On Thursday, the company’s share price rose by 4.4% to an intraday high of ₹83.90 per share from its previous close of ₹80.31, following the announcement of its offer for sale.
As stated by the Department of Investment and Public Asset Management (DIPAM) on January 24, 2024, the Ministry of Power plans to offer up to 50,50,000 equity shares of NHPC Limited and its subsidiaries to eligible employees for Rs. 71.00/-per share, according to the exchange filing.
According to their financials, net revenue fell by 13% YoY, from ₹3,366 crores in Q2FY23 to ₹2,931 crores in Q2FY24, in QoQ the company revenue increased by 6% from ₹2,757 in Q1FY24.
The company’s net profit increased by 0.4% YoY, from ₹1,693 crores in Q2FY23 to ₹1,693 crores in Q2FY24 and the net profit increased by 54% QoQ from ₹1,095 in Q1FY24.
The company has a low price-to-earnings ratio of 19 compared to its peers, also a low debt-to-equity ratio of 0.80 with a return on equity ratio of 11%, a return on capital employed of 8%, and a net profit margin of 40%.
NHPC Ltd is a large-cap stock with a market capitalization of ₹83,130 crores, the share price of the company rose by 66% in the last six months and 89% in the last year.
The promoter of the company owns 70.95% of the stock, the general public owns 9.14%, foreign institutional investors own 7.59%, and domestic institutional investors own 12.32%.
NHPC, a Mini Ratna category I public sector utility, is the Indian government’s flagship hydroelectric generation company. The primary business of the company is the generation and sale of bulk power to various power utilities.
Written by Sriram KV
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