Adani Power’s Strong December Quarter Performance Drives 5% Share Price Surge

2024-01-29 07:17:36
Shares of India’s largest private thermal power producer Adani Power rose 5% to Rs 570 a share in early trade on Monday. Share prices rose sharply after the company posted strong net profit in the December quarter.Samayam Tamil

Adani Power has reported a significant rise in net profit for the December quarter (Q3 FY24) of the financial year 2023-24. Atul’s net profit rose to Rs 2,738 crore from Rs 9 crore in the same period last year. The company’s consolidated revenue from operations witnessed a year-on-year growth of 67.32% in Q3FY23 at Rs. 12,991 crore as compared to Rs 7,764 crore.

Power sales volume came in at 21.5 billion units (BU) in Q3FY24, up 82% from 11.8 BU in Q3FY23 due to improved power demand and larger installed capacity.
Its EBITDA for Q3FY24 more than tripled. The company’s EBITDA rose to Rs 4,605 ​​crore in the current quarter compared to Rs 1,470 crore in Q3FY23.

According to the December quarter report Mundra, Udupi, Raipur and Mahan plants contributed the most, apart from the incremental contribution of the Koda power plant, which has become an important part of Bangladesh’s power supply environment.

During the quarter, the company reduced its finance cost to Rs 797 crore from Rs 946 crore. According to the company’s earnings report, the reduction was primarily attributed to a decrease in secured and unsecured debt over the past year, though partially offset by higher borrowing costs for the Kota power plant.

At the time of going to press, one share of Adani Power was trading at Rs 563.40, up 3.70%.
Disclaimer: This article is for informational purposes only and is not intended as investment advice

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