Shares of this renewable energy company jumped around 3 percent in Monday’s trading session after signing Power Usage Agreement (PUA) with Jammu & Kashmir Power Corporation. The shares have delivered a multibagger return of 290 percent returns to its shareholders in one year.
With a market capitalization of Rs. 48,317 crores, the shares of SJVN Ltd started Monday’s trading session on a flatter note at Rs. 119.95 compared to its previous close of Rs. 119.50. During the trading session, the shares hit a high of Rs. 127.65, gaining around 3 percent and are currently trading at Rs. 122 apiece.
Such a positive movement in the share price was observed after the company in an exchange filing announced that the wholly owned subsidiary of the company i.e., SJVN Green Energy Limited (SGEL) has signed the Power Usage Agreement (PUA) with Jammu & Kashmir Power Corporation Limited (JKPCL) at Jammu for 300 MW Solar Power Capacity.
Further, this 300 MW power shall be supplied to JKPCL from the under-construction 1,000 MW Bikaner Solar project which is being developed under the CPSU Scheme of IREDA for Rs. 5,491 crores. The project is being developed under the Domestic Content Requirement (DCR) mode and is slated for commissioning by July 2024.
Coming onto the company’s financial statements, the revenue decreased by 38 percent from Rs. 878 crores in the September quarter to Rs. 543 crores during the December quarter. On the other hand, the net profits declined by 68 percent from Rs. 440 crores to Rs. 139 crores during the same period.
Earlier, last week, the wholly owned subsidiary of the Company i.e., SJVN Green Energy Limited (“SGEL”) commissioned and achieved COD of its 50 MW Gujrai Solar Power Project located in district Kanpur, Uttar Pradesh.
As per the latest data, the company has an installed capacity of 2,227 megawatts and further, plans to add 240 megawatts of renewable energy projects in the upcoming quarter. Moreover, SJVN aims to install a 25,000-megawatt portfolio by 2030 and 50,000 megawatts by 2040 and also plans to commission various solar power projects in different states. As of September 23, SJVN has an annual capex target of Rs. 10,000 crores to fulfil the future objectives of the company.
Headquartered in Shimla, SJVN was incorporated in 1988. The company is engaged in the business of Electricity generation and also engaged in the business of providing consultancy for hydropower projects.
Written By Vaibhav Patil
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