NTPC's Q1electrifies with rise in demand

Government owned power generation and distribution company, NTPC has announced its Q1FY17 numbers, wherein the year on year top and bottom line have remained positive. However, stock has just retreated from its 52 week high at 169.95 and has closed lower at Rs 163.55 with 1.92 per cent losses amid profit booking.

Company’s year on year standalone revenues for Q1FY17 have come in at Rs 18940 crore as against Rs 17010 crores in the previous quarter, an increase of 11.3 per cent. EBITDA too has increased by 47.5 per cent from Rs 3531.35 crore to Rs 5210.54 crore. However, net profits have seen an increase of just 4.3 per cent  to Rs 2339.99 crore from Rs 2242.79 crore with rise in tax expenses.

On a quarterly basis, company’s revenues have grown by 5.3 per cent from Rs 17990 crore. EBITDA has declined by 4.5 per cent from Rs 1471 crore. QoQ net profits too have declined by 13.9 per cent from Rs 2716.41 crore in Q4FY16.

NTPC, India’s largest electricity generator is planning expansion to become largest renewable energy entity in a decade with a target of 1.28 lakh MW capacity by 2030. Thereby, company will plan its capex towards adding more renewable energy capacity and not just setting up of more thermal units.