India's Torrent Power's Q1 profit jumps 88% on robust demand

Torrent Power

30/07/2024 14:15

BENGALURU, July 30 (Reuters) - Indian energy provider Torrent Power  TOPO.NS  posted an
88% rise in first-quarter profit on Tuesday, helped by surging power demand.
    The company, a unit of Torrent Group, said its consolidated net profit rose to 9.72 billion
rupees ($116.1 million) in the April-June quarter, from 5.17 billion rupees a year ago.
    Revenue from operations rose 23.3% to 90.34 billion rupees.
    For further results highlights, click  urn:newsml:reuters.com:*:nFWN3JM12H

    KEY CONTEXT
  
    A severe heatwave in India during the April-June period boosted base power demand by 10%,
according to Elara Securities. Rising power demand, increased capacity additions and adoption of
green hydrogen should continue to drive growth in the utility sector, the brokerage said.
    Heatwaves and increasing economic activity have resulted in India's electricity generation
growing at an average of about 8% annually following the pandemic.
    India expects power generation to grow 9.3% to 1,900 billion kilowatt hours (kWh) in fiscal
2025.    
    
PEER COMPARISON
    
                          Valuation (next  Estimates (next   Analysts' sentiment           
                            12 months)        12 months)                                   
               RIC        PE      EV/EBIT  Revenue  Profit   Mean      No of     Stock to  Div
                                  DA       growth   growth   rating*   analysts  price     yield
                                           (%)      (%)                          target**  (%)
 Torrent        TOPO.NS    30.35    15.34   12.38    24.26   Hold            10    1.32     1.04
 Power Ltd                                                                                 
 Tata Power     TTPW.NS    29.59    13.64   12.75    22.64   Hold            20    1.17     0.47
 Company Ltd                                                                               
 NTPC Ltd       NTPC.NS    17.04    10.45   6.41     8.09    Buy             15    0.97     2.03
 Power Grid     PGRD.NS    19.27    10.10   4.20     4.77    Hold            13    1.12     3.55
 Corporation                                                                               
 of India Ltd                                                                              
 
* 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

APRIL-JUNE STOCK PERFORMANCE

 
       

-- All data from LSEG IBES

-- $1 = 83.7030 Indian rupees   


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Torrent Power June Qtr 2024 vs Peers    https://tmsnrt.rs/4d1ygnX
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 (Reporting by Ashish Chandra in Bengaluru; Editing by Mrigank Dhaniwala and Sonia Cheema)
 ((ashish.chandra@thomsonreuters.com; +91 7982114624;))