Tata Power reported a 9 per cent annual increase in net profit and revenue in the September quarter driven by income flows from its core segments of transmission, distribution, and generation.

The power producer reported a net profit of ₹1,017 crore on revenue of ₹15,442 crore.

Around 84 per cent of the bottom line was contributed by its core business while that from overseas ventures, including coal mining operations, maintained a declining trend.

Earnings before interest, tax, depreciation, and amortisation rose 51 per cent to ₹3,087 crore in the quarter, leading to an EBITDA margin of close to 20 per cent, up from 14.4 per cent a year ago.

“We have reported yet another strong quarter of financial performance, driven by robust contribution from all our core business clusters,” said MD & CEO Praveer Sinha.

The company’s 4.3 GW greenfield solar cell and module manufacturing plant in Tamil Nadu, which produced its first module in the reporting quarter, is on track to roll out its first cell in the fourth quarter of FY24.

Sinha in a media call that the demand momentum in the power sector seen over the last two years is expected to continue in the future as well. In the reporting quarter it went up 13 per cent. Coal prices have stabilised in the international markets and Sinha said that they are expected to remain stable for the next six months.

Its clean energy portfolio reached a capacity of 5,500 MW, contributing 38 per cent to total installed capacity. In the area of pumped hydro storage projects, it has also signed an agreement with the Maharashtra government for the development of 2,800-MW of projects, with an investment of around ₹13,000 crore.

The company is aiming to take it clean and green energy portfolio to 9,300 MW in the next 24 months, roughly about half of its total portfolio, Sinha told the media in a call. It is currently at 38 per cent of the portfolio.

It said that its unit in Zambia, where it has a 120 MW hydro plant, has resolved the tariff dispute with the Zambian State Utility and has realised part of the pending receivables of $102 million from the Zambia Electricity Supply Corporation.

The utility-scale order book was at 3.7 GW worth ₹15,870 crore with the rooftop solar and group captive order book at ₹2,872 crore. Tata Power Renewables Energy won 139 MW of orders in the quarter for group captives, taking the total capacity to 1,445 MW.

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