Torrent Power Ltd on Thursday posted standalone net profit of ₹366 crore for the first quarter ended June 2020, higher by about 33 per cent from ₹276 crore recorded in the corresponding quarter a year ago.

Its total standalone income from operations stood at ₹2,938 crore for the quarter as against ₹3,686 crore in the same quarter a year ago.

On consolidated basis, its total comprehensive income for the quarter stood at ₹367 crore, as against ₹272 crore, which is about 35 per cent higher on year.

Total consolidated income from operations stood at ₹3,007 crore, as against ₹3,736 crore in the same quarter last year.

Company’s chairman Samir Mehta said, “Covid pandemic has drastically impacted electricity demand & customer payments, posing unprecedented operational and cashflow challenges, in both generation and distribution of electricity across the power sector. For Torrent, the financial impact has been more pronounced in our Franchised Distribution business in Agra and Bhiwandi.”

“With the easing of lockdown restrictions, we are already witnessing a gradual and steady recovery in demand & cashflows in our geographical areas and are looking forward to new growth opportunities arising from Government’s strong desire to reform the power sector,” Mehta added.

Torrent Power attributed the growth in the total comprehensive income for the quarter to multiple factors, including favourable order from the Appellate Tribunal for Electricity in respect of disputed carrying cost recovery pertaining to an earlier years, Increase in contribution from gas-based power plants including due to operationalisation of long term PPA for 278 MWs capacity from Q2 2019-20, partially offset by lower contribution from merchant power sales.

Also added to the growth is decrease in interest cost, mainly due to repayment of loans and reduction in interest rates.

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