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Tata Power, a leading integrated power company in India, announced robust financial results for its third quarter (Q3) of fiscal year 2025 (FY25), ending December 2024. The company reported a significant increase in its consolidated net profit, marking a strong performance driven by growth across various business segments and operational efficiency. The 10.35% year-on-year (YoY) jump in net profit to ₹1,187.54 crore showcases Tata Power's resilience and strategic positioning within the evolving energy landscape of India. This positive trend continues a consistent growth pattern, as the company highlights sustained PAT growth over the last 21 quarters. The sequential improvement in net profit, up 8.6% from the preceding quarter, further emphasizes the company's financial stability and operational prowess.
The impressive net profit figures are complemented by a 5% YoY increase in revenue from operations, reaching ₹15,391 crore in Q3 FY25. This growth signifies an expanding market share and increased demand for Tata Power's services. The consolidated EBITDA also experienced a healthy increase, rising 7% to ₹3,481 crore during the quarter, underlining the strong operational efficiency across the company's diverse portfolio. This positive momentum is further highlighted by the nine-month (9MFY25) performance, showing revenue of ₹47,174 crore and PAT of ₹3,909 crore. Notably, the 9-month period also marked an all-time high for EBITDA, reaching ₹10,639 crore. This consistent and substantial financial performance underscores Tata Power's strategic planning and ability to navigate the complexities of the energy sector.
A key driver of Tata Power's growth is its strong commitment to renewable energy. The company's clean & green segment boasts an operational capacity of 6.7 GW, generating over 11,700 MUs of green power as of December 31, 2024. This demonstrates a significant contribution to India's sustainability goals. Looking ahead, Tata Power has ambitious plans for further expansion in the renewable energy sector, with 10 GW of projects currently under execution. This expansion is expected to significantly boost its total clean energy capacity to 16.7 GW, solidifying its position as a leader in the renewable energy market. The company's CEO and Managing Director, Dr. Praveer Sinha, highlighted the company's sustained growth trajectory and its emergence as a clean energy leader across the value chain, from manufacturing and EPC to renewable project development and retail supply. The successful implementation of Discom reforms in Odisha is being lauded as a role model and the company actively seeks similar opportunities in other states.
Tata Power's rooftop solar business also showed impressive growth, experiencing a 15% revenue increase to ₹509 crore in Q3 FY25 and a 22% year-on-year increase to ₹1,346 crore for the nine-month period. This growth aligns with the company's ambitious 'GharGharSolar' initiative, aimed at expanding solar rooftop installations across the country. The company has successfully rolled out the initiative in various states and is well-positioned to achieve its target of 30 lakh installations by 2030, contributing significantly to the government's PM Surya Ghar Yojana. This ambitious target underscores the company's commitment to providing clean and affordable energy solutions to households across India.
Beyond its domestic operations, Tata Power is expanding its global footprint. The company has formed a strategic alliance with Druk Green Power Corporation Ltd. (DGPC) to develop 5 GW of clean energy capacity in Bhutan, consisting of 4.5 GW of hydro and 500 MW of solar power. This venture not only strengthens Tata Power's international presence but also ensures a sustainable and round-the-clock energy supply for both Bhutan and India. This strategic partnership signifies Tata Power's commitment to regional energy security and collaboration on sustainable energy solutions. Further solidifying its commitment to the energy transition, Tata Power Trading Company Ltd. (TPTCL) achieved a significant milestone by supplying 50 MW of renewable energy to Bhutan, marking the first-ever bilateral cross-border merchant supply of renewable energy. This showcases innovative approaches to energy trading and regional collaboration.
In addition to its renewable energy and distribution efforts, Tata Power is actively involved in supporting the growth of electric vehicles in India. The company reported exceeding 120,000 home chargers and 1,156 e-bus charging points installed. This significant investment in charging infrastructure demonstrates its commitment to facilitating the widespread adoption of electric vehicles and contributing to a greener transportation sector. The company's comprehensive approach to the energy transition, from generation and distribution to enabling infrastructure for electric vehicles, underscores its commitment to sustainable growth and its position as a leader in the transformation of India's energy sector. The consistent growth across various segments and the strategic expansions both domestically and internationally position Tata Power for continued success and leadership in the Indian energy market.
Source: Tata Power Q3 Results: Net profit rises 10.3% YoY to ₹1,187 crore, revenue up 5% YoY