Tata Power, one of India’s biggest power generators, reported a 73 per cent rise in net profit for the quarter ended December, 2021, led by strong growth in income and rise in share of profit from the company’s investments.

The Mumbai-based company recorded ₹551.89 crore consolidated net profit as against ₹318.41 crore in the same quarter last year. The company’s share of profits in associate and joint venture companies jumped 331 per cent to ₹658.06 crore during the reporting quarter.

Total income grew to ₹11,018.73 crore, an increase of 43 per cent against ₹7,702.84 crore reported in the corresponding quarter last year. However, higher expenses, led by increased cost of raw materials, dented margins.

Consolidated underlying EBITDA was up 16 per cent at ₹2,499 crore (₹2,149 crore) mainly due to higher profit from coal mines offset by higher losses in CGPL due to increase in coal prices.

Praveer Sinha, CEO and Managing Director, Tata Power, said, “All our business clusters have contributed significantly despite facing pandemic-related challenges. We are committed to focus on key growth areas like renewables, distribution and new businesses comprising rooftop solar, solar pumps and EV charging.”

Order book

Tata Power Solar System has an order book of ₹10,026 crore for 2,770 MW capacity by the end of December, 2021. The company won total 320 MW of utility scale EPC orders including India’s largest solar and battery storage project of 100 MW in Chhattisgarh.

At the stand-alone level the company recorded a net profit of ₹48.67 for the reporting quarter, a drop of 92 per cent against ₹574.52 crore reported in the same quarter last year.

While revenue from operations at the stand-alone level grew 30 per cent to ₹2,147.20 crore during December, 2021, the substantial drop in other income and rise in expenses during the quarter is the reason behind the fall in net profit.

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