Tata Power Reports Record ₹1,189 Crore PAT in Q1 FY25

Tata Power Company Limited announced its financial results for the quarter ended June 30, 2024.

The company reported its highest-ever profit after tax (PAT) of ₹1,189 crore, a 31% year-on-year growth. This marks the 19th consecutive quarter of PAT growth, driven by strong operational performance and execution excellence across its Generation, Transmission & Distribution, and Renewables businesses. These segments contributed 84% of PAT in Q1 FY25, up from 72% in the same period of FY24.

The company’s revenue reached a record high of ₹16,810 crore, a 12% YoY increase, while EBITDA grew 11% to ₹3,350 crore in the reported quarter.

Tata Power’s growth is fueled by a robust order pipeline. The company’s clean and green installed capacity stood at 6.1 GW as of Q1 FY25, representing 41% of its total capacity, with an additional 5.3 GW under execution. The combined order pipeline for utility-scale EPC and solar rooftops, including group captive projects, is approximately ₹15,500 crore. Tata Power is positioned to capture around 20% of the residential rooftop market share, supported by its new solar manufacturing facility and a strong pan-India network of channel partners.

The company is also focused on large-scale round-the-clock (RTC) power availability, leveraging hydropower potential through the upcoming 2,800 MW pumped hydro storage plants in Maharashtra and developing the 600 MW Khorlochhu power project in Bhutan.

In line with this strategy, Tata Power announced that they have proposed the acquisition of a 40% equity stake in Khorlochhu Hydro Power Limited (KHPL) in one or more tranches, for which a Share Purchase Agreement would also be executed between the company, the existing Shareholder of KHPL, and KHPL. The objective of this acquisition is to develop the 600 MW Khorlochhu Hydropower Project in Bhutan with an investment of ~₹6,900 crore. They added that this project will support them to accelerate its clean and green energy transition.

In Odisha, Tata Power’s distribution business has significantly reduced AT & C losses through improved operational efficiency. The four Odisha discoms continue to deliver strong EBITDA, with 20% growth in Q1 FY25. Additionally, the Honourable Delhi Electricity Regulatory Commission has recognised regulatory assets worth ₹5,788 crore for Tata Power Delhi Distribution Limited.

Commenting on the financial performance, the CEO and Managing Director of Tata Power, Dr Praveer Sinha, said, “We have commenced FY25 on a strong note, which is reflected in the Q1 FY25 results as we book our all-time high and 19th consecutive quarter of PAT growth. All our businesses have grown profitably on the back of operational efficiency, execution excellence, and sustained business momentum.”

He added that as Tata Power reaches the milestone of 1 lakh rooftop solar installations across the country, it expresses gratitude to its customers for choosing Tata Power as its green energy partner. Through its pan-India campaign, ‘Ghar Ghar Solar Tata Power Ke Sang,’ Tata Power is driving solar adoption nationwide, utilising solar panels manufactured at its newly built 4.3 GW solar module and cell plant in Tamil Nadu.

Dr Praveer Sinha further stated, “We have also made significant strides towards advancing sustainable mobility solutions, becoming the first EV charging solutions provider to surpass the installation of 1 lakh home EV chargers. We also have a growing pan-India network of over 5600 public/captive chargers. Our planned capex for this financial year is ₹20,000 crore. We are committed to adopting and leading the new and emerging clean energy technologies, including pumped hydro projects, Hydropower project in Bhutan, and opportunities to develop Small Modular Nuclear Reactors as Government policy evolves.”

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