Tata Power Q4 Review: ICICI Securities Maintains Buy, Sees New Assets, Operational Efficiencies To Aid Growth

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

ICICI Securities Report

Tata Power Company Ltd. reported a good set of result in Q4 FY25. Ebitda came in at Rs 34.8 billion (+27% YoY) driven by strong performance in renewables segment – solar manufacturing and renewable generation, coupled with strong show by Odisha discoms.

Revenue was up ~7% YoY at Rs 173 billion, partly due to higher availability and generation in Mundra plant. Profit in Q4 stood at Rs 10.4 billion (+16.5% YoY). Its solar manufacturing capacity reported an excellent set of result – Rs 15 billion in revenue and Rs 1.9 billion in profit in Q4.

Note that 4.3GW of solar cell capacity was commissioned in H2 FY25 and once fully ramped up, it will further aid earnings. This, along with commissioning of new assets, is likely to drive growth in next 18-24 months. It is targeting to add 2.5-2.7GW of renewable capacity and 4 transmission projects with estimated Ebitda of Rs 5.8 billion in FY26. Maintain Buy with an SoTP-based target price of Rs 470 (unchanged).

Click on the attachment to read the full report:

DISCLAIMER

This report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.