NLC India (513683) Q3 24/25 earnings summary

Executive summary

• Achieved all-time highest consolidated revenue from operations of INR 11,445 crore for nine months ended Dec 2024, up 21% year-over-year.

• Consolidated net profit for nine months reached INR 2,245 crore, a 28% increase year-over-year.

• Commissioned first ultra-supercritical unit at Ghatampur (NUPPL's GTPP Unit #I, 660 MW) in December 2024, raising installed capacity to 6,731 MW.

• Signed multiple joint ventures for thermal and renewable projects in Rajasthan and Assam.

• Interim dividend of INR 1.5/share declared for FY25.

Financial highlights

• Total income for nine months was INR 12,909 crore, up 30% year-over-year.

• PAT for the quarter included a positive one-time impact of INR 650 crore from a CERC order for NTPL.

• Regulatory deferral movement had an adverse impact of INR 789 crore on quarterly profitability.

• Consolidated EBITDA margin for Q3 FY25 was 16.01%, with net profit margin at 14.37%.

• Earnings per share (consolidated, after regulatory adjustments) for Q3 FY25 was INR 5.02, up from INR 1.83 in Q3 FY24.

Outlook and guidance

• Targeting renewable capacity expansion from 1.4 GW to 10 GW by 2030, with 2.5 GW under execution and 3 GW in pipeline.

• Ghatampur units 2 and 3 expected to be commissioned by May and October 2025, respectively.

• Pachhwara South Coal Block production now targeted for July 2025 due to forest clearance delays.

• Management remains confident in overcoming land acquisition challenges at Neyveli mines and ensuring lignite availability.

• IPO for NLC Green expected by Q1 FY27.