Tata Power, a big energy company, has seen a small increase in its profit for the third quarter (Q3). Their profit went up just a bit compared to the same time last year.
In the December quarter, Tata Power’s profit was Rs 1,076 crore, a little higher than the Rs 1,052 crore they made in the previous year’s Q3. Although it wasn’t a huge jump, it still surpassed what analysts expected, which was Rs 895 crore.
Their revenue from operations also went up by 4%. In Q3 of the fiscal year 2024, they made Rs 14,651 crore, compared to Rs 14,129 crore in the same period a year ago. However, this didn’t meet analysts’ predictions, which were Rs 15,636 crore.
Tata Power’s earnings before interest, taxes, depreciation, and amortization (Ebitda) increased by 15% compared to the previous year.
The CEO and managing director, Praveer Sinha, said that their main businesses are doing well. He mentioned that the company has seen profit growth for 17 quarters in a row. With the rise in demand for power in the country, Tata Power is in a good position to benefit from it.
Their different business sectors also performed well. The generation business made a profit before tax (PBT) of Rs 860 crore, while the renewables business made Rs 463 crore. The transmission and distribution business made Rs 612 crore.
During Q3, Tata Power’s core business, including generation, transmission, and distribution, made up 71% of their operations, a significant increase from 39% the previous year.
Tata Power also won its first-ever project through the tariff-based competitive bidding process in this quarter.
The company’s operational capacity in the renewables segment is 4,270 MW, generating 6,031 mega units of green power as of December 31, 2023. They have more projects in the pipeline that are expected to increase their clean energy capacity to over 10,000 MW in the next 12-24 months.
Overall, Tata Power’s performance in the third quarter shows steady growth, especially in clean and sustainable energy solutions. They are well-positioned to benefit from the growing demand for power in India, solidifying their position as a key player in the industry.
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