Penugonda is a town in West Godavari district of the Indian state of Andhra Pradesh.

Narasapuram to Nidadavolu main line passes through Penugonda.

It is the junction for the people to go to Rajahmundry, Nidadavolu, Palakollu, Pekeru, Tanuku, and Bhimavaram.

As of 2011[update] Census of India, Penugonda had a population of 16038.

1377 children are in the age group of 0–6 years, with sex ratio of 1046 females per 1000 males.