 "Praveer Sinha")
Tata Power reported a 29 per cent increase in its profit for the first quarter of financial year 2023-2024 (Q1FY24), marking the 15th consecutive quarter of profit for the company. The consolidated profit for Q1FY24 stood at Rs 1,141 crore, as compared to Rs 884 crore in the corresponding quarter of the last financial year.
The company's consolidated revenue for Q1FY24 was Rs 15,003 crore, reflecting a minimal increase of 2 per cent. Its earnings before interest, taxes, depreciation and amortization (Ebitda) showed an increase of 43 per cent during Q1FY24, compared to the corresponding period in the previous financial year.
Tata Power highlighted that all its verticals exhibited growth, translating into robust financial figures. "Despite the weather in Q1 and low growth in electricity demand, the company has shown growth in its profit. The increase in our Ebitda demonstrates that all the businesses of the company are performing well," said Praveer Sinha, CEO and managing director, Tata Power.
He noted that during the last quarter, the company added 3 Gw of renewable energy projects under construction, and the company is nearing 8 Gw of renewable energy capacity.
"Tata Power is well-positioned to develop round-the-clock renewable power solutions. We are making significant progress in developing solutions around battery storage, pumped hydro projects, and other hybrid solutions. This will support the RE100 agenda of large enterprises and also contribute towards clean energy solutions for our commercial and industrial consumers," Sinha stated.
Sinha also mentioned that the planned capital expenditure of Rs 12,000 crore for the current financial year would support their transition to green energy and exploration of growth opportunities in the transmission and distribution business.
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Tata Power recently signed a memorandum of understanding with the Government of Maharashtra to develop 2.8 Gw of Pumped Hydro Storage Projects in Pune and Raigad Districts.
Regarding the Mundra power plant, which under the Section 11 mandate of the Centre is running at full capacity, Sinha said the electricity regulator has allowed them a "cost-reflective tariff" that is pass-through. He elaborated, "Whatever the fuel and operational cost of the power plant is pass-through. Mundra's losses are very marginal."
