Vedanta Power (VEDPOWER) Q4 20/21 earnings summary

Executive summary

• FY21 operations were disrupted by COVID-19 lockdowns and Punjab farmer protests that constrained coal supply; plant availability was 81% and EBITDA was ₹1,116cr vs ₹1,361cr.

• Supreme Court orders supported recovery of coal GCV and yield-loss claims; ₹375cr was received in Mar’21 and a further ₹60cr in Apr’21.

Financial highlights

• Total income was ₹3,858.01cr vs ₹4,957.16cr; revenue from operations was ₹3,819.78cr vs ₹4,771.82cr.

• Total expenses were ₹3,955.21cr; loss before tax was ₹97.20cr vs profit of ₹322.52cr, and net loss was ₹73.10cr vs profit of ₹730.08cr.

• EPS was -₹0.23 vs ₹2.28; finance costs declined to ₹733.38cr from ₹764.72cr.

• Prior-year profit included a one-time deferred tax credit of ₹488.46cr and exceptional interest income of ₹82.06cr.

Outlook and guidance

• FY22 priorities: operational excellence, safety, health and environmental performance, digitalisation, and world-class maintenance practices with an additional operating partner.

• FGD installation deadlines for all three units were extended to Dec 31, 2024; an application sought refund of ₹2.70cr environmental compensation deposited earlier.