Adani Power Q1 net loss at Rs 454 crore; shares drop 10%
Adani's consolidated net loss widened to Rs 453.85 crore in Q1, compared to net loss of Rs 232.63 crore in the corresponding period of the previous year.
Key Highlights:
- Adani's consolidated net loss at Rs 453.85 crore in Q1
- Adani's total income rose by over 4% in Q1
- EBITDA of Adani dropped by 8% in Q1
Share price of Adani Power slumped nearly 10% after the company's net loss widened in its first quarter ended June 30, 2017 (Q1FY18).
Adani's consolidated net loss widened to Rs 453.85 crore in Q1, compared to net loss of Rs 232.63 crore in the corresponding period of the previous year.
However, Q1 net loss narrowed from Rs 4,960.53 crore of the preceding quarter.
Consolidated total income stood at Rs 5,648.08 crore, which was up by 4.25% year-on-year (YoY) but down by 14.24% quarter-on-quarter (QoQ) basis.
Gautam Adani, Chairman of Adani Power said, "We are satisfied by the progress in key reforms initiated by the government for coal allocation through the SHAKTI policy, as well as the potential improvement in the financial health of DISCOMs through UDAY policy."
Consolidated EBITDA (operating profit) for the quarter fell by 7.8% to Rs 1,618 crore from Rs 1,756 crore a year ago same period mainly due to higher fuel costs on account of increase in coal costs.
Finance costs in Q1 was at Rs 1,407 crore lower from Rs 1,452 crore in the similar period of the previous year. The drop in the cost was primarily due to favourable currency movement during the quarter.
On standalone-front, net loss also widened to Rs 515.85 crore from loss of Rs 206.70 crore in June 2016. Total income was at Rs 2,818.70 crore, up gradually by 0.31% yoy but down 16.98% qoq.
At 1402 hours, Adani Power's share price was trading at Rs 29.35 per piece on BSE, down 6.97%.
Adani said, "Under the aegis of SHAKTI policy, we hope to receive linkages for our PPAs of Tiroda and Kawai plants that do not have linkages presently, which will do away the need for importing coal."
Lastly he added, "We are continuing to engage various stakeholders for the Mundra Plant, and remain fully committed to identifying possible remedial measures for its long term sustainability."
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
Looking for short term investment ideas? Analysts suggest buying these 2 stocks for potential gain; check targets
Power of Compounding: How long it will take to build Rs 5 crore corpus with Rs 5,000, Rs 10,000 and Rs 15,000 monthly investments?
Rs 3,500 Monthly SIP for 35 years vs Rs 35,000 Monthly SIP for 16 Years: Which can give you higher corpus in long term? See calculations
Small SIP, Big Impact: Rs 1,111 monthly SIP for 40 years, Rs 11,111 for 20 years or Rs 22,222 for 10 years, which do you think works best?
SBI 444-day FD vs PNB 400-day FD: Here's what general and senior citizens will get in maturity on Rs 3.5 lakh and 7 lakh investments in special FDs?
02:03 PM IST