Ravindra Energy Limited has reported modifications in fund allocation for its Rs. 180 crore preferential issue of equity shares. The company, which raised Rs. 179.99 crore, has made adjustments to its fund utilization across three business segments, staying within the pre-approved 10% deviation limit set by shareholders.

Fund Reallocation Details

Key Points of the Reallocation

• Renewable Energy Business: The allocation has been increased from Rs. 90 crore to Rs. 95.50 crore, with the entire amount already utilized.
• Electric Vehicle Business: The allocation has been reduced from Rs. 60 crore to Rs. 54.50 crore, with Rs. 46.51 crore utilized so far.
• General Corporate Purpose: The allocation remains unchanged at Rs. 30 crore, with Rs. 29.98 crore utilized.

The company stated that the reallocation of Rs. 5.50 crore falls within the 10% deviation limit pre-approved by shareholders. This adjustment aligns with the NSE Circular No. NSE/CML/2022/56 and BSE Circular No. 0221213-47, both dated December 13, 2022, which allow for such flexibility in fund utilization.

Monitoring and Compliance

India Ratings and Research Private Limited, appointed as the Monitoring Agency, has overseen the fund utilization. Ravindra Energy has complied with regulatory requirements by submitting the necessary reports and disclosures to the stock exchanges.

Business Update

Ravindra Energy has also provided a business update, highlighting its progress in the renewable energy sector:

