Viviana Power: Can Transformer, BESS, and EPC Expansion Drive the Next Phase of Growth?

Synopsis: A power transmission and distribution EPC company has grown revenue 16x since its 2022 listing, closing FY26 at Rs.533 crore with a Rs.1,000 crore-plus order book. It’s now investing Rs.100 crore in transformer manufacturing and entering battery storage, while guiding for Rs.900 crore-plus revenue in FY27.

Having scaled rapidly since its market debut four years ago, this power infrastructure company is now attempting a more ambitious pivot  from pure EPC execution into transformer manufacturing and battery storage, while chasing a much larger set of government contracts. The piece looks at what’s driving this shift, the numbers behind it, and where the open questions sit.

With a market capitalization of approximately Rs. 787 crore, the shares of Viviana Power Tech Limited were trading at around Rs. 777 per share, with a 52-week range of Rs. 1,162 to Rs. 565. It is trading at a P/E of approximately 16x

Riding India’s Rs. 9.2 lakh crore grid buildout

India is expected to invest nearly Rs. 9.2 lakh crore in transmission infrastructure between FY25 and FY32, with peak electricity demand projected to almost double from 238 GW to 458 GW over the same period, as the Central Electricity Authority targets 500 GW of non-fossil fuel generation capacity by 2030. Viviana Power Tech’s core expertise lies in EPC execution for extra-high-voltage substations and transmission lines up to 400 kV, positioning it to participate in this multi-decade infrastructure cycle rather than a short one.

A record order book, and a bigger FY27 target

FY26 was a milestone year on paper. Consolidated revenue came in at Rs.533 crore, translating to roughly 16x growth since Viviana Power Tech listed on the NSE Emerge platform in September 2022. PAT for the year stood at Rs.53.46 crore. Viviana Power Tech also migrated to the NSE main board on June 2, 2026, following approval on May 21, 2026.

Heading into FY27, Viviana Power Tech’s total order book stands at more than Rs. 1,000 crore. This includes approximately Rs. 540 crore in confirmed EPC bookings, alongside an additional Rs. 240 crore from projects where the company has emerged as the lowest bidder (L1) and is currently awaiting the formal Letter of Intent (LOI) to announce. The remainder of the pipeline is tied to Battery Energy Storage Systems (BESS). Looking forward, the company is also actively participating in a robust bidding pipeline totaling more than Rs. 1,500 crore. 

Viviana Power Tech Management is targeting Rs.700–800 crore of fresh orders to carry forward into the following year, after executing the current order book. Guidance for FY27 consolidated revenue stands at more than Rs.900 crore  a jump of roughly 70% over FY26, while PAT margin guidance for FY27 has been set at 8.5% to 9.5%, slightly below an earlier indicated figure of around 10%, which management attributed to raw material volatility and geopolitical uncertainty.  On raw materials specifically, 90–95% of current order bookings carry a price variation clause, meaning cost pass-through is largely protected barring material availability issues.

Worth flagging: a similar order book figure (over Rs.1,000 crore) was also cited heading into FY25, yet that year’s actual revenue landed at Rs.533 crore  a gap investors may want to watch rather than reading order-book size alone as a revenue guarantee. Management’s explanation is that typical project execution cycles run 6 to 24 months, so revenue recognition naturally lags order intake.

₹100 Cr Transformer Growth Investment 

Viviana Power Tech is setting up a greenfield transformer manufacturing facility near Vadodara, spread across 14 acres, backed by an approved capex of Rs. 100 crore (with the first phase specifically pegged at Rs.70–80 crore). 

The rollout is planned in stages: manufacturing transformers up to 10 MVA starting by the end of next month, type-testing capability up to 18.5 MVA by the end of this financial year, scaling to 63 MVA (132 kV) manufacturing by the end of next financial year, and eventually to 500 MVA (400 kV) by FY30  after which reactors and furnace transformers are planned as an addition. Testing facility capacity itself is expected to reach 2,000 MVA this financial year and 5,000 MVA the following year.

