Tata Power announces FY2017-18 results.

Tata Power, India’s largest integrated power company today announced its results for the quarter ended 31^st March, 2018.

Annual consolidated PAT up by 144% at ₹2,679 crore; Q4 consolidated pat recorded eight-fold growth & rose to Rs.1478 crore; 17% growth in underlying business EBITDA; renewable business pat up 55% at Rs.425 crore; added 294 MW of capacity in FY18; recommends dividend of Rs.1.30 per share.

Board recommends a Dividend of ₹1.30 per share, same as last year.

 FY18Q4 Consolidated PAT rose to ₹1,478 crore, recorded eight fold increase ie 751% mainly

due to good all round performance and exceptional gains as against net loss of ₹227 crore in

the same period last year. Operating Profit for the quarter was up 18% at ₹1,445 crore as

compared to ₹1,221 crore in Q4FY17 mainly due to renewable business and all round good

performance of all businesses.

 FY18 Consolidated Profit After Tax was up 144% at ₹2,679 crore mainly due to strong performance by Regulated businesses, Renewables and cost optimization. Exceptional items

of ₹1103 crore contributed to the higher profits. CGPL (Mundra UMPP) posted its highest ever

losses due to 25% higher coal prices however it was offset by higher profits at Coal

companies.

 The FY18 underlying business EBITDA including Joint Venture (JV) Companies was up 17%

at ₹10,104 crore mainly due to 46% increase in Renewable business and strong all round

performance in both regulated and non-regulated business.

 Tata Power Standalone Q4 FY18 PAT before one time exceptional loss rose four-fold to ₹391 crore as compared to ₹79 crore in Q4 FY17. PAT after exceptional loss of ₹4,330 stood at ₹3,939 crore as compared to loss of ₹573 crore in the corresponding quarter last year mainly due to one time exceptional loss of ₹651 crore relating to Docomo investment.

Editorial Synopsis:

Key Financial Highlights: Q4 FY18 vs Q4 FY17

 Consolidated PAT rose to ₹1,478 crore mainly due to exceptional gain of ₹1,245 crore and gains in other businesses as compared to loss of ₹227 crore in the corresponding quarter last year.

 Consolidated Revenue* was up at ₹7,853 crore as compared to ₹6,876 crore in the corresponding quarter last year.

 Standalone PAT before exceptional loss rose four-fold to ₹391 crore as compared to ₹79 crore in Q4 FY17. PAT after exceptional loss of ₹4,330 stood at a loss of ₹3,939 crore as compared to loss of ₹573 crore in the corresponding quarter last year mainly due to exceptional loss of ₹651 crore relating to Docomo investment.

*Revenue includes Regulatory income/expense

 Standalone Revenue* was up 9% at ₹1,836 crore as compared to ₹1,681 crore in the corresponding quarter last year.

Key Financial Highlights: FY18 vs FY17

 Dividend recommended by Board at ₹1.30 per share.

 Consolidated PAT was up 144% at ₹2,679 crore mainly due to exceptional gain of ₹1,103 crore and significant increase in renewables business and all round performance across regulated and unregulated businesses as compared to ₹1100 crore.

 Tata Power consolidated FY18 Revenue* was up 6% at ₹28,921 crore as compared to ₹27,286 crore last year.

 Standalone PAT was up 23% at ₹1287 before exceptional loss as compared to ₹1049 crore in FY17.

Exceptional loss of ₹4437 in FY18 relates to Mundra UMPP and certain other investments.

Key Business and Growth Highlights:

 Clean Energy portfolio grew to 3,417 MW as compared to 3141 MW last year.

 Tata Power Delhi Distribution achieved a benchmark reduction in AT&C losses at 8.40% as against -

8.59% for the same period last year.

 In 2018, Tata Power's consumer base crossed 2.6 million mark across the country.

 Tata Power's generation crosses 53,500 MUs for the first time in FY18.

 Tata Power’s board approved the sale of its Defense business to Tata Advance Systems Limited, a

wholly owned subsidiary of Tata Sons at an enterprise value of ₹2,230 crore subject to Government & other approvals. The Board also approved sale of other non-core investments including Tata Communications and Panatone.

 The Company reviewed provisions for impairment of its investments in CGPL, Coal mines and other investments leading to provision of ₹4330 crore during the quarter in Standalone results. However, at a consolidated level this gets offset and net gains of ₹1245 crore has been recognized.