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
Torrent Power Ltd. is the largest private operator of gas-based power plants and a significant portion of it is untied. Hitherto, the untied capacity was a drag.
However, the rise in electricity demand this summer has improved capacity utilisation of its untied capacity. Further, the spark spread (power prices – cost of gas) has improved to Rs 3/unit.
As a result, aided by the incremental contribution from merchant sales (~of Rs 6 billion), it reported 57% YoY growth in operating profit and 88% YoY growth in profit for Q1 FY25.
However, we do not expect contribution to decline in the next three quarters, leading to moderation in quarterly profit. During the current quarter, the losses in distribution assets increased. We maintain 'Hold' amid expensive valuations.
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.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
