Maharatna PSU Q2 results, shares declined by 3% despite profit up by 19.6%

Power Giant PSU NTPC Ltd has reported a 19.6% increase in net profit to Rs 4,648 crore for the September quarter of FY25. The exchange filing said the state-owned Maharatna power giant's net profit stood at Rs 3,885 crore in the year-ago period. The company's revenue dropped 1.3% on a YoY basis to Rs 40,327.6 crore in the quarter from Rs 40,875 crore in the previous year.

The company's EBITDA declined by 8.2%, standing at Rs 9,676.4 crore as of Rs 10,537 crore YoY, compared to the corresponding previous-year quarter. The company’s EBITDA margin of 24% also contracted YoY from 25.7%. 

NTPC Shares Degraded

The shares of the Power PSU company are degraded by over 3%, despite a hefty profit announcement of the unit. 

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The average tariff of the company was Rs 4.67 per unit during the April-September quarter this fiscal compared to Rs 4.61 per unit in the year-ago period. The Board of Directors also approved the first interim dividend of Rs 2.50 on the face value of paid-up equity shares of Rs 10 each for the financial year 2024-25. The date of payment of the dividend will be 18 November 2024.

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Coal output from captive mines increased

The gross electricity generation of the company decreased to 88.46 billion units (BU) during the second quarter from 90.30 BU a year ago. Its coal output from captive mines increased to 9.03 MMT in the quarter from 5.59 MMT in the year-ago period.

The production also rose during April-September this fiscal to 18.67 MMT from 11.83 MMT. The company’s installed power generation capacity was 76,443 MW as of September 30, up from 73,824 MW in September 2023. The company's installed capacity also increased on a standalone basis to 59,168 MW from 57,838 MW.

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