Shares of this integrated power utility company jumped 4 percent in Monday’s trading session after the company bagged a letter of award for setting up 300 MW win solar hybrid projects. The shares have delivered a multibagger return of 125 percent to its shareholders in one year.
With a market capitalization of Rs. 57,739 crores, the shares of Torrent Power Ltd started Monday’s trading session on a higher note at Rs. 369 compared to its previous close of Rs. 250.75. During the trading session, the shares hit a high of Rs. 378.70, gaining around 3 percent and are currently trading at Rs. 355 apiece.
Such a bullish movement in the share price was observed after the company in an exchange filing announced that they had received a Letter of Award from Torrent Power Limited-Distribution Unit for setting up 300 MW (RE Power) GridConnected Wind Solar Hybrid Projects.
Furthermore, the project, which has a cost of Rs 3,650 crore, will be commissioned within 24 months from the power purchase agreement (PPA) and will have a tariff of Rs 3.65/kwh, with a contract period spanning 25 years.
Moreover, the company mentioned that the annual capacity utilisation factor (CUF) shall not be less than 50 percent for any of the years during the term of the PPA and the rated power capacity of wind and solar shall be in the ratio of 2:1.
Earlier, last week, the company received a Letter of Award from Maharashtra State Electricity Distribution for the supply of 306 MW of Solar power under Mukhya Mantri Saur Krushi Vahini Yojana 2.0 scheme for feeder-level solarisation under the PM KUSUM Scheme worth Rs. 1,540 crores.
Coming onto the company’s financial statement, the revenue decreased by 9 percent from Rs. 6,961 crores during the September quarter to Rs. 6,366 crores in the December quarter. In addition, the net profits declined by 31 percent from Rs. 543 crores to Rs. 374 crores during the same timeframe.
The company has an aggregate installed generation capacity of 4,287 MW comprising 2,730 MW of gas-based capacity, 1,195 MW of renewable capacity and 362 MW of coal-based capacity. Further, Renewable projects of 1,708 MW are under development. Total generation capacity, including projects under advanced stages of development, is 5,995 MW.
As part of its growth strategy, the company is also working on other Green Energy pathways of Pumped Storage Hydro and Green Hydrogen.
Headquartered in Ahmedabad, Torrent Power was incorporated in 2004. The company is a leading integrated power utility company in India with a presence across the generation, transmission and distribution of power. Its operations are spread across the states of Gujarat, Maharashtra, Uttar Pradesh and Karnataka and is also a part of Torrent Group.
Written By Vaibhav Patil
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