Synopsis: Pace Digitek reported steady FY26 growth driven by telecom and energy infrastructure execution, supported by rising BESS opportunities, strong order inflows, manufacturing expansion and a healthy balance sheet position.
The shares of this small cap company majorly engaged in providing solutions for telecom infra and solar industries also involved in manufacturing, installation and commissioning of DC Power systems, lithium batteries, monitoring systems and inverter jumped upto 10 percent after posting robust Q4 FY26 result.
With the market capitalization of Rs. 4430 Crores, the shares of Pace Digitek Ltd reached an intraday high of Rs. 210.70 per share rising nearly 11 percent from its previous day close of Rs. 190.40 per share and is trading at a P/E of 17.6 whereas industry P/E stands at 17.5
Financial Performance
Pace Digitek reported revenue from operations of Rs. 2,641 crore in FY26, registering an 8.3 percent year-on-year growth compared to Rs. 2,438.8 crore in FY25. Profit after tax (PAT) increased 10.1 percent YoY to Rs. 307.3 crore, while PAT margin improved slightly to 11.4 percent from 11.3 percent . Profit before tax (PBT) for FY26 stood at Rs. 430 crore, rising 11.9 percent YoY. EBITDA for the year came at Rs. 455.2 crore, though EBITDA margin declined to 17.2 percent from 19.8 percent in FY25.
The company delivered particularly strong performance during Q4 FY26. Quarterly revenue rose 60.5 percent YoY to Rs. 1,096.8 crore from Rs. 683.3 crore. EBITDA more than doubled to Rs. 163.2 crore, up 114 percent YoY, while EBITDA margin improved to 14.9 percent from 11.2 percent . Quarterly PAT surged 88.1 percent YoY to Rs. 105.9 crore with PAT margin increasing to 9.5 percent . PBT for the quarter stood at Rs. 146 crore, rising 93.9 percent YoY.
Strong Push in Energy Business
The energy segment remained one of the key growth drivers during FY26. Pace Digitek operationalized its Battery Energy Storage System (BESS) manufacturing platform with an installed capacity of 2.5 GWh. During the year, the company delivered 178 BESS containers and executed 480 MWh of utility-scale BESS capacity.
The executable energy order book stood at Rs. 8,854 crore as of May 25, 2026, while overall BESS order visibility crossed 5 GWh. The company also expanded localization initiatives through in-house container fabrication and manufacturing automation, aiming to improve operational efficiency and supply-chain integration.
Apart from utility-scale projects, Pace Digitek developed Commercial & Industrial (C&I) energy storage prototype solutions, which are currently being evaluated for commercial deployment. The company also continued expanding across manufacturing, EPC and selective Build-Own-Operate (BOO) opportunities to strengthen recurring income streams and long-term business visibility.
Telecom & ICT Operations Continue to Expand
The Telecom & ICT segment also recorded healthy execution during FY26. The executable Telecom & ICT order book stood at Rs. 2,484 crore as of May 25, 2026. During the year, the company manufactured 7,877 telecom power systems, erected 1,035 telecom towers, commissioned 1,297 telecom power systems and completed 2,109 km optical fibre cable (OFC) rollout across different regions in India.
Pace Digitek also completed BSNL 4G saturation tower deployment execution during the year and entered the Operations & Maintenance (O&M) phase for the project. This strengthened the company’s lifecycle services business and expanded its pan-India O&M footprint. The company continued leveraging its telecom infrastructure execution capabilities and nationwide deployment network to explore adjacent infrastructure opportunities.
Manufacturing Expansion and Execution Capabilities
During FY26, Pace Digitek continued strengthening its EPC execution, commissioning and deployment capabilities across both telecom and energy infrastructure businesses.
The company also invested towards phased expansion of its BESS manufacturing capacity from 2.5 GWh to 10 GWh in response to growing energy storage demand in India. Alongside capacity expansion, the company undertook strategic realignment across subsidiaries to improve operational integration, execution efficiency and overall project delivery capabilities.
Order Book and Financial Position
Pace Digitek ended FY26 with a total executable order book of Rs. 11,338 crore, providing strong revenue visibility for the coming years. The company maintained a healthy balance sheet despite ongoing expansion investments. Cash and bank balances stood at Rs. 769 crore, while the net debt-to-equity ratio remained low at 0.09x. This reflects the company’s ability to fund growth while maintaining financial discipline.
Management Commentary and Future Focus
Management highlighted FY26 as a strong year of execution and scale-up across both Energy and Telecom & ICT businesses. The company stated that higher execution across telecom infrastructure and energy projects supported overall growth during the year.
The management also emphasized continued investments in BESS manufacturing, localization initiatives, backward integration and operational efficiency. With a growing order book of Rs. 11,338 crore and ongoing investments in manufacturing and execution capabilities, Pace Digitek plans to strengthen its position across India’s telecom and energy infrastructure sectors.
Conclusion
Pace Digitek closed the year with steady operational progress across both its energy and telecom businesses. The company continued expanding its execution capabilities, strengthened its presence in the energy storage segment and improved its integrated manufacturing and service operations. Growth in telecom infrastructure deployment and lifecycle services further supported business momentum. With continued investments in capacity expansion, localization and operational efficiency, the company remains focused on strengthening its long-term position in India’s infrastructure and energy sectors while maintaining a disciplined and balanced approach towards future growth opportunities.
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