Open ICICI
3-in-1 Account
Manage your Savings, Demat and Trading Account conveniently at one place
Manage your Savings, Demat and Trading Account conveniently at one place
News: In a seasonally weak quarter and higher than expected rainfall hampering power demand, NTPC reported a muted print of Q2FY25 results. On the operational front, the company registered a decline of 2% and 1.9% YoY in gross generation and energy sold respectively. The PLF for the coal plants stood at 72.3%, down 355 bps YoY. The consolidated and standalone installed capacity stood at 76443 MW and 59168 MW respectively. On account of decline in energy sold, revenues mirrored a decline of 1.3% YoY at Rs 40327.6 crore. EBIDTA declined by 8% on account of higher-than-expected other expenses. Similarly, interest costs also increased by 26% YoY to Rs 3101 crore. PAT came in at Rs 4648.9 crore. The company has declared an interim dividend of Rs 2.5 per share.
Views: We believe strong capacity addition on thermal side will lead to double digit growth in the regulated equity for the company over the next 2-3 years. Also, aggressive expansion across the green energy business will further lend impetus to growth in the performance of the company and monetization of stake in the green energy arm will further unlock shareholder value. The company remains top pick in the power utility space.
Impact: Negative