IGI Logo

* Tata Power Co Ltd reported consolidated revenues of ₹ 109.1 billion, growth of 43.6% year over year. The growth was on account of expanded operation in Odisha DISCOMs, higher project execution by Tata Power Solar Systems Ltd. (TPSSL), and strong performance of all other businesses. For nine months, Consolidated Revenue was up by 37.4% at ₹ 304.9 billion as compared to ₹ 223.4 billion over 9MFY21.

* The consolidated EBITDA stood at ₹ 17.4 billion as against ₹ 18.9 billion in Q3FY21, down by 8.3% mainly due to higher profit from coal mines offset by higher losses in CGPL due to increase in coal prices. Consolidated PAT up by 136.5% at ₹ 5.5 billion vs ₹ 2.3 billion in Q3FY21 and mainly due to strong all round business performance by all verticals. For 9MFY22 consolidated PAT was up by 66.6% at ₹ 15.2 billion as compared to ₹ 9.1 billion over 9MFY21.

* Tata Power renewable segment reported revenue of ₹ 182.3 billion, a growth of 21.9% YoY. Renewable Portfolio grew in PAT by 107% in Q3FY22 vs Q3FY21 due to addition of 289 MW capacity and strong execution of both large scale and rooftop solar projects by TPSSL. Tata Power Renewables successfully commissioned 100 MW Solar PV Projects in Uttar Pradesh – 50 MW each at Prayagraj and Banda in Jan-2022.

* Tata Power Solar received EPC orders worth ₹ 5,380 million from EESL to set up Multiple Distributed Ground Mounted Solar projects totalling 100 MW. They also received a Letter of Award (‘LoA’) from Solar Energy Corporation of India Ltd. (SECI) to build a 100 MW EPC Solar project along with 120 MWh Utility-Scale Battery Energy Storage System (BESS) in Chhattisgarh. The total contract value of the project is approximately ₹ 9,450 million. The order scope includes engineering, design, supply, construction, erection, testing, O&M, and commissioning of the projects.

* Tata Power solar rooftop portfolio crossed 900 MW cumulative. FY22 Order book crossed ₹ 10 billion with ₹ 3.75 billion orders won in Q3FY22. Channel Network for Solar Rooftop expanded to 300 plus Channel Partners across more than 150 districts for the company. The company also has signed Power Purchase Agreement with Tata Steel for 41 MW grid-connected solar projects in Jamshedpur (Jharkhand) and Kalinganagar(Odisha).

* The company has participated in the PLI Scheme floated by the government to boost domestic solar manufacturing and, thus, expects an incentive of approx ₹ 15 billion against this Capex. It is also strengthening its EV charging segment by signing MoUs with TVS Motors and Apollo Tyres to deploy charging stations.

* Tata Power received 'Letter of Award' from MSEDCL for setting up of a 300 MW Hybrid (Wind & Solar) Project through TP Saurya Limited (TPSL), a wholly owned subsidiary of Tata Power. During the quarter, the company installed 32,000 Smart Meters in Mumbai. TPCODL replaced 0.14 million defective and mechanical single-phase meters in Q3 and a total of 0.29 million such meters in FY 22.

* Tata Power is one of India’s largest integrated power companies and together with its subsidiaries and jointly controlled entities, has an installed/managed capacity of 13,171 MW. The Company is India's most progressive green energy brand, with operations across the entire power value chain - generation of renewable as well as conventional power including hydro and thermal energy, transmission & distribution, coal & freight, logistics, and trading. With a focus on sustainable and clean energy development, company has a stated target of going net carbon zero by 2050, as it looks to rapidly increase its green energy portfolio. With rapidly growing generation capacity at its disposal, strengthened focus on EV and renewables businesses, we expect the company's performance to improve from current levels. We upgrade our rating on the stock to BUY with a revised target price of ₹ 273.

To Read Complete Report & Disclaimer Click Here

For More Anand Rathi Research Disclaimer https://www.rathi.com/LeadGenerate/Static/disclaimer.aspx

SEBI Registration No.:- INZ000170832

Above views are of the author and not of the website kindly read disclaimer