On an existing order from Gujarat utilities for 3,000 transformers, Viviana Power Tech has already manufactured and supplied more than 1,900 units so far. Management’s long-term target has the transformer business alone generating Rs. 400–600 crore in standalone revenue by FY30, scaling to Rs. 1,000–1,200 crore in segment revenue by FY32 at full capacity utilisation, with PAT margins expected in the 9–10% range for that specific business. 

The company also plans to pursue UL certification expected by the end of the next financial year to enable transformer sales into the US and Canadian markets, alongside the domestic opportunity, which management believes has at least two decades of runway before shifting to a replacement-driven market.

BESS as a gateway to bigger government contracts

Viviana Power Tech’s entry into Battery Energy Storage Systems (BESS) is framed less as a standalone revenue driver and more as a qualification tool. Owning and operating BESS assets is expected to help meet the technical and asset-ownership thresholds required to bid for larger central government tenders under TBCB and Ministry of Power programmes, which typically carry higher margins.

On a Rajasthan BESS project for RVUNL, involving total capex of around Rs.198 crore, the company has secured individual sanctions from two lenders  Indian Overseas Bank and Canara Bank  and expects financial closure within the following week, pending a final land allotment letter from the Jodhpur district revenue department. 

Broken down further, the funding structure discussed for a similar-sized BESS investment involves roughly Rs.60 crore in equity, Rs.60 crore in subsidy, and Rs.180 crore in debt, against an estimated annual revenue of Rs.40 crore and interest cost of Rs.17–18 crore, implying a cash PBT of around Rs.14 crore  a structure management confirmed as directionally accurate when asked.

Present-day IRR on BESS is expected to be in the single digits, with management anticipating improvement as project execution matures and lithium prices continue correcting. Separately, a Gujarat BESS project requires about 110,000 square feet of land adjacent to a pooling substation; the site has been identified, and a power supply agreement (BESPA) has been signed with GUVNL. No BESS-linked revenue is expected in the current financial year, with major capex only beginning next year.

A capital-light real estate arm to unlock working capital

A 90%-owned subsidiary, Viviana Life Spaces, is developing two projects in Vadodara valued at a combined Rs.370 crore  one corporate property and one residential project  expected to generate Rs.350–360 crore in revenue over the next couple of years. Guidance for the immediate next financial year is narrower, at Rs.125–150 crore in Life Spaces-related revenue, which management clarified relates to asset sales rather than rental income.

The stated rationale: rather than pledging promoter equity or encumbering manufacturing assets to raise working capital collateral, the company noted that cash collateral currently accounts for 90–95% of its fund utilization from banks  it will instead retain roughly 15–20% of the value from these developed projects as debt-free collateral. 

The projects themselves are funded through a mix of project debt and outside investors, with the remaining roughly 10% coming from investor capital, rather than from the parent company’s own funds. Longer term, management is targeting accumulation of more than Rs.100 crore in debt-free commercial assets by FY30, expected to generate Rs.6–8 crore per year in rental income once stabilised  enough, by management’s estimate, to help offset interest costs on working capital facilities.

Balance sheet and receivables

Management has projected a long-term debt-to-equity ratio of 1.2x to 1.5x even as manufacturing capex ramps up, to be funded largely through internal accruals. Viviana Power Tech has also raised Rs.45 crore through NCDs carrying a 12% coupon.

On receivables  flagged as a point of concern on the call  management said more than 60% of a debtor base of roughly Rs.300 crore had been collected by the end of May 2026, attributing the elevated receivables largely to revenue being concentrated in the March quarter (around Rs.250 crore billed in March alone), which mechanically inflates the year-end receivables figure. Current cash position, including non-fund-based limits, stood at Rs.73.63 crore.

The bottom line

This is a business trying to do several things at once  scale its core EPC engine, build a manufacturing arm from scratch, enter battery storage as a stepping stone to larger contracts, and fund working capital through a real estate subsidiary. Each piece has a clear strategic logic, and the FY26 numbers show real growth. 

But the number of moving parts, along with a recurring pattern of large order-book figures not fully translating into matching revenue the following year, means execution through FY27 and FY28 will be the real test of whether this transition holds together as cleanly as management currently describes it.

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