are you really mitigating the negative impact of commodity inflation in your costs to be very helpful.
Sandeep Zanzaria
So Puneet, for many of the products what we supply in the market, they are variable price. That means if there’s an increase or decrease of the raw material cost, the impact is directly passed on to the customer. Second, for orders which are on firm price based on our global assessment, we take depending upon the delivery timelines, etc. Suitable provisions are built into the costing to take care of any material point movement and also looking into the order book, order backlog situation, etc. We keep on working with our supply chains to improve the cost on one side and to mitigate such risk if they at any point of time, if they emerge into the business.
There is no hedging of commodity that you do. It’s not required because we don’t buy commodities per se because for example transformer etc, where the commodity are very high, their variable prices are there. Other places the components come into small forms only. So you don’t require, you cannot actually hedge into that form.
Punit Gulati
Okay. And if you can also give substance of how much of your order book could be under variable price and how much would be firm price.
Sandeep Zanzaria
We don’t give these details. So.
Punit Gulati
Okay, on just hopping on back to Adani Khara, you talked about once you hit milestone, you will book the orders. What are these milestones that we are looking at?
Sandeep Zanzaria
So these are all commercial process wise internal to the company. So I think you’ll have to wait for it declaration when we are.
Punit Gulati
Okay. And also if you can talk a bit about the scope of the project what all will be a part and will right of way be your responsibility or will that be their responsibility?
Sandeep Zanzaria
So Puneet, we are not doing the transmission line. We are just building the HUDC stations at both the ends at Kavada and south old part we are not doing the civil. Civil work is being done by the customer themselves. Obviously the right of way for the terminal land etc. Everything is in customers.
Punit Gulati
Great, thank you so much and all the rest.
Sandeep Zanzaria
Thank you.
operator
Thank you. The next question is from the line of Parikshit Kanpal from HDSC Securities. Please go ahead.
Parikshit Kanpal
Yeah. Hi Sandeep. Congratulations on a great quarter, sir. So first question is, is this power Grid order of 3500 MBA included in this current order?
Sandeep Zanzaria
Yes. Okay.
Parikshit Kanpal
Okay. Just on the export this quarter we have seen a substantial jump and if I see the nine month numbers the exports have picked up third party exports. So any color on like. So what has driven this improvement in exports? Export order booking of 420 crores. Overall export orders are at 15% of the total back total order for the. Yeah, I think these are of the.
Abhishek Srivastava
Quarter also it is around 14% of the order booking. And the earlier we had a higher order share as well when we booked the large opportunities. So these are the regular order and as the domestic as well as export market are growing in our industry. So that’s the reason of significant growth in the order. In value terms though percentage wise it looks little less compared to past because the domestic order booking has been very strong due to large PGCL and HVDC refurbishment order.
Parikshit Kanpal
I’m saying for nine months we have 918 crores and in this quarter we have booked 420 crores for any particular reason why our exports ordering was higher this quarter? Is it like.
Sandeep Zanzaria
Yeah, there’s no. There’s no specific trigger on this. It’s just the regular orders what we are getting, sometimes it is higher, sometimes it is.
Abhishek Srivastava
Just on.
Parikshit Kanpal
I mean the parent has been highlighting strong order wins in Asia and I think we have been posting on social media and other places that our equity current expansion is applied to whole of Asia. So just wanted to get a sense and color on how’s the certification going around Europe and now I think Europe is also find that STA may come into effect next year. But how are you suggesting the certification across these geographies? And earlier there was a mantra I think in UK that there has to be a localization. So how do you think with FTA in UK and Europe how the export opportunity unfolds for us.
Sandeep Zanzaria
So I think to understand one thing is that HUDC is a big market in Europe and today we have European facilities which are catering to best HUDC market specifically in Europe. So I don’t see any big role. What?
operator
I’m sorry to interrupt you Mr. Kandapal but we are unable to hear you sir. Hello. Mr. Kandapal, we are unable to hear you as there is no response. We’ll move to the next question which is from the line of Garved Goel from Sereni Alpha. Please go ahead.
Garvit Goel
Hi, am I audible?
operator
Yes, you are. Please go ahead.
Garvit Goel
Actually my question is already answered so thank you very much.
Sandeep Zanzaria
Thank you.
operator
Thank you. The next question is from the line of Nathan Arora from G securities. Please go ahead.
Unidentified Participant
Hi, this is Nitin from Access Mutual Fund. Am I audible?
Sandeep Zanzaria
Yeah, you’re audible.
