Shares of Indian Energy Exchange (IEX) opened in the green on April 24, rising nearly 2% in early trade, after the company reported an 11% year-on-year increase in net profit for the March quarter. The stock gained momentum as investors reacted positively to the strong quarterly performance.
Financial Highlights for Q4 FY26
IEX reported a consolidated net profit of Rs 101 crore for the quarter ended March 31, 2026, compared to Rs 91 crore in the same period last year, marking a growth of 11%. The revenue from operations during the quarter stood at Rs 145 crore, up 15% from Rs 126 crore in the corresponding quarter of the previous fiscal.
The company's earnings before interest, taxes, depreciation, and amortization (EBITDA) increased by 12% to Rs 120 crore, with margins improving to 82.7% from 81.5% a year ago. The strong operational performance was driven by higher trading volumes and improved efficiency.
Segment Performance
The electricity segment contributed the bulk of the revenue, with volumes rising 14% to 28.5 billion units (BU) during the quarter. The renewable energy certificate (REC) segment also saw robust growth, with volumes surging 22% to 2.1 million certificates. The company's overall market share in the power trading segment remained stable at around 95%.
IEX also declared a final dividend of Rs 2.50 per share for the financial year 2025-26, subject to shareholder approval. The record date for the dividend has been set for May 10, 2026.
Management Commentary
Commenting on the results, IEX's Chairman and Managing Director said, "We are pleased with the consistent performance in the fourth quarter, driven by strong volume growth across all segments. The company continues to focus on expanding its product portfolio and enhancing customer experience."
The management also highlighted the successful launch of the green term-ahead market (GTAM) during the quarter, which received an encouraging response from participants. GTAM allows buyers and sellers to trade renewable energy through short-term contracts, promoting green energy adoption.
Market Reaction and Outlook
Following the earnings announcement, IEX shares gained 1.8% to Rs 145.50 on the BSE. The stock has recovered from its 52-week low of Rs 120 and is now trading near its 50-day moving average. Analysts remain optimistic about the company's growth prospects, citing the increasing demand for power trading and government initiatives to promote renewable energy.
For the full fiscal year 2025-26, IEX reported a net profit of Rs 390 crore, up 15% year-on-year, while revenue grew 18% to Rs 560 crore. The company's board has approved a capital expenditure plan of Rs 50 crore for the next fiscal to upgrade its trading platform and expand into new segments.
