NLC India Ltd.'s net profit rose nearly threefold in the third quarter of the current financial year, beating analysts' estimate.
NLC reported a profit of Rs 668 crore for the three months ended Dec. 31, 2024, as compared to Rs 250 crore for the same period last year. This compares to an estimate of Rs 244 crore, tracked by Bloomberg.
The public sector undertaking's revenue surged 39% to Rs 4,411 crore for the October–December quarter from Rs 3,164 crore in the year-ago period. This compares to the Rs 3,033-crore consensus estimate by analysts tracked by Bloomberg.
NLC India Q3FY25 Highlights (Consolidated, YoY)
Revenue up 39% to Rs 4,411 crore versus Rs 3,164 crore (Bloomberg estimate at Rs 3,033 crore).
Ebitda up 101% to Rs 1,827 crore versus Rs 905 crore (Estimate at Rs 657 crore).
Ebitda margin expands to 41.4% versus 28.6% (Estimate at 22%).
Net profit at Rs 668 crore versus Rs 250 crore (Estimate at Rs 244 crore).
NLC India declared a dividend of Rs 1.5 per share at a face value of Rs 10 each for 2024-25. It has fixed Feb. 7 as the record date for the dividend while the same will be paid to the shareholders on or before March 4.
The board of the company approved a proposal to invest Rs 1,110 crore in the joint venture that will be incorporated between NLC India and Rajasthan Rajya Vidyut Utpadan Nigam Ltd. The JV will assist in developing lignite-based thermal power stations and lignite mines at Rajasthan.
Shares of NLC closed 3.07% lower at Rs 211.34 apiece on the National Stock Exchange, compared to a 0.52% fall in the benchmark Nifty. The stock has fallen 23.11% in the last 12 months.
Both the analysts tracking the company maintain a 'buy' rating on the stock, according to Bloomberg data. The average of 12-month analysts' price target implies a potential upside of 64.4%.
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