Tata Power's PAT Rises 10 Percent to INR 1,188 Crore in Q3 FY25

Tata Power, an integrated power company in India, has reported robust financial results for the quarter and nine months ended December 31, 2024.

As per the firm's statement, the company posted a 10 percent year-on-year (YoY) increase in profit after tax (PAT) for Q3 FY25, reaching INR 1,188 crore. The company’s EBITDA for the quarter grew by 7 percent, amounting to INR 3,481 crore, driven by strong contributions and operational efficiency across its diverse business segments.

For the first nine months of FY25, Tata Power’s performance continued to impress, with PAT rising by 30 percent to INR 3,909 crore, while EBITDA surged by 14 percent, reaching an all-time high of INR 10,639 crore. Revenue for the quarter stood at INR 15,118 crore, marking a 2 percent YoY increase, and INR 47,174 crore for the nine months, reflecting a 4 percent YoY growth.

The company also highlighted strong growth in its renewable energy business, with PAT for the renewables segment increasing by 59 percent to INR 214 crore in Q3 FY25 and by 41 percent to INR 787 crore for 9M FY25. Tata Power’s clean energy portfolio now stands at approximately 6.7 GW installed, with a pipeline of 10 GW, which will take the total clean energy capacity to over 16.7 GW in the near future.

In its solar manufacturing segment, Tata Power’s plant in Tamil Nadu, which operates a 4 GW cell line, reported revenues of more than INR 1,300 crore, EBITDA of approximately INR 226 crore, and PAT of INR 112 crore for Q3 FY25. The plant has already produced over 2.4 GW of solar modules in the first nine months of FY25.

The company’s rooftop solar business saw continued expansion across India, with revenues increasing by 15 percent to INR 509 crore in Q3 FY25 and 22 percent growth in the first nine months of FY25, reaching INR 1,346 crore. Tata Power aims to achieve 30 lakh rooftop solar installations by 2030, in alignment with the government’s PM Surya Ghar Yojana initiative.

The Transmission & Distribution (T&D) business also saw significant progress, with PAT increasing by 7 percent to INR 370 crore in Q3 FY25 and by 32 percent to INR 1,384 crore for 9M FY25. This growth was driven by robust performance from the Odisha, Delhi, and Mumbai Distribution businesses. The company is targeting 10,500 circuit kilometers (Ckm) of transmission capacity by FY30 and has won four major transmission projects worth approximately INR 7,100 crore in the past 10 months.

On the international front, Tata Power continues to expand its footprint, partnering with Druk Green Power Corporation Ltd. (DGPC) to develop 5 GW of clean energy capacity in Bhutan, consisting of 4.5 GW of hydro and 500 MW of solar. In Q3 FY25, Tata Power Trading Company Ltd. (TPTCL) supplied 50 MW of renewable energy to Bhutan, marking the first-ever bilateral cross-border merchant supply.

The company also made strides in sustainable mobility, surpassing a milestone of 1,20,000 home chargers and 1,156 electric bus charging points, further supporting the adoption of electric vehicles across India.

Tata Power’s CEO and Managing Director, Dr. Praveer Sinha, emphasised the company’s continued growth across all sectors and reaffirmed its leadership in clean energy, manufacturing, and infrastructure. He stated, "We have delivered a sustained PAT growth trajectory over the last 21 quarters, and all our businesses have been contributing to this growth. Our recent wins in large-scale transmission projects reaffirm our expertise and commitment to power evacuation and supply across the nation."