Unidentified Participant
Hi Sandeep. Good evening. Hi team Sandeep. Just first question on your international opportunities. I know you said that the order has been moved in the second half. So if you can highlight is it more of a capacity constraint issue that move to second half or not? But just a one liner on that. But giving the opportunity on the, on the international side from the last quarter to the this quarter, how you are looking at it, I mean from the inquiry perspective. And also I know you stated in the, in the starting of the call that even states are looking on the domestic side.
I’m saying. But can you elaborate a little bit, you know how the opportunity pipeline are because and why I’m asking you this because street is getting very nervous and lot of narratives are being doing round. Like for example the first narrative which came that China is coming to India. You know a lot of Chinese companies will certainly start and India will welcome them. That was the first narrative. The second is, you know, because solar addition has been lower for the likely reason, you know, I mean you know much better how government is now working on the battery aspect which also get, you know eventually lit up by solar only eventually.
So just if you can articulate on the domestic side, you know, how’s the inquiry pipeline how you’re looking at it? Because I remember times when you used to announce an order size of 400 crores or 500 or 600 used to announce to exchange. But today we are winning more than thousand crore a single order. We are not announcing. So it looks like the ordering is strong. But if you can articulate a little bit on, on the domestic and as well as on the international side, that’s my first.
Sandeep Zanzaria
So Nitin, on your first question that the large order on which we took the RPT approval, that is not a capacity issue but that is primarily the delay at the customer end. So that is just one clarification which Sushil talked about that we expected to get deferred to the second half of next year. That is one thing I think second on Nitin, on the, on the domestic market at least I am not seeing a slowdown happening. So when I’m saying that there is a huge, not huge, but there is a sustainable pipeline of projects even if you go to like PFC website, rec website, you see the number of TBCB opportunities which are there and even states are coming up.
So. And also as I said at the start, of course China policy needs to be clarified by the government because till the time there is no government quality clarification, everything is a speculation. But you know, for us to reach whatever position we have reached under make in India of like 60, 70 in different products etc. It has taken a lot of time where we have spent effort energy to build the local supply chain, qualifying vendors because we are talking about these components being used in 400, 765 KV. It is not that just you develop into two months and then you are able to use it.
It requires a rigorous process of testing and then it goes under the implementation first on a smaller scale and then it is scaled up on a bigger scale. So it’s not a very small process. So even when even the Chinese factories get locally qualified they would still take a lot of time to reach those maturity levels. So I expect that and also we are expecting the market to grow. So today, for example TBA. So whatever is the TBA, TBA is today a large part of the TBA factories are blocked by Indian developers only who will be supplying to solar and all those things.
So suppose tomorrow if TVA gets qualified and it takes one order in power grid then obviously the, the renewable capacity which he was earlier supplying in XY developer that will be available for third party. So what’s the challenge?
Unidentified Participant
Got it.
Sandeep Zanzaria
Market is not going anywhere.
Unidentified Participant
Got it, got it. And, and how you think about international opportunity.
Sandeep Zanzaria
So international opportunities we are seeing, I think there’s a lot of traction which is happening globally. So we’ve seen some. You would have seen that this quarter the order numbers are better on export side. So. But we are constantly working towards improving the pipeline and also improving the order intake. But globally the decision making processes in many geographies are slower than what we see in Indian market.
Unidentified Participant
Got it, Got it. So just one comment of yours where you said that look, you don’t see issues to profitability or margins in the foreseeable future. So I can assume that the ordering which has done in the last nine months for you or let’s say for the industry, still no pricing pressure has come and rather given the commodity has increased, there would be, you know, adjustment in pricing or rather sustainability how one should think about that. Yeah. So Nitin Sandeep talked about the pricing aspect as well as the costing. So in terms of costing, there are a lot of the price escalation is passed through the cost to the customer.
And also the cases where we have a firm price contract, we mentioned that we build in the cost assumptions in our working basis, our internal focus, which is a very robust process. And Sandeep also mentioned earlier that the pricing is stable, it’s not deterred, it’s kind of as we had few quarters ago. Got it. Thank you. Thank you Sandeep and the team and thanks for clarifying on the outlook. Thanks a lot. All the best.
operator
Thank you.
Sandeep Zanzaria
Thank you.
operator
The next question is from the line of Mahesh Patil from ICSS Securities. Please go ahead.
Mahesh Patil
Yeah. Hi sir. So my first question is on the export order book. So export order book around 30% of our overall order. It will be in the range of 24 to 27%. They see this mix keeps changing depending on what kind of order will be public order. So the overall theme is that the domestic market is strong. The international market is also strong. We continue to see the overall order booking growing in few quarters. It could be that larger orders come to the. And the other, it could be the export market. Okay, so my second question is on the HVDC project side.
