Tata Power, on a consolidated basis, has posted a four-fold rise in net profit at Rs 441 crore for the quarter-ended December 31, 2010, compared to Rs 99 crore logged in the same period last year.

The company was benefited by lower power purchase to an extent of Rs 249 crore – a Rs 20 crore gain on the forex front in addition to higher realisation of coal.

This is despite the quantity sold being lower than in the corresponding period last year.

Revenues were at Rs 4,413 crore as compared to Rs 4,488 crore.

Segment-wise net revenue from power business was Rs 2,611 crore (Rs 2,909 crore), while the coal business was at Rs 1,672 crore (Rs 1,435 crore). The power business also recorded profit on account of the decrease due to low merchant rate realisation.

Coal companies reported higher realisation.

In the previous year, the carrying cost of deferred stripping was reviewed based on a technical report which resulted in a charge of Rs 371 crore in FY10Q3. In this quarter, the deferred stripping cost has been capitalised to the extent of Rs 71 crore, the company said.

Mr. Anil Sardana, Managing Director, Tata Power, said: “All our business divisions have performed well. Our operations continue to be stable and the new projects under implementation are progressing well. The quarter performance is in line with the growth target charted out by the company.

“The stage is set for the commissioning its new projects at Maithon and Mundra. We are committed to our Sustainability agenda. The recent signing of the PPA with the Gujarat Government for 25 MW of solar power is a significant step in strengthening our renewable portfolio.”

The Tata Power scrip on BSE closed four per cent higher at Rs 1,241 on Monday.

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