Tata Power Company Q4 FY2024 Results: Net Profit up 15%; Declares Dividend of Rs 2

Synopsis

Tata Power Company Ltd made a 15.19% increase in its net profit compared to the same period last year. For the fourth quarter ending on March 31, 2024, they reported a net profit of ₹895 crore, whereas in the same quarter last year, they had a net profit of ₹777 crore.

Quarter Result Performance

Tata Power Company Ltd announced a 15.19% year-on-year increase in net profit, reaching ₹895 crore for the fourth quarter ending on March 31, 2024. In the same quarter last year, the company reported a net profit of ₹777 crore. Revenue from operations also saw a significant rise, up by 27.2% to ₹15,846.6 crore compared to ₹12,453.8 crore in the corresponding period of the previous fiscal year.

EBITDA rose 25.5% to ₹2,331.9 crore in the fourth quarter of this fiscal over ₹2,027.8 crore in the corresponding period in the previous fiscal. EBITDA margin stood at 14.7% in the reporting quarter, as compared to 16.3% in the corresponding period in the previous fiscal. 

The board has suggested giving out a final dividend of ₹2 for every share to the shareholders for the financial year ending March 31, 2024. However, this recommendation still needs to be approved by the members at the upcoming 105th Annual General Meeting. Its total expenses rose about 24% to ₹15,691 crore, led mainly by a near two fold surge in fuel costs.

Tata Power Management Commentary

Tata Power is doing really well lately, thanks to a few key factors. First off, they've been able to quickly improve the situation with the electricity distribution companies in Odisha, which has been a big help. They're also expanding their renewable energy portfolio, which includes things like solar and wind power, and they've got a big project called Mundra up and running.

Their revenue for the quarter has gone up by 27% compared to the same time last year reaching Rs 16,256 crore. CEO, Praveen Sinha, says that all their main businesses generating power, transmitting it and renewables are doing great and growing steadily.

They're really focused on clean energy aiming to have 15 GW of clean energy capacity by 2027. That means they'll be supplying renewable energy around the clock using a mix of solar, wind and something called Pumped Hydro Storage Projects.

Tata Power's rooftop solar business is also doing well, with over 2 GW of capacity already installed. They're looking to take advantage of opportunities like the PM Surya Ghar Yojana, which aims to provide electricity to a lot more households.

Overall, they've got 4.5 GW of renewable energy capacity up and running right now, with another 5.5 GW in the works. That's a total of over 10 GW of green energy, which is pretty impressive.

About Tata Power

Tata Power Company Limited based in Mumbai is the country's largest integrated power company with a capacity of over 13,000 MW. It made history in 2017 by being the first Indian utility to export 1GW of solar modules internationally solidifying its position among the world's leading energy players. Operating across 35 locations in India and internationally in Indonesia, South Africa, Singapore and Bhutan.