So for K ulad and the upcoming one, right, South Columbia, what is typically the local content requirement for this H projects?
Sandeep Zanzaria
There was no local requirement which was defined.
Mahesh Patil
Okay. Okay. And sir, my last question is on the execution. If we see the sales numbers, right. So for nine months this year compared to nine months last year, there’s a sharp increase in the export revenue around 75%. So is this because the large export orders that we received in Q2, FY25 and Q3 of 24, is this exhibition belonging to that order? And related question, is the margin improvement partly because of these export orders? Yes, you’re right, Mahesh. The export order related revenue in the execution also includes the large order that is booked in the last year.
And as we mentioned in the earlier calls, the export volume gives us better margin. Those are the better price deals. So that is also one of the reason of the improvement in profitability. Of course there are other reason as I mentioned earlier which is overall increase in volume gives operating leverage and also significant operational execution that we are having as a team gives us execution improvement. Okay. And this export order will continue throughout the next year. So the large order that last year had a timeline of five years of execution. Okay. Okay. And sir, anything on the CapEx that we had announced earlier this fiscal, any update? So we announced the capex of close to 1000 crore.
They have respective timelines of implementation which will go up to financial year 2627 in countries and 2728 in the other cases. Okay, thank you. Thank you so much.
operator
Thank you. The next question is from the line of Mahesh Pendre from LIC Mutual fund. Please go ahead.
Mahesh Pendre
Hi sir. Thank you so much for the opportunity. Sir, Government of India has released I mean the draft National Electricity Policy 2026 where they have given lot of, I mean targets for example like per capita electric consumption to go up to 2000 kilowatt hour by 2030 and 4000 by 2047. And for these same plant plan they have envisaged I think investments about 50 lakh crores by 2032. So just one thing, I mean from your viewpoint out of this 50 lakh crore what kind of investments you anticipate that will go into a transmission side.
Sandeep Zanzaria
Mesh? We will have to make an assessment. I don’t think that we will be able to give this number of hands.
Mahesh Pendre
Okay, okay. And sir, given this new target, I mean earlier there is opportunity we Talked about was a 9 lakh crore in investments in transmission. But this because of this broad number 50 lakh crore. Does this change the the opportunity in a larger manner compared to what we anticipated earlier?
Sandeep Zanzaria
Yeah, it will change, definitely change. But then it also requires there will be a lot of investment has to come in the generation side as well. Because obviously when you are generating then.
Mahesh Pendre
Only you are transmitting.
Sandeep Zanzaria
So generation CAPEX has also to match the transmission capex.
Unidentified Participant
Yeah, yeah. I’m not looking for any number as such. I’m just wanted qualitative input on this. I mean given the such a large scale investment government is looking to, you know, look at for next 15, 20 years. Does that our plan for dealing with in terms of increasing capacity and adding new products and so on. So are there any internal discussions about the all this opportunity and how we are going to focus?
Sandeep Zanzaria
We are already investing as Sushil said, we are already investing into a capex of thousand crores and this is something which we always keep on our radar and there are always internal discussions which keep on happening as a part of the strategy and whenever we require, whenever we think that we are ready for another round of Capex, we will go ahead with that.
Mahesh Pendre
Sure. Thank you. Thank you so much sir.
Sandeep Zanzaria
Thank you.
operator
Thank you. The next question is from the line of Viren Deshpandi from AlphaPic Investments. Please go ahead.
Viren Deshpandi
Hello. Congratulations for the excellent growth which the company has achieved consistently over the last one year. And the order book also 14,000 crore plus plus the HVDC order of Adani which will also be quite substantial I hope where the company with the has the order book full for all maybe next two years if you consider the reasonable growth of about 20, 25%. And so as you mentioned that Chinese competition also is just a speculation and even if it comes it is likely to face the issues like testing and various other things and it will take a lot of time.
Sandeep Zanzaria
So. Our growth projections and all those things and the order booking continues to be good. So it is good. I would like to wish only the best for the company. I don’t have any questions. Thank you. Thank you. But I’m saying that Chinese competition is not speculation. I said that the media news which has come in in that till the time we don’t get a government clarification this news and everything is a speculation.
Viren Deshpandi
Yeah, yeah. Because the government has not mentioned anything on that it has. This news has been appearing for last 15 days or one month and. But the. The. Because there is some shortage in some transformer parts etc. But as you mentioned these things even if they are clarified there is only one manufacturing company which. Which has to produce it in India. No, normally the things government is mentioning for China is that you should produce here in India. So if that is the case, if people have to put up a plant and all those things so it will again be a matter which will be after two, three years only.
