India's Tata Power posts 55% profit jump on strong distribution growth (updated)

CESC

04/05/2023 14:12

(Updates headline, chart)
       BENGALURU, May 4 (Reuters) - Tata Power Co Ltd  TTPW.NS  on Thursday reported a roughly 55% rise in
fourth-quarter profit, as increased electricity output ahead of summer boosted its transmission and distribution
segment.
    Consolidated net profit increased to 7.78 billion rupees ($95.2 million) in the three months ended March 31,
compared with 5.03 billion rupees a year earlier, the energy arm of the Tata conglomerate said in an exchange
filing.
        Transmission and distribution, Tata Power's largest business, reported a 16.4% jump in revenue to 82.95
billion rupees.
    For further highlights, click  urn:newsml:reuters.com:*:nFWN371175
    
    WHY IT MATTERS
        
    India's power generation grew at the fastest pace in over three decades in the fiscal year ended March 31, a
Reuters analysis of government data showed, fuelled by a spike in output from both coal-fired and renewable plants.
    Tata Power's revenue grew 28.7% in the year ended March, while its profit climbed 91.5%.
    The federal government in March urged power utilities to expand output to ensure adequate supply during summer
months, when demand peaks. It also directed power utilities to undertake maintenance of coal-based plants well in
advance and run at full capacity to avoid disruptions during the peak summer months of April and May.
    
    
    PEERS COMPARISON
                                Valuation (next    Estimates (next 12           Analysts' sentiment         
                                  12 months)            months)                                             
                       RIC      PE      EV/EBIT  Revenue      Profit     Mean      # of      Stock to       Div
                                        DA       growth       growth     rating    analysts  price target   yield
                                                                                                            (%)
 Tata Power Co Ltd                                                                                        
 Torrent Power Ltd                                                                                        
 NTPC Ltd                                                              Buy                                
 CESC Ltd                                                              Buy                                
                                                                                                                    
 ** The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell
 ** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading
above the PT
    
        JAN-MARCH STOCK PERFORMANCE
    
    
  -- All data from Refinitiv
  -- $1 = 81.7930 Indian rupees


($1 = 81.7250 Indian rupees)

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Tata Power share move vs peers    https://tmsnrt.rs/3LVbu68
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 (Reporting by Ashna Teresa Britto; Editing by Savio D'Souza)
 ((AshnaTeresa.Britto@thomsonreuters.com;))