NTPC Ltd, the state-owned power generator, announced a consolidated net profit of Rs 4,726.4 crore in the second quarter of the financial year 2023-24, marking a 38.3 percent increase from the Rs 3,417.67 crore recorded in the corresponding period of the previous year.
The board has given its approval for the disbursement of the initial interim dividend, amounting to Rs 2.25 per share on the face value of each paid-up equity share worth Rs 10, for the fiscal year 2023-24. This dividend is scheduled to be distributed on November 23rd.
In the September 2023 quarter, the total revenue from operations amounted to Rs 44,983.35 crore, indicating a 1.8 percent rise from the Rs 44,175.03 crore recorded in the corresponding quarter of the previous fiscal year.
NTPC Ltd holds the distinction of being India’s largest integrated power utility, catering to 25 percent of the country’s power demand. As per the average of analyst estimates computed by Bloomberg, it was anticipated that NTPC would disclose a net profit of Rs 5,591.8 crore and a revenue of Rs 42,569.1 crore for the quarter being assessed.
The corporation has disclosed that it recently entered into a Memorandum of Understanding with ONGC Ltd and Oil India Ltd, aimed at investigating prospects in the renewable energy and green hydrogen sector, among various other initiatives.
Furthermore, the company has outlined its intention to include 11.2 GW of thermal capacity by the subsequent fiscal year. Notably, it has highlighted that 10 GW of thermal capacity is presently in the process of being constructed.
In the initial half of the ongoing fiscal year, the company has officially commissioned several projects, including a 10 MW solar PV plant situated at Gandhar, as well as one thermal unit with a capacity of 660 MW at Barh and another thermal unit with a capacity of 800 MW at Telangana.
On August 29, 2029, the company established a wholly owned subsidiary named ‘NTPC Mining Limited’ (NML) with the objective of pursuing coal mining activities. “The Board of Directors of the Company has approved the hiving-off its coal mining business, consisting of 6 coal mines of the Company to NML at book value, through a business transfer agreement (BTA) dated 17 August 2023,” the company said.
The earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to Rs 13,081.5 crore, marking an 18.7 percent increase in comparison to the Rs 11,019.3 crore registered during the corresponding period last year. Notably, the EBITDA margin observed a rise of 416 basis points (bps), reaching 28.8 percent from the previous 24.6 percent.
In the quarter under consideration, the company documented a gross power generation of 90.302 billion units (BU), representing a 5.63 percent increase from the 85.487 BUs generated during the corresponding period a year earlier. Moreover, the coal output from its captive mines escalated significantly, reaching 5.59 million metric tonnes (MMT) in the quarter, marking a notable surge of 29.4 percent in comparison to the 4.32 MMT produced in the same period a year ago.
On September 1, 2023, India experienced an unprecedented peak power demand, reaching nearly 240 GW, driven by soaring temperatures.
In the lead-up to the announcement of its results, shares of NTPC concluded trading at Rs 237.1 per share on the NSE on October 27, reflecting a notable increase of approximately 2.35 percent.
