IEX Shares Recover After Thursday Rout, Rises 10% On Q1 Earnings Beat

Last Updated:July 25, 2025, 10:11 IST
Shares of Indian Energy Exchange Ltd (IEX) staged a sharp recovery in Friday’s trade, rising 10% to hit the upper circuit
IEX Shares Hit Upper Circuit
IEX Shares Price: Shares of Indian Energy Exchange Ltd (IEX) staged a sharp recovery in Friday’s trade, rising 10% to hit the upper circuit at Rs 145.65 on the BSE. The rebound came after a steep 29% fall on Thursday, as investors reassessed the sharp selloff as excessive. The recovery was supported by better-than-expected June quarter results, providing temporary relief to IEX’s 13.59 lakh retail shareholders.
Strong Q1 Results Back Recovery
IEX reported a 25.2% year-on-year (YoY) rise in consolidated net profit to Rs 120.7 crore for Q1FY26. Revenue also rose 19.2% YoY to Rs 184.2 crore, compared to Rs 154.5 crore a year ago.
Brokerage Motilal Oswal Financial Services (MOFSL) said revenue was in line with its estimates, EBITDA fell short, but profit after tax (PAT) beat expectations by 5%, thanks to higher other income. The firm maintained a ‘Neutral’ rating on the stock.
JM Financial echoed a similar view, stating that while Q1FY26 results were broadly in line with expectations, PAT exceeded expectations due to stronger-than-anticipated other income.
Investor activity was intense on Friday. Turnover remained unusually high, with IEX shares worth Rs 480 crore traded across NSE and BSE.
Summer Demand and Government Measures
IEX said India’s peak power demand during summer 2025 hit 242 GW on June 12. The government took proactive steps, including invoking Section 11 of the Electricity Act to mandate full-capacity operation of imported coal-based plants, activating gas-based units, and ensuring adequate domestic coal supplies.
Despite forecasts of record demand (277 GW), an early monsoon and widespread unseasonal rains kept temperatures—and power consumption—lower than expected. India’s electricity consumption in Q1FY26 stood at 446 BUs, down 1.3% from the year-ago period.
CERC Order and Market Coupling
On the regulatory front, IEX addressed the Central Electricity Regulatory Commission’s (CERC) recent order to implement market coupling in the Day-Ahead Market (DAM) segment.
IEX said it is conducting a detailed impact assessment and will update stakeholders as the implementation progresses. As per the directive, market coupling will begin in a phased manner with DAM by January 2026, using a round-robin model where exchanges take turns as Market Coupling Operators (MCOs). Grid-India will act as the backup MCO with audit responsibilities.
CERC has also asked for similar coupling mechanisms in other market segments like the Real-Time Market (RTM) and Term-Ahead Market (TAM), to be explored through pilots and consultations.
Impact on IEX Market Position
IEX currently commands a ~90% market share in electricity trading across power exchanges. Analysts fear that once market coupling is implemented, IEX’s pricing advantage may diminish.
With a uniform market clearing price (MCP) across exchanges, IEX could be reduced to a neutral clearing platform—similar to PTC India—removing its ability to compete on price or efficiency.

Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a…Read More
Aparna Deb is a Subeditor and writes for the business vertical of News18.com. She has a nose for news that matters. She is inquisitive and curious about things. Among other things, financial markets, economy, a… Read More
view comments
- First Published:
[title_words_as_hashtags