Tata Power Announces Q1 FY 2018-19 Results; Reports 16% Increase In Consolidated Revenue.

Tata Power, India’s largest integrated power company, today announced its results for the quarter ended 30^th June, 2018, reporting a 328% increase in consolidated PAT and 422% increase in standalone PAT as compared to Q1FY18.

PERFORMANCE HIGHLIGHTS: CONSOLIDATED

On a consolidated basis, Tata Power Group’s Q1 FY19 Revenue* was up by 16% at ₹7,139 crore as compared to ₹6,166 crore last year. This is mainly due to higher generation at CGPL, TPDDL, commencement of Ajmer Distribution operations, coupled with higher generation in Renewable business.

Consolidated PAT stood at ₹1,735 crore up by 328% as compared to ₹406 crore in Q1 FY19 due to all round performance and exceptional gain of ₹1,483 crore (net of taxes).

Higher coal prices, MTM loss and adoption of IND-AS 115 impacted CGPL profit as compared to previous period. Coal Companies performance was also impacted due to change in the Indonesian regulations for Domestic Market Obligations (DMO) and higher mining costs.

PERFORMANCE HIGHLIGHTS: STANDALONE

For the Quarter ended June 30, 2018, Standalone Revenue* stood at ₹1,844 crore as against ₹1,850 crore mainly due to lower wind availability. 

Profit from Operations stood at ₹572 crore as against ₹610 crore in the corresponding quarter last year.PAT stood at ₹1134 crore (includes exceptional gain of ₹930 crore net of tax) as compared to ₹217 crore in corresponding period last year  with steady operations  and Operating expenditure well under control.  

Commenting on the Company’s performance, Mr. Praveer Sinha, CEO & Managing Director, Tata Power said, “During the quarter, Tata Power has redesigned its organization structure to focus on key identified growth areas like Renewable Generation, Transmission, Distribution and New & Value-Added Businesses including Rooftop Solar, Smart Metering, Micro Grids in rural areas and setting up of Electric Vehicle charging units. While the traditional business of thermal and hydro continues to perform well, we believe our future growth areas will bring in greater value and help us align with the consumer needs. The distributed generation business will be of great value to the end users as well as of the best of quality due of our domain expertise.

At Present, we are working with the High Powered Committee to resolve the Mundra issue and we hope that the resolution will benefit all stakeholders. During the quarter, all our businesses have done well. Renewable continues to be the higher contributor to the profitability of the company. Our PAT was impacted during the quarter due to change in Accounting standards, higher mining cost, change in Indonesian Regulations in coal companies and forex hit in CGPL. The company is committed to deleveraging the balance sheet by divesting the non-core assets.”