Tata Power profit rises but misses estimates

Tata Power has missed street estimates, it has reported about 50 percent slump in profit for the quarter ended on September 2017.

Revenue for the Q2 were higher by 3.4 percent than the estimated figure of Rs. 7409 crore. EBITDA for the quarter rose nearly 14 percent than the estimated figure of Rs. 1624 crore. Whereas, net profit for the Q2 were 50 percent lower than the estimated figure of Rs. 544 crore.

Unadjusted PAT for the quarter came in at Rs. 268.5 crore, yoy decline of 43.6%. This was due to 27% increase in its finance costs and reporting of exceptional loss amounting to Rs. 148.8 crore during Q2FY18.

Income from its power business dropped about 7 percent to Rs. 10.35 billion for the quarter ended on September 2017. However, company has posted good operations performance as EBITDA grew by 27.3 percent at Rs. 1,850 crore compared to previous years Rs. 1,453 y-o-y. Revenues also grew by 6 percent at Rs. 7,657 crore as against 7,213 crore y-o-y, reported by the company.

The scrip opened at Rs. 85.50 and touched day’s high of Rs. 88.40 before the results were announced. Later on it slipped to day’s low of Rs. 83.70 as soon as results were out. It managed to settle at Rs. 84.50 on market closure.

Posted on: 03/11/2017 07:05:00 PM

Posted by Prashant Patel, Stock Market Pulse