Skip to main content

Tata Power net profit rises 25% in 2007-08

In spite of the sharp increase in oil and coal prices globally in the financial year 2007-08, Tata Power Company Ltd has posted 25 per cent increase in net profit at Rs 869 crore up from Rs 696 crore posted in the previous year.
The net sales have also increased by 25 per cent for the fiscal at Rs 5,915 crore (Rs 4,715 crore).
The company reported 3.72 per cent growth in its annual sales at 14,959 million units (MUs) in FY08 against 14,422 MUs. Trombay thermal power station recorded the generation of 10,002 MUs with a plant load factor of 85.61 per cent for FY08.
Jojobera thermal power station generated 2,862 MU in FY08.
The fuel expenditure has climbed to Rs 3,714 crore from Rs 2,708 crore in the last fiscal. The company has recommended a dividend of Rs 10.50 per share.
Talking to mediapersons after announcing the results, Mr Prasad Menon, Managing Director, said that the company plans add about 13,000 MW of generation capacity in the next five years through its various projects, which are underway. The Mundra ultra mega power project is on schedule and the first unit would come up by September 2011, he said.
Mr Menon said that the company is planning to set up large power projects in Maharashtra. For the Shahapur power project, the notice of land acquisition has been issued by the Maharashtra Government and many land holders have shown willingness to sell land. If the company gets 500 hectares it would be able commission the project by 2012, he said.
He said that the 1,050-MW Maithon project, which is being built in joint venture with Damodar Valley Corporation, has completed its financing. The project has a debt-equity ratio of 70:30 and would require Rs 4,450 crore investment, he said. Shipping venture
Mr Menon said that by 2012 the company would be importing about 22 million tonnes of thermal coal for which it would require 9 cape size vessels. $500 million has been earmarked for this. The company has already contracted three vessels on long-term basis, he said.
“Our investments in power projects are for 25 years and prices of commodities like coal go through cycles. Even shipping and freight prices are cyclical. By getting into shipping we have evened out our risk,” Mr Menon said.

At the closing of market hours on the BSE on Monday the scrip was traded at Rs 1,192.60, down by 4.82 per cent over the previous close of Rs 1,253.05.

Comments

Popular posts from this blog

Stock Market says Merry Christmas to Investors

Sensex today closed 691.55 point up at 19854.12 , Nifty was up 218 points at 5985.10. It is the 6th bigeest gain in oneday. Today's main contributors are IT stocks. Wipro was up at 535.30 (+8.86%), Infosys up at 1810.90(+6.63%) and Satyam closed at 454.55 up by 6.28%. The buying activity was wide-base and lifted almost all the sectoral indices. Sector wise performance was as follows - BSE IT 4581.61 (+260.98) BSE Healthcare 4294.83(+52.30) BSE FMCG2218.74(+20.29) BANKEX 11101.74 (+363.15) BSE Auto5586.83(+45.57) BSE TECk3961.96 (+185.00) BSE PSU 9830.01 (+317.11) Today BSE Midcap closed at 9211.71 up by 186.17 and BSE Smallcap index closed at 11980.57 up by 167.25 points.

News - Economy

Interest rates unlikely to go down (The Economic Times 4th Jan 2008)Interest rates are unlikely to fall in near future as it was expected with the State Bank of India raising the fixed deposit rate of various maturities up to 1.5 percentage points. Other banks are also planning to raise deposit rates. After SBI increasing deposit rates, other banks have no choice but to raise the rates to mobilize resources in the domestic market, chairman of a public sector bank said. As the cost of funds for banks will increase, they will resort to raising the lending rates. A senior banker said banks would announce the increased rates in near future. More Gold zooms past Rs 11,000 per 10 gm (The Hindu Businessline 4th Jan 2008)Gold prices made history as they soared to a record $ 865.35 an ounce in the London A.M fixing on Thursday, tracking which the domestic gold surged to Rs. 11,000 per 10 gm. On Wednesday, gold was fixed at $ 840.75/oz in London while in the Indian market it quoted at Rs 10,70

IIP records negative growth of 0.4% in Oct

T he country's industrial output shrunk for the first time in many years to a record a negative growth of 0.4 per cent in October, stifled by manufacturing sector -- for rescuing which the government announced a stimulus package earlier this mo nth. Output had grown by 5.45 per cent in September, and 12.2 per cent in October, 2007. The Index for Industrial Production numbers for the seven-month period ended October was 4.1 per cent against 9.9 per cent a year ago. Manufacturing sector, which accounts for 80 per cent of the index, declined to 1.2 per cent from 13.8 per cent in the year-ago period. Only earlier this month, the government sought to rescue manufacturers by announcing an across-the-board (barring petroleum goods) four per cent cut in excise duty. Electricity sector grew by 4.4 per cent during the month, bettering 4.2 per cent output of the year-ago period, while mining sector grew by a slower 2.8 per cent against 5.1 per cent in the previous year's comparable period