So is this understanding correct? Yes. Yes. Okay. So that is good.
Sandeep Zanzaria
Thank you.
Viren Deshpandi
Thank you. And all the best.
operator
Thank you. The next question is from the line of Parikshit Kandapal from HDFC Securities. Please go ahead.
Parikshit Kanpal
Sorry, I got dropped out. My question is on HVDC now we have an HVDC already in our kitty. So are we looking to do we have capacity to take over more or not? HVC products will be active in this market.
Sandeep Zanzaria
So we definitely have capacity for more HVDC project. But it will not be possible for us to disclose on a open call. That we have capacity for 1, 2, 3, 4 HVDCs because these are commercially sensitive information. But yes we have capacity.
Parikshit Kanpal
Okay, so you’re open and you’re exploring more opportunities in this segment.
Sandeep Zanzaria
Secondly, I just want of my opening statement as well that with the HODC opportunities we look forward towards growth with hvdc more hodc.
Parikshit Kanpal
Okay. The other question is related to the. I was talking about us that time I got dropped out and the opportunity in Asia. So are there further discussions on the recent projects the parent has seen in Iraq and in Middle east so that we get a share of some component of related party for the next year.
Sandeep Zanzaria
It’s something which we keep on working and I think whenever there’s an opportunity and if it is very large in nature we will obviously go back to the shareholders for related party approval.
Parikshit Kanpal
Okay. And so just lastly on this current that you received which we want which is VSC project. So so what kind of localization we have for this and what will be the import content or the parent share of insourcing for the parts of the equipment.
Sandeep Zanzaria
So these are very specific information parishit and these are commercially sensitive information. So we don’t share it these information. But I can only tell you that the whole order has been taken by the Varnava TMD India limited and we will deliver the order.
Parikshit Kanpal
And so the cash equivalent in the nine month of 15.9. So is there any reduction in cash equivalence?
Abhishek Srivastava
There has been improvement Prakshit. So last quarter we had I think 15.2 billion and this quarter we had 15.9. And over the last nine months we have generated 6 billion. So I think starting March it used to be around 8 to 9 billion of cash which has now grown up to 15 billion 15.9 rather 16 billion.
Parikshit Kanpal
Okay, 6.7 for the nine months period. Okay, sure sir, thank you and wish you the best answers are the questions.
Sandeep Zanzaria
Thank you.
operator
Thank you. The next question is from the line of Aniket Matt from SBI Mutual fund. Please go ahead.
Aniket Matt
Yes, thank you. Firstly Sandeep, just a basic question. You know while I understand there’s no direct impact of row because a very large chunk of the issue is really coming on the transmission line front. But let’s say because of that is there any indirect impact that comes through as in let’s say the pulling substation or the grid level substation supply gets deferred. If, if there are issues on the transmission line that continues or, or you know, irrespective of that they would ask or they will have to pick up the Supply?
Sandeep Zanzaria
Yeah, definitely. There is a, sometimes there is a impact in terms of lifting the material. But today the developers or the EPC companies, they make alternate provisions. For example, they might take a line somewhere to store the material, etc. So we might, for few cases, we might see a delay of maybe a month or two months in terms of material getting discharged, but nothing major.
Aniket Matt
Okay, so fairly large is essentially being picked up and stored right now, irrespective of the line. Is that fair?
Sandeep Zanzaria
But I don’t, I am not saying that there’s a large number of projects where it gets delayed. For few projects where it get delayed, yes, it gets stored. And then subsequently, whenever it is required or whenever the land is available, then automatically the EPC and the developers speed up the process of executing that project. So the gap is not so much.
Aniket Matt
Okay, fair. The other one was just to understand on the margin front, right? I mean, it’s now three quarters where we’ve been delivering almost 27% and above. And while you’ve partly given reasons, could you maybe elaborate on how much of this is really because of product mix and how much of this is because of some of the legacy orders getting, you know, getting out of the system and we, you know, subsequently getting price hikes. It’d be good to understand just for us to think about how sustainable margins can be.
Sandeep Zanzaria
So I think it depends on what is the starting point and the numbers change depending on which period you are comparing to. But overall, as I mentioned in my beginning statement, there are three major reasons of this increase. One is the volume, because we have been growing like 46% in this nine month period. And last year also we have grown by 35%. So a significant volume growth has given us the operating leverage because we are keeping our fixed cost at a very minimum increase. And besides volume, the other one is the increase in pricing which has happened over last.
operator
Sorry to interrupt, sir, we are unable to hear you. Hello? Hello?
Megha Gupta
So, Rutuja, we are disconnected on the landline number.
operator
We can hear you. Okay, I can still see the connection is there. So you can.
