Torrent Power drops 6% on profit slump

Reuters Updated - May 16, 2019 at 11:18 AM.

Workers of Tripura state electricity board fix power lines on utility poles on the outskirts of Agartala, capital of India's northeastern state of Tripura, September 26, 2012. It is rough being an employee of Torrent Power Ltd in the Indian city of Agra. Furious residents regularly take staff of the power distributor hostage or beat them up, stone-throwing mobs besiege the firm's high-walled compound, and one official recently had to be hospitalised after he was hit on the head with a brick. Torrent's experience highlights the perils for companies hoping to benefit from the privatisation drive, as well as the challenges facing India as it grapples with chronic energy shortages that stand in the way of its ambitions to become a global economic power. Picture taken September 26, 2012. To match Insight INDIA-POWER/ REUTERS/Jayanta Dey (INDIA - Tags: BUSINESS ENERGY SOCIETY)

Shares of Torrent Power Ltd were down as much as 6 per cent at Rs 231.05 - the biggest daily per cent loss since September 2018.

The power generator's March-quarter profit fells ~88 per cent to Rs 26.76 crore ($3.81 million), hurt by higher tax expenses.

The company's forward PE of 11.07 is higher versus the sector average of 9.63.

In comparison, rival Power Grid Corp has a forward PE of 9.65, while Tata Power Company Ltd's forward PE is 9.81.

Published on May 16, 2019 05:46