Torrent Power (TORNTPOWER) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 profit before tax was INR 1,315 crore, up 85% year-over-year, with profit after tax at ₹996 crore, up 87% year-over-year, driven by strong merchant power sales and increased licensed distribution contribution.

• Revenue from operations for Q1 FY25 was ₹9,034 crore, a 23% increase compared to Q1 FY24.

• Board approved unaudited standalone and consolidated financial results for the quarter ended June 30, 2024.

• Approved sale of 100% equity in Torrent Electricals Private Limited (TEPL) to Torrent Investments Private Limited for ₹85 crore.

Financial highlights

• Merchant and LNG sales contributed an incremental INR 517 crore profit year-over-year, with 1,700 MUs sold in the merchant market in Q1 FY25 versus 400 MUs in Q1 FY24.

• Q1 FY25 merchant gain was INR 620 crore, with INR 40 crore from LNG sales.

• EBITDA for FY24 reached ₹6,675 crore, with Q1 FY25 PBDIT at ₹2,115 crore, up 52% year-over-year.

• Consolidated revenue from operations for Q1 FY25 was ₹9,033.73 crore, up from ₹7,327.62 crore in Q1 FY24.

• Consolidated net profit after tax for Q1 FY25 was ₹996.34 crore, compared to ₹532.28 crore in Q1 FY24.

Outlook and guidance

• Capital expenditure guidance for FY25: INR 1,750 crore for licensed distribution, INR 200–250 crore for franchise distribution, and INR 18,000–20,000 crore for renewables over 3–4 years.

• Multiple renewable and hybrid projects totaling over 3,200 MW are in the pipeline, with phased commissioning through FY26.

• Scheme of Arrangement for transfer of Renewable Power Undertaking to a subsidiary was approved by stakeholders and is pending regulatory approvals.