Megha Gupta
Can you please call back?
operator
Yes, doing that.
Megha Gupta
This is already added.
operator
Ladies and gentlemen, thank you for patiently waiting. Sorry, May, please go ahead.
Abhishek Srivastava
Yeah, so we got dropped. Sorry for that. Aniket, I’ll repeat my answer. So this margin improvement is or the better EBITDA in The range of 27% is a result of multiple factors. Increase in volume by 46% this financial year and 35% in the last financial year. That is one of the primary reason better Improvement in pricing and execution of the high margin contracts booked in the last couple of years is another factor. And the third one is the execution improvements. Because the team has been working very strongly to make a significant execution delivery difficult to give the breakup of this improvement.
It’s a result of overall coordinated effort of the company and we continue to hope to work in this direction.
Aniket Matt
If I can just ask you know one more question. The current order book that you have, how much of that would be products and and how much would be projects.
Abhishek Srivastava
So as of now the projects will be lower, less than 30%. But as we are going to also book HVDC order, this mix is going to change significantly because HVDC is classified as a turnkey project. And again I will say that difficult for anyone to keep, you know evaluating the company basis these further nitty gritty and split for us. We as a management team evaluate our company as at the larger level as one company without going into these breakups like export and domestic or you know, one particular business line versus other. We have a very disciplined commercial underwriting process.
Wherever we get the opportunity to fill in the volume and book orders at a better deal. Whether it is domestic market or export market or turnkey project or specific product bases our commercial underwriting process with good and as a result the overall order booking is at a healthy level and we are delivering with good result at 25 to 27% EBITDA.
Aniket Matt
Got that. Thank you for taking my questions.
operator
Thank you. The next question is from the line of Subadit Nitra from Nuwama. Please go ahead.
Unidentified Participant
Good evening and thank you for the opportunity. Sorry I got cut off in between so some of my questions might be a repeat. So taking off from where Aniket left on the margin point. Just trying to get a little bit more color on this. I think in the previous con calls you had alluded to the fact that despite the operating leverage plays and all the other benefits that are there, maintaining a margin of, you know, 25% plus would be difficult. However, what we’re hearing now is you are saying that maintaining a 25, 27% or somewhere in that range of margins is something that is sustainable.
Is that the right understanding?
Abhishek Srivastava
So Shubhad, I’ll start and then I’ll give you some deep to answer. So Shubhudv, there are two parts of this question. First one of the question was that what is the expected margin for this year? And I answered that we have been talking about mid twenties and now with the first three quarter in a good the Results have been very good. So we expect now to be the higher end of the mid-20s for the full financial year for this financial year. And the other related question was the expectations over the future. And for that I and Sandeep we answered that our endeavor is to maintain this mid-20s kind of margin.
And Sandeep answered in the other way around saying that he doesn’t see deterioration in the foreseeable future. A significant deterioration in the foreseeable future. Sandeep, you would like to add anything.
Sandeep Zanzaria
I think you’re right. So Sushil, you have captured it well. So I think Shubha, deep. So as we said clearly is that of course at that point of time as well we didn’t mean it that it would be a significant deterioration. But it was, it was read or it was understood like that. But so this is the final position, what we have.
Unidentified Participant
Perfect. Perfect. I think that makes it amply clear. Secondly, I think if I have to look at the overall ordering in the transmission space right now, I think the current, current fiscal has been relatively slow. I believe last fiscal ordering was in excess of 1 lakh crore. We are significantly lower in this year so far. So do you anticipate a large pickup, you know, in the forthcoming quarters because there is a lot of tendering activity. Is it possible to kind of articulate, you know, what is the size of overall pipeline of let’s say TBCB projects that are in the tendering pipeline that you are seeing?
Sandeep Zanzaria
Look, I think I can, I don’t have the ready number with me about the pipeline but I expect that yes, next year is going to be a much stronger year than what we had this year.
Unidentified Participant
Perfect. Perfect. Understood. Thank you so much, sir.
Sandeep Zanzaria
Thank you.
operator
Thank you. Ladies and gentlemen. This was the last question for today. I now hand the conference over to Ms. Mega Gupta for closing comments.
Megha Gupta
Thank you all for joining the call today. We hope the insights provided by our speakers have been informative and valuable to you. We value the trust and support of our investors and analysts and ensure to remain committed to maintain transparent communication and fostering strong relationships. If you have any further questions or require additional information, please do not hesitate to reach out to me or our communications leader. Thank you.
operator
Thank you. On behalf of GE Varnova TND India limited That concludes this conference. Thank you for joining us and you may now disconnect your lines.