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Q1FY26 – Analyst conference call N Venu, Managing Director & CEO Hitachi Energy India Ltd.
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2 Important Notices This presentation includes forward-looking information and statements including statements concerning the outlook for our businesses. These statements are based on current expectations, estimates and projections about the factors that may affect our future performance, including global economic conditions, and the economic conditions of the regions, countries and industries that are major markets for Hitachi Energy India Limited (“Hitachi Energy India”). These expectations, estimates and projections are generally identifiable by statements containing words such as “expects,” “believes,” “estimates,” “targets,” “plans,” “outlook” or similar expressions. There are numerous risks and uncertainties, many of which are beyond our control, that could cause our actual results to differ materially from the forward-looking information and statements made in this presentation and which could affect our ability to achieve any or all of our stated targets. The important factors that could cause such differences include, among others: – business risks associated with the volatile global economic environment and political conditions – costs associated with compliance activities – market acceptance of new products and services – changes in governmental regulations and currency exchange rates, and – such other factors as may be discussed from time to time in Hitachi Energy India’s filings with the Stock Exchanges and Securities and Exchange Board of India (SEBI), including its Annual Report. Although Hitachi Energy India believes that its expectations reflected in any such forward-looking statement are based upon reasonable assumptions, it can give no assurance that those expectations will be achieved. HITACHI
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3 License to operate: Safety, Integrity, Quality Employee engagement & training Customer appreciation and awardsTotal recordable injury frequency rate Safety Integrity Quality 0.1 0.09 0.09 0.17 0.11 0.09 0.12 FY20 FY21 FY22 FY23 FY24 FY25 Q1FY26 HITACHI M'11 TJWtSMlh lON UlffltD ---- ----------------------------- -______ ..., __ _ O-- ~indalco Role Model • I\J 'cfi • . ;fl - u~~ -·· ~ _ .,,,,. ~.,...,;.--
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4 Sustainability through a framework of Planet, People, and Principles Focus Segments Targets 2030 (base year 2019) Targets FY26 Planet Emission 50% reduction in CO2 emissions along the value chain Meet the target and keep CO2 emissions below 50% from 2019 level, currently 84% reduction Renewable Electricity 100% renewable electricity in Operations 100% renewable achieved already and to be maintained in FY’25 Water 25% reduction in freshwater use With 18% reduction in FY’24, working to reduce to over 25% for FY’25 Waste 50% reduction in waste disposed to landfill or incineration 69% reduction achieved in FY’24, target to reduce further in FY’25 People Safety Zero harm - zero fatalities and serious injuries Committed to zero harm and zero fatalities Diversity Increase female diversity from 5.8% to 16-18% for HE ecosystem in India Diversity 9% at the end of FY’24, plan to maintain it over 9% in FY’25 Principle Corruption Zero incidents of corruption and bribery Committed to zero incidents of integrity HITACHI ~ ---0- -0--
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5 Investments solid, economy continue to grow • IMF1 has projected Indian Economy to be fastest growing major economy in FY26 at 6.5%. • Indian GDP2 grew at 6.5% in FY25, and became the fourth largest economy of the world. • Inflation3 fell to 2.10% in June 2025, the lowest level in last six years. • Total exports2 reached a record 825BUSD (INR 69.11 Lakh Cr) in FY25. • FDI inflows1 rose to 81.04BUSD (INR 6.96 Lakh Cr) (provisional) in FY25, up 14% from FY24 • USA plans to impose 26% tariff4 on India for export of goods, the impact of which is still not clear. Decision currently deferred to 01st Aug 25. Economic highlights Investment reflect growth for the sectors Renewables INR 3.1 Lakh Cr in renewables5 by 2030, including 