31 July 2018 Power Grids (PWGR) 1QFY19 reported PAT increased ~9% YoY to INR22.4b (est. of INR24.2b), as growth in Transmission was partly offset by a decline in the Consultancy business. Capitalization stood at INR37b v/s INR35b in 1QFY18, representing ~13% of our full-year capitalization estimate. Capex stood at INR52b, almost double YoY. While Transmission revenue grew ~14% YoY and segment EBIT also increased at similar ~14% YoY, growth in Transmission PAT was not commensurate, likely due to certain under-recoveries. Transmission revenue in 1QFY19 includes INR329m revenue for the prior period. Telecom revenue increased 21% YoY to INR1.9b, while EBIT rose 46% YoY to INR1.1b. Consultancy revenue declined 28% YoY to INR1.5b, while EBIT fell 47% YoY to INR0.8b.