Vedanta Power Shares Drop Over 6% Despite 38% Jump in Q1 Power Sales to 5,225 Million Units

Vedanta Power shares fell nearly 6% on Monday, even after the company posted a strong operational update. Power sales for the June quarter rose 38% year on year to 5,225 million units, up from 3,784 million units a year earlier. Investors booked profits anyway, extending a pullback that began Friday.

Vedanta Power’s Q1 Sales Jump 38%

Vedanta Power Limited (VEDL.NS) reported Q1 FY27 power sales of 5,225 million units on Friday, after market hours. That growth came from improved generation across the company’s plants and a bigger contribution from Meenakshi Energy. The update marks the company’s first full quarter as an independently listed entity.

Talwandi Sabo and Meenakshi Lead the Gains

Meenakshi Energy drove much of the increase, with sales jumping 245% to 1,350 million units. That plant ran at full 1,000 MW capacity this quarter, compared with a single 300 MW unit active a year ago. Talwandi Sabo Thermal Plant added 2,723 million units, roughly flat year on year.

• Meenakshi Energy: sales up 245% to 1,350 million units.
• Talwandi Sabo Thermal Plant: 2,723 million units, broadly unchanged.
• Talwandi Sabo Plant Availability Factor: 86%, above its 80% PPA requirement.

Why the Stock Fell Despite Strong Sales

Vedanta Power shares closed 5.9% lower on Monday, based on NSE data. The decline followed an 8% intraday drop on Friday, when the stock touched a low of ₹44.77 on the BSE. That session capped a rally in which shares had gained 20.75% over the two prior sessions.

Profit-Booking After a Sharp Rally

Vedanta Power listed on the NSE and BSE on June 15, 2026, following its demerger from Vedanta Limited. The stock rallied hard in its first weeks of trading, prompting heavy profit-booking once momentum stalled. Analysts described the pullback as position unwinding rather than a response to weak fundamentals.

Sakti Plant Outage Weighs on the Update

The Sakti Thermal Plant reported lower output this quarter after a temporary shutdown tied to a boiler incident. That decline partly offset the stronger performance at Meenakshi Energy and Talwandi Sabo. The company did not disclose a complete restoration timeline for the affected unit.

Vedanta Power’s Capacity Expansion Plans

Vedanta Power currently operates 4.2 GW of thermal capacity, making it India’s fifth-largest private thermal producer. The company plans to expand this to 12 GW by FY33, backed by roughly ₹66,000 crore in planned capital expenditure. Management also targets raising EBITDA from about ₹1,500 crore now to ₹3,260 crore by FY29.

#AwaazMarkets | Q1 अपडेट के बाद वेदांता ग्रुप कंपनियों में हलचल

वेदांता एल्यूमीनियम: Q1 में रिकॉर्ड तिमाही उत्पादन

वेदांता पावर: कुल बिक्री 38% बढ़ी (YoY)

पूरी अपडेट बता रहे हैं CNBC-TV18 के सुदर्शन कुमार@sudarshankr #Vedanta #Q1Results #BusinessNews pic.twitter.com/vFZ9fNQfL5

— CNBC-AWAAZ (@CNBC_Awaaz) July 6, 2026

• Current capacity: 4.2 GW across four operating thermal plants.
• Near-term target: 12 GW of capacity by FY33.
• Longer-term ambition: 20 GW, with a push into hydro, battery storage, and nuclear power.

How Vedanta Power Fits Into the Broader Demerger

Vedanta Power is one of four businesses that separated from Vedanta Limited during its May 2026 demerger. Shares in Vedanta Power, Vedanta Iron & Steel, and Vedanta Oil & Gas all traded lower Monday, while Vedanta Limited, Vedanta Aluminium (VAML.NS), and Hindustan Zinc posted gains during the same session.

Final Thoughts

Vedanta Power’s 38% jump in Q1 power sales shows real operational progress, led by Meenakshi Energy’s expanded capacity. The stock’s 5.9% drop Monday reflects profit-booking after a steep post-listing rally, not a shift in the underlying business. With a clear roadmap toward 12 GW of capacity by FY33, the company’s longer-term growth story remains intact.

Disclaimer:

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