50% investment for transmission and storage Transmission Industry Data Center Transport CRISIL projects spend of over INR 1 Lakh Cr on ISTS network6 alone in next 2 years to meet 2027 NEP Target Manufacturing7 PMI at a 14-month high in June 2025 at 58.4, indicating growth in the sector Distribution India’s estimated data centre8 sector may attract INR 1.7-2.1 Lakh Cr in next 6 years Annual budget for metro projects9 expanded from INR 5,798 Cr in FY’13 to INR 34,807 Cr in FY’25 UP opens privatization10 for two DISCOMs to address power losses and outdated infrastructure 1. Global Economy, 2. India GDP , 3. Inflation 4. USA Tariff, 5, Renewables, 6. Transmission, 7. Industry, 8. Data Center, 9. Transport, 10. Distribution ~~~ ~ HITACHI
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(INR crore) Q1FY26 Apr-June 2025 YoY % QoQ % Orders 11,339.2 365.4% 417.6% Revenue 1,529.8 15.3% -20.4% PBT 176.9 1075.3% -28.3% PAT 131.6 1163.0% -28.4% Strong order book momentum and margin performance 6 Key orders in Q1FY26 • Transmission: 30x 500 MVA 765 kV Bulk for national transmission utility • Renewable, solar: 400kV GIS in Tiroda • Renewables, solar: Capacitor Banks for Bikaner & Barmer Statcom Projects • Industries: 220/33kV GIS SS for semiconductor manufacturer in Chennai • Rail: 6x100 MVA, 132 kV Scott & 2x100 MVA, 220 kV Scott Trafos for Central Railway • Automation: CRP SAS for Techno Electric-PowerGrid, Kurnool • Service: Upgrade 400kV GIS Bay at Malerkotla Highest ever order backlog of INR 29,125.3 crore provides revenue visibility for several quarters HITACHI
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Bhadla-Fatehpur HVDC Technicals 6,000 megawatt (MW), ±800 kilovolt (kV) bi- pole and bi- directional HVDC terminals Details Transmit power from renewable energy zone at Bhadla Rajasthan to Fatehpur UP via 950 km long circuit Impact Capacity to power approximately 60 million households in India. Backdrop Adani Energy Solution awarded the project to consortium of Hitachi Energy India and BHEL Scope Hitachi Energy India to provide converter trafo, AC/DC control and protection, thyristor valves, 765 kV/400 kV grid connections & auxiliary systems 7
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8 Milestones in our operations & outreach Technical presentations to customer across geographies State utilities, national utilities of neighboring countries, rail customers Dead Tank CT, Maintenance free springless isolator, EconiQ solutions, On-Load Tap Changers, Bushings, advanced power conversion solution, etc Gold at QCFI Convention 2025 for Transformers Gold at CII’s 52nd Kaizen Competition 2025 for Grid Automation Industry recognition: for consistent quality improvements Welcoming a new batch of students from Gujarat into women in engineering program; upgrading two more government schools with smart classrooms. Women in Engineering Initiative at Gujarat - IEEE Power & Energy Society: Powering the Future - Role of grid modernization - IEEE ECCE Asia 2025 panel discussion on enabling Women in Engineering - HE India is a key contributor to National Energy Policy through India Energy Stack (IES) Technical thought leadership across industry events PRESENTEOTOTllE TEAM fROM Hitachi Energy India Limited FOIi PRESENTING A CASE STUDY UNDER RENOVA TM CATEGORY Al T11£ 52ND CII NATIONAL KAI-ZEN COMPETITION ~ EN[fGHTEN WEBINAR SERIES TQl'lC Poweri!l9 the future : The Ro.le of Grid Moderni1otion in Sustolnoble fMrgy ■ &MAY202S &,JO PM 1ST -·- HITACHI
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9 Commissioning across transmission and industries Design engineering, manufacturing and testing at works. Packaging, loading and transportation, supply and erection of 400kV Sub-Station, excluding civil work. TPDDL: 66kV GIS Transformer Bay Extension at Karala , Delhi Design, engineering, manufacture, supply, erection, testing and commissioning of 400 kV Sub-station at Aditya Birla’s Aluminium Smelter. Aditya Aluminium: 400/220kV AIS Substation at Lapanga, Odisha Design, engineering, manufacture, supply, erection, testing and commissioning for 400kV Bay extension at OPTCL, Lapanga (Remote End) along with PLCC system, wave traps & FOTE OPTCL: 400kV Bay extension at Lapanga, Odisha BALCO : 400 kV GIS Bay Installation at Korba, Chhattisgarh Design, engineering, manufacturing, assembly and testing at manufacturer’s work, packing & forwarding/dispatch, supply of material/ equipment’s, transportation including transit Insurance on site HITACHI
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Segment-wise performance: Sharp growth in transmission and railways 10 Order Mix w/o HVDC Segment Sector Channel All figs in INR Cr, Data reflective from SFDC and may be subjected to variations 78% 16% 6% 57% 39% 4% Product Project Service Q1 FY 26 Q1 FY 25 80% 11% 9% 89% 9% 2% Utilities Industry Transport & Infra Q1 FY 26 Q1 FY 25 40% 24% 26% 10% 71% 11% 9% 9% DEU EPC OEM Distributor Q1 FY 26 Q1 FY 25 Key Segments Yoy Growth Transmission 625% Industries 23% Data Centre 98% Railway and Metro 845% Renewables (Wind & Solar) -25% 1111 -- ·- ■ - HITACHI - - - - -- ■ ■ ■ ■ ■ ■
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Exports, service: Levers of growth Diverse geographies and industries help sustain exports momentum • Common Apparatus & Devices, Capacitors & Filters, USA • Common Apparatus & Devices, Capacitors & Filters, Sweden • 420 kV, 123 kV & 72.5kV Circuit Breakers for Dynamic Balancing Reserve projects, Hungary • 36 Nos. DTB for KPTL Guyana Power • 245kV & 72.5kV Disconnectors for GPL, Guyana • Grid Automation Products, Australia Exports contribution within ambition corridor, service in high single digit 11 Flat YoY Service drives lifecycle engagement with customers • 400KV GIS Extension in Malerkotla • HVDC Spares for RP Project – C&P Cards • Bhutan Utility: Spares for Hitachi make GIS • Harmonic Filter Banks for renewable energy IPP • Transformer Life Cycle Service Orders from railways • Largest-ever SCADA update for capital’s metro system • Research and standards body – Test bench extension order • Industry in Haryana– CRP & SAS Replacement Q1FY25 Q1FY26 HITACHI ■ ■
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12 Financial performance Highest ever order backlog of INR 29,125.3 crore provides revenue visibility for several quarters (INR crore) Q1FY26 Q1FY25 YoY% Q4FY25 QoQ% Orders 11339.2 2436.7 365.4% 2190.9 417.6% Revenue 1529.8 1327.3 15.3% 1921.9 -20.4% PBT 176.9 15.1 1075.3% 246.7 -28.3% PBT % 11.6% 1.10% 12.8% PAT 131.6 10.4 1163.1% 183.9 -28.4% PAT % 8.6% 0.8% 9.6% Op EBITDA 170.2 61.5 176.6% 235.6 -27.8% Op EBITDA % 11.1% 4.6% 12.3% HITACHI
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13 INR Crores Financial result analysis Particulars 3 months ended 30.06.2025 3 months ended 31.03.2025 3 months ended 30.06.2024 FY25 Crs % Crs % Crs % Crs % Income Revenue from operations 1,478.9 96.7% 1,883.7 98.0% 1,327.2 100.0% 6,384.9 99.1% Other income 50.9 3.3% 18.2 0.9% 0.1 0.0% 18.6 0.3% Exchange & commodity gain - 0.0% 19.9 1.0% - 0.0% 38.6 0.6% Total income 1,529.8 100.0% 1,921.9 100.0% 1,327.3 100.0% 6,442.1 100.0% Expenses Material costs 822.3 53.8% 1,183.0 61.6% 833.7 62.8% 3,965.7 61.6% Personnel expenses 145.3 9.5% 144.4 7.5% 122.7 9.2% 544.8 8.5% Other expenses 347.0 22.7% 318.3 16.6% 313.5 23.6% 1,278.7 19.8% Exchange & commodity loss 9.4 0.6% - 0.0% 9.4 0.7% - 0.0% Depreciation 25.0 1.6% 23.5 1.2% 22.1 1.7% 91.4 1.4% Finance costs 4.0 0.3% 6.0 0.3% 10.9 0.8% 45.2 0.7% Total expenses 1,353.0 88.4% 1,675.2 87.2% 1,312.3 98.9% 5,925.7 92.0% Profit before tax 176.9 11.6% 246.7 12.8% 15.0 1.1% 516.4 8.0% Tax expense 45.3 3.0% 62.8 3.3% 4.6 0.3% 132.4 2.1% Profit for the quarter / year 131.6 8.6% 183.9 9.6% 10.4 0.8% 384.0 6.0% HITACHI
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STRICTLY CONFIDENTIAL 14 Markets Maintain leadership in core segments – Renewables, Utilities, HVDC, Industries and Infrastructure. Harness new segments – such as data centers Shift center of gravity to include Export, Service and Digital Expand at the edge of the grid, BESS Business Strong Focus on BU service Operational excellence to improve productivity, quality & opportunities in One Hitachi Strengthen margin and cash focus Deliver on largest-ever backlog for revenue & attain profitability Focus on capacity expansions Function Reinforce safety culture Upskill & cross-skill talent for agile energy transition Build capacities for future growth Priorities FY 26
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