For the second quarter ended 30th September 2008, revenues of India’s largest private sector power company - Tata Power rose by 45.04 % to Rs.1958.88 crores on a YoY. And this was mainly on account of the rise in fuel price. The revenues from license area were up by 42.18% to Rs.1666.38 crore. PAT for the quarter stood at Rs. 261.93Crores as against Rs. 257.43 Crores in the corresponding period, which is more or less a flat growth and this was also on account of a change in the accounting method that the company undertook in the fiscal.
Unlike majority of the companies which have posted forex losses, Tata Power managed to show a forex gain of Rs.76.60 crore as compared to Rs. 8.96 Crores in the corresponding period last year. The gain on sale of Long term Investments was Rs.0.17 crores as compared to Rs.85.13 crores in the corresponding quarter last year.
In this fiscal, the company struck a partnership with the Royal Government of Bhutan (RGoB) to develop the 114 MW Hydro Project. As part of this strategic partnership, Tata Power Trading has negotiated to purchase all the power generated from the project and will off-take power from the project for a period of 25 years.
It also acquired a 10% stake in Geodynamics, Australia to strengthens its renewable energy portfolio. And though today not much credence is given to rating agencies, it was gratifying to note that Moody’s revised outlook to stable from negative.
The Ultra Mega Power Project (UMPP) at Mundra, Gujarat is progressing on schedule. Civil work at site is progressing fast and erection of the boiler structure has commenced. The first unit will be commissioned by September 2011. The 50 MW Khandke Wind Farm project will be commissioned in third quarter. Its first unit of the 120 MW power project at Haldia was commissioned in August 2008. The synchronization of Unit 2 of 2 x 45 MW Phase of Haldia Project with the grid was completed during the quarter. The third unit of 30 MW is progressing well and will be commissioned this financial year.
Power stocks are the ones to back in these troubled times as these are the project which would neither get postponed nor shelved as India remains power starved. And amongst the power stocks, Tata Power remains strong.
Unlike majority of the companies which have posted forex losses, Tata Power managed to show a forex gain of Rs.76.60 crore as compared to Rs. 8.96 Crores in the corresponding period last year. The gain on sale of Long term Investments was Rs.0.17 crores as compared to Rs.85.13 crores in the corresponding quarter last year.
In this fiscal, the company struck a partnership with the Royal Government of Bhutan (RGoB) to develop the 114 MW Hydro Project. As part of this strategic partnership, Tata Power Trading has negotiated to purchase all the power generated from the project and will off-take power from the project for a period of 25 years.
It also acquired a 10% stake in Geodynamics, Australia to strengthens its renewable energy portfolio. And though today not much credence is given to rating agencies, it was gratifying to note that Moody’s revised outlook to stable from negative.
The Ultra Mega Power Project (UMPP) at Mundra, Gujarat is progressing on schedule. Civil work at site is progressing fast and erection of the boiler structure has commenced. The first unit will be commissioned by September 2011. The 50 MW Khandke Wind Farm project will be commissioned in third quarter. Its first unit of the 120 MW power project at Haldia was commissioned in August 2008. The synchronization of Unit 2 of 2 x 45 MW Phase of Haldia Project with the grid was completed during the quarter. The third unit of 30 MW is progressing well and will be commissioned this financial year.
Power stocks are the ones to back in these troubled times as these are the project which would neither get postponed nor shelved as India remains power starved. And amongst the power stocks, Tata Power remains strong.
Source: sptulsian.com
