JSW Energy has posted a four per cent rise in net profit for the quarter-ended March 31, despite substantial increase in fuel cost.
The board of directors has recommended a dividend of Rs 0.50 an equity share.
For the full-year, net sales was Rs 4,848 crore (Rs 3,662 crore) and net profit Rs 235 crore (Rs 885 crore).
The continued efforts in operating the plants with a blend of high and low calorific value coal have yielded positive results.
The fuel cost during the quarter was Rs 1,120 crore, an increase of 33 per cent over the corresponding quarter of last year, the company said.
JSW Energy logged the highest quarterly net generation of 4,618 million units with all units registering improved plant load factors (PLF).
The PLF would have been still higher but for back down request from the distribution licensee during the non-peak hours.
In the quarter, the company began supply of power from Unit 3 of Ratnagiri power plant to JSW Ispat Steel following the open access consent.
The consent has been extended to FY 2012-13 for 275 MW, it said.
JSW achieved short-term sales of 2,510 million units (mu) during the quarter (including the sale of banked power) against 2,013 mu sold in the same period last year.
The company sold 1,749 mu under long-term PPA (including under the power conversion agreement) against 1,000 mu sold during the corresponding quarter last year.
Outlook
During the quarter, imported coal price saw a marginal moderation along with appreciation in the rupee, which resulted in slight reduction in the generation cost.
The steps by various state distribution utilities in increasing tariffs augur well for sustained development of the sector.
While imported coal prices have slightly moderated due to weak global demand, the continued depreciation of the rupee threatens to negate the benefit.
The enhancement in power generation capacity and strain on the fiscal position of the utilities are expected to exert pressure on merchant rates and impact the margins of generating companies.
On the BSE, the company scrip closed near flat at Rs 49.15 on Monday.