On Monday, NTPC shares reached a 52-week high after the state-owned power production business published mainly good financial results for the April-June period. On the BSE, the stock of state-run power production business NTPC rose by as much as Rs 6.7, or 3.2 percent, to Rs 216.7 per share, exceeding a 52-week high of Rs 210.4 reached on Friday. Q1 NTPC results
The business recorded a 9.4% year-on-year growth in standalone net profit to Rs 4,066 crore for the first quarter of the current fiscal year on Saturday. According to a regulatory filing, the company’s sales fell 2.3 percent to Rs 39,122.3 crore from the same time last year.
Earnings before interest, taxes, depreciation, and amortization (EBITDA) at NTPC increased 16.7% to Rs 11,369.4 crore.
According to the report, its margin — a crucial indicator of profitability — increased by 480 basis points year on year to 29.1%.
NTPC’s quarterly net profit was predicted at Rs 3,896 crore, sales at Rs 40,814 crore, EBITDA at Rs 11,062 crore, and margin at 27.10%, according to Zee Business study.
NTPC Q1 performance as interpreted by analysts
With a 609-basis-point increase in the availability of coal plants, NTPC showed better quality in operations and financials in the June quarter, according to CLSA, which maintained a “buy” recommendation on the power producer after the publication of its earnings.
The target price set by the firm suggests a gain of more than 14% from Friday’s closing price. By 2025, CLSA anticipates that NTPC will increase its regulated equity by 22%, increasing its return on equity (ROE) by 180 basis points.