Tata Power Q4 results: Net profit rises 31% to Rs 632 cr, board declares dividend

Tata Power on Friday reported 31 per cent rises in consolidated profit after tax (PAT) at Rs 632 crore for the quarter ended 31 March, 2022. The company had reported a net profit of Rs 481 crore in the year-ago period. This is the 10th consecutive quarter of PAT growth, it said in a statement.

Tata Power's PAT before exceptional items stood at Rs 775 crore.

"Consolidated PAT before Exceptional Items up by 76 per cent YoY (year-on-year) at Rs 775 Crore in March quarter vs Rs 440 Crore in Q4 FY21 (March quarter)," the company said in the statement.

The revenue from operations increased 16 per cent to Rs 12,085 crore in the quarter under review from Rs 10,379 crore in the same quarter last fiscal. 

The company's EBITDA, or earnings before interest, taxes, depreciation, and amortization came in at Rs 2,253 crore in Q4FY22, a growth of 35 per cent from Rs 1,668 crore in Q4FY21, it said in a regulatory filing. 

With respect to Mundra Power Plant, the company said that it has initiated the discussions with GUVNL to enter into a supplementary power purchase agreement (SPPA). The discussions are at very advanced stage and agreement is reached except few items for which discussions are ongoing and accordingly the SPPA is yet to be signed and approved. 

"To ensure continuous supply of power, GUVNL has requested the Group to continue supplying power based on the SPPA which will be effective January 1, 2022. Accordingly for the quarter ended March 31, 2022, the differential revenue of ~ 324 crore has been recognized on the basis of the current agreed draft of SPPA," it added.

Further, the Board has also recommended a dividend of Rs 1.75 per equity share of Rs one each (at the rate of 175 per cent) to the shareholders for the year ended March 31, 2022.

The dividend recommended by the Board is subject to the approval of the shareholders at the ensuing 103rd annual general meeting (AGM) scheduled to be held on July 7, 2022.

Commenting on the company’s performance, Praveer Sinha, CEO & Managing Director, Tata Power said, "We ended FY22 on a high note, with our 10th consecutive quarter of PAT growth, fueled by broad-based growth across all our business clusters comprising Generation, Transmission, Distribution including Odisha and Renewables. Our proven track record in the renewable energy space has attracted reputed global investors (BlackRock Real Assets and Mubadala) to join us in speeding up India's transition to green energy."

"We are significantly contributing towards the country’s growing energy needs and shall continue with our growth trajectory going forward, ensuring consistent value to all our stakeholders. We are well poised to manage the increasing energy demand due to extreme weather patterns through optimal generation, efficient transmission and distribution complemented by robust renewable energy growth," Sinha added. 

Shares of Tata Power on Friday closed 0.95 per cent lower at Rs 245.20 apiece on BSE.