This Tata Group stock in the business of generation, transmission, and in electricity distribution and produces electricity through renewable in focus after receiving an order from Maharashtra State Power worth approx Rs. 455 crore.
Price Movement
In Tuesday’s trading session, Tata Power Company Ltd’s share price touched a day’s high of Rs. 356.30, which was up by 1.26 percent. The share price reiterated from the day’s high and was trading at Rs. 346.20, which is 1.61 percent lower than the previous closing price of Rs. 351.85. In the past year, the stock has delivered a negative return of around 9.37 percent and has underperformed the Nifty Index.
What happened
The company’s stock was in focus after receiving orders from TP Solar Limited, a wholly owned subsidiary of Tata Power Renewable Energy, a subsidiary of Tata Power has signed a contract with Maharashtra State Power Generation Company Limited to supply 300 MWp of ALMM-certified solar modules under the Mukhyamantri Saur Krushi Vahini Yojana (MSKVY) 2.0 project. The order is valued at approximately Rs. 455 crore. The current order forms a part of Maharashtra State Power’s larger 750 MWp tender, which was finalized followed by an e-Reverse Auction process.
Financials
Their Q2FY25 results show revenue from operations of Rs. 15,697.67 crore which declined by 0.25 percent year on year, from Rs. 15,738.03 crore in Q2FY24. Their net profit increased by 218.74 percent year on year, from Rs. 213.27 crores in Q2FY24 to Rs. 679.79 crores in Q2FY25.
Revenue Segments
The company has earned its revenue from the Generation segment which contributed around 26.04 percent, Renewables contributed 11.56 percent, Transmission and Distribution contribution stood at 61.70 percent and the remaining 0.7 percent from others as of September 2024 quarter.
About the company
Tata Power Company Limited is a part of the Tata Group. They lead in integrated power utilities in India while focusing on renewable energy generation and solutions across the power value chain.
T.P Solar holds India’s largest single-location solar cell and module manufacturing plant located in Tamil Nadu with a capacity of 4.3 GW and Tata Power through its subsidiary TPREL has invested around Rs. 4,300 crore for the plant to build a solar value chain.
Written by Santhosh S
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