Tata Power release its financial results for second quarter

Tata Power Company Limited has released its financial results for the quarter ending September 30, 2021. The company earned Rs.101 billion in total income for the quarter ended September 30, 2021, compared to Rs.103 billion for the quarter ended June 30, 2021. However, the minor decline was compensated by a 7.7 per cent increase in net profit, which came in at Rs. 4.21 billion for the quarter ended September 30, 2021, compared to Rs. 3.91 billion for the quarter ended June 30, 2021. The decline in revenues was mostly due to a dip in its thermal segment, where coal shortages appear to have resulted in lower realisations of Rs. 22.16 billion, a 36 per cent drop from the previous quarter.

Tata Power’s revenue increased by more than 20 per cent year over year as compared to Rs 84.41 billion during the period ended September 30, 2020. As a result, profits have increased by more than 50 per cent since the quarter ended September 2020, when they were Rs 2.79 billion. The firm’s transmission and distribution segment (T&D) reported the highest growth, at 48 per cent year-on-year to Rs 67.87 billion. The firm has highlighted important wins in its analysis of the findings, including 1,000 MW of Utility scale EPC orders worth around Rs 30 billion and a LoA for the development of 580 MW of solar projects – 330 MW from RUMSL in MP and 250 MW from MAHAGENCO, Maharashtra.

In the first quarter, the company completed 256 MW of solar projects, with another 1.7 GW on the way. Tata Power has hit a milestone of 1,000 public EV charging stations scattered across over 180 locations in India as part of its charging push. The company reported a solid quarter in solar rooftops, with an order book of 417 MW worth Rs 11.84 billion. During the quarter, the company debuted its own branded solar pump, Kshitij, and Solar Pump growth has been quite significant, with revenue increase of fourfold compared to the same quarter last year. As per the company’s statement, of a total capacity of 13,068 MW, 4,208 MW is clean energy, mainly solar (2021 MW), wind (932 MW), hydro (880 MW), and waste heat recovery (375 MW) in that order. The company’s debt remains at FY 2021 levels, giving it adequate leverage to seize any inorganic growth or larger project opportunities that present itself.