The Hindu Business Line : Tata Power Q2 net down 17 pc

FALL in revenue from electricity sales has led to a 17.13 per cent fall in Tata Power Company's second quarter net profit to Rs 141.54 crore from Rs 170.81 crore in the second quarter last year.

Net income was down 11.44 per cent mainly because of lower revenues from power supply. The company earned Rs 885.58 crore from power supply, down from Rs 1,004.80 crore in the same period last year while revenue from electronics, broadband and project consultancy was up to Rs 52.47 crore (Rs 45.60 crore). The EPS during the period under review was Rs 7.14 (Rs 8.63).

"Tata Power had reduced its tariff by 12.4 per cent, as per the orders of Maharashtra Electricity Regulatory Commission. As tariff is a pass through to consumers, revenues have been lower," said a company spokesperson.

Total expenditure for the quarter stood at Rs 720.51 crore, marginally higher than Rs 717.26 crore last year. Interest payments and depreciation were lower at Rs 48.74 crore (Rs 61.74 crore) and Rs 75.12 crore (Rs 82.09 crore) respectively.

The company raised Rs 600 crore through a debenture issue during the quarter. It also earned Rs 51 crore from sale of its stake in Tata Telecom and Haldia Petrochemicals. It received Rs 9.8 crore as maiden dividend from its subsidiary Tata Petrodyne, a news release said.

The company is in the process of receiving shareholder approval for sale of its 75 MW Wadi unit to ACC Ltd for Rs 238 crore.

Tata Power Company has signed an agreement with the Government of Bangladesh to set up a 1,000 MW gas-based plant in the country, the release said.