Navratna PSU engaged in the business of generation, transmission, and consultancy of renewable energy sources jumped upto 7 percent in the day’s trade upon signing MoU to develop renewable energy projects in Rajasthan.
Price Action
With a market capitalization of Rs. 42,226 Crores, the shares of SJVN Limited were trading at Rs. 107.45 per equity share, up 3.82 percent from the previous day’s close price of Rs. 103.50.
What Happened
SJVN Limited has a signed a Memorandum of Understanding (MoU) with Energy Department, Government of Rajasthan to spearhead the development of renewable energy in the state.
The MoU involves SJVN Limited developing 5 GW Pumped Storage Projects and 2 GW Floating Solar Projects in the state and both the parties have agreed to collaborate for development of renewable energy on long term basis.
About the Company
SJVN Limited is engaged in the business of generation, transmission, and consultancy of renewable energy sources like hydro energy, wind energy, and solar energy.
SJVN has expanded and diversified in Hydro, Thermal, Solar, and wind Energy, Power Transmission, and Power Trading. Currently, the project portfolio of the Company is more than 56,000 MW, with a presence in Pan India and Nepal. It is marching towards achieving its Shared Vision of generating 50,000 MW by 2040.
Financials and Ratios
Its revenue from operations grew by 16.84 percent from Rs. 878 Crores in Q2FY24 to Rs. 1,026 Crores in Q2FY25, accompanied by profits of Rs. 440 Crores in both years.
In terms of Return ratios, it has reported a return on equity (ROE) of 32 percent, and a return on capital employed (ROCE) of 14.5 percent. It has reported a debt-to-equity ratio of 1.63.
Written by: Bharath K.S
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Dailyraven Technologies or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
