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JSW Energy Jan-Mar quarter profit up 9% at Rs 225.32 cr

The company generated 4,618 million units of electricity in the 2012 March quarter

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Press Trust of India New Delhi
Last Updated : Jan 20 2013 | 3:24 AM IST

JSW Energy today posted over nine% jump in consolidated profit at Rs 225.32 crore for three months ended March, helped by higher power generation and exceptional gains from rupee movement against US dollar.

The company's profit, after deducting tax and minority interest, in the January-March quarter compares against Rs 205.78 recorded in the same period a year ago.

The quarterly profit came on the back of a total income of Rs 2,081.23 crore in the January-March quarter. In the comparable period, the same stood at Rs 1,442.46 crore.
In a statement, JSW Energy said it has considered "unrealised gain of Rs 62 crore, as an exceptional item of income during the quarter, due to the unusual and sharp movement in the value of the Indian rupee against US dollar".

The company generated 4,618 million units of electricity in the 2012 March quarter, about 53% higher than in the year-ago period.

However, the fuel cost rose 33% to Rs 1,120 crore in the March quarter compared to same period a year ago.

"While the imported coal prices have slightly moderated due to weak global demand for thermal coal, the continued depreciation of the rupee threatens to negate the benefit," the statement said.

On the other hand, the company's profit after tax and minority interests tumbled to Rs 170.63 core in the year ended March 2012. In the year-ago period, the same stood at Rs 841.75 crore.

JSW Energy's board, which met today, has recommended a 0.50 per equity share for the last fiscal.

According to the company, higher power generation capacity and strain on the fiscal position of the utilities are expected to exert pressure on the merchant rates and have consequential impact on margins of generating companies.

Noting that domestic economic growth has moderated on the back of firm policy action to contain inflation, JSW Energy said, "growing import bill on back on increasing oil prices and resultant impact on fiscal deficit continues to be an area of concern".

Regarding global economy, JSW Energy said the recovery is happening at a slow pace due to continued strain in the euro zone, muted growth in the US and recessionary trends in other major developed economies.

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First Published: Apr 30 2012 | 8:53 PM IST

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