The shares of India’s largest Hydropower generation company gained up to 4 percent to Rs 56.54 per share on Wednesday after the company resumed its 500 MW power plant Project in Sikkim.
At 12:45 p.m., NHPC Ltd shares were quoted at Rs 54.10 per share, down 0.55 percent from the previous close price. The company has a market capitalization of Rs 54,454 crore.
According to the company’s exchange filing, NHPC has resumed the construction of a 500 MW power station of the critical Head Race Tunnel (HRT) at the Teesta-VI HE Project project at Sikkim.
In October 2023, Due to a flash flood in the Sikkim region, the Teesta-IV HE Project was shut down after the project suffered heavy damages. The project is being executed by Lanco Teesta Hydro Power Limited, a Wholly owned subsidiary of NHPC Limited.
NHPC Ltd shares have delivered a return of 24 percent in the last six months and 29 percent in a year.
In the recent financial year, the company reported a strong set of margin growth with a net profit margin of 39.97 percent and an operating margin of 54.02 percent.
The company’s revenue has declined by 13 percent yearly, from Rs 3,366 crore in Q2FY23 to Rs 2,931 crore in Q2FY24. In the same time frame, net profit has slightly increased by 0.6 percent from Rs 1,683 crore to Rs 1,693 crore.
In the latest shareholding pattern, the company promoter holds a 70.95 percent stake, Domestic Institutional Investors hold a 14.46 percent stake and retail investors hold a 7 percent stake in the company.
NHPC(National Hydroelectric Power Corporation) is a Mini Ratna category I public sector utility. The company is primarily engaged in the generation and sale of bulk power to various Power Utilities. Also, the company is involved in the business of providing project management/construction contracts/ consultancy assignment services and trading power.
Written by Omkar Chitnis
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