In This Article:
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Reported PBT: INR689 crore, down from INR741 crore in the same quarter last year, a 7% decrease.
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Adjusted PBT: INR622 crore, compared to INR741 crore in the previous year, a 16% reduction.
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Thermal Generation Contribution: Reduced by INR80 crore due to lower merchant power and LNG sales.
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Renewable Generation Contribution: Decreased by INR29 crore due to lower PLF in wind and solar power plants.
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Demand Growth: Flat at 1% across all distribution areas.
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Installed Generation Capacity: 4.5 gigawatts as of September 30, 2024.
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New Renewable Capacity: 274 megawatts commissioned during the quarter.
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Pumped Storage Hydro Projects: 2 gigawatts awarded during the quarter.
Release Date: November 13, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Torrent Power Ltd (BOM:532779) reported a PBT of INR689 crore for Q2 FY25, which includes a nonrecurring credit of INR67 crore.
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The company was awarded pumped storage hydro projects of 2 gigawatts in an auction conducted by MSEDCL.
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Torrent Power Ltd (BOM:532779) has a pipeline of 3 gigawatts of renewable power projects and 2 gigawatts of pumped storage hydro projects.
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The company is expanding into green hydrogen, with a pilot project in UP and an allocation of 18 Ktpa of green hydrogen production under SECI PLIs tender.
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The company has identified project sites with a potential of 8.4 gigawatts of pumped storage hydro in Maharashtra and UP, with pre-feasibility studies completed.
Negative Points
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Reported PBT for the quarter decreased by 7% compared to the same quarter last year, with a reduction of INR52 crore.
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Contribution from the thermal generation business reduced by about INR80 crore due to lower merchant power sales and higher O&M expenses.
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The renewable generation contribution decreased by INR29 crore due to lower PLF from existing wind and solar power plants.
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Employee costs increased by 18% and other expenses by 14% compared to Q2 last year.
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The company faced challenges with lower electricity demand due to extended monsoon, impacting merchant sales and wind and solar PLF.
Q & A Highlights
Q: There seems to be a significant increase in employee costs and other expenses in Q2 compared to last year. Is there any specific reason for this? A: The increase is due to normal staff cost increments and higher O&M expenses for merchant sales. Additionally, a noncash foreign exchange loss of INR24 crore was recorded as other expenses.
Q: Regarding the Bhiwandi franchise area, the agreement is expiring in January 2027. Are there any plans for extension? A: The franchise agreement has a provision for a five-year extension with mutual consent. Discussions with MSEDCL for extension will be initiated at the appropriate time.