Companies

JSW Energy Q1 net up 6.5% to ₹244 cr

Mumbai | Updated on August 06, 2019 Published on August 06, 2019

JSW Energy has reported a 6.5 per cent rise in net profit to ₹244 crore in the June quarter compared to ₹229 crore it posted in the same period last year. This improvement largely came due to reduction in finance and fuel costs.

Revenues for the Sajjan Jindal Group company came in at ₹2,412 crore — a 2.2-per cent increase against ₹2,360 crore it posted in the year-ago period.

This increase was in part due to the growth in power demand in the country, which was estimated to have grown 6-7 per cent. Sharad Mahendra, Director and Chief Operating Officer, said that growth will be in the same region in the remaining quarters. Demand was also driven by the government’s rural electrification and rural demand.

For the June-ended quarter, the fuel cost reduced by 1.66 per cent to ₹1,366.43 crore ( ₹1,389.24 crore).

Similarly, cost of power purchase reduced by 56 per cent from ₹8.77 crore to ₹3.85 crore, and the finance cost also reduced by 13.79 per cent.

JSW Energy is also examining the environment in solar power as part of its renewables push and will consider participating in reverse bidding for setting up projects.

Further, JSW Energy has set up JSW Solar, a fully-owned subsidiary, to participate in reverse bidding auctions of intermediaries such as Solar Energy Corporation of India (SECI) and State distribution companies (Discoms). The company is currently setting up a group captive solar capacity of 10MW at Nandyal and Salboni.

JSW Energy also said that its board has approved raising ₹2,500 crore by issuing non-convertible debentures through private placement. The company had a net debt of ₹10,221 crore as on June 30.

Published on August 06, 2019
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