Tata Power Company (TATAPOWER) Q4 99/00 earnings summary

Executive summary

• FY2000 profit after tax rose to Rs.232.03 crore from Rs.161.61 crore; distributable profit reached Rs.206.80 crore, up from Rs.145.61 crore.

• Power operations advanced alongside expansion plans in generation, transmission, LNG and telecom infrastructure; a merger of two affiliated power suppliers was approved by the Board.

Financial highlights

• Total income was Rs.1,570.93 crore versus Rs.1,268.70 crore; revenue from power supply was Rs.1,380.07 crore versus Rs.1,139.85 crore.

• Profit before tax and statutory appropriations was Rs.329.62 crore, up from Rs.244.68 crore; PAT was Rs.232.03 crore versus Rs.161.61 crore.

• Other income reached Rs.181.33 crore versus Rs.117.21 crore, including Rs.63.27 crore net profit on investment sales and Rs.18.99 crore surplus on Euro Notes buy-back; these were non-recurring gains.

• Distributable profit was Rs.206.80 crore versus Rs.145.61 crore; interim dividend was 37% and a further 5% final dividend was recommended.

Outlook and guidance

• Mumbai power demand was expected to grow 4–6% annually, with incremental demand accruing to the power suppliers as other generation capacity was fully loaded.

• The 220 kV Backbay receiving station and associated lines were scheduled for commissioning by March 2001; the project was expected to improve South Mumbai supply reliability.

• The 2x120 MW Jojobera units were targeted for commissioning from December 2000, while the 80 MW Belgaum unit was expected by year-end.

• A proposed Rs.4,700 crore capital investment plan for 2000–03 allocated 12% to LNG and 8% to communications and broadband, according to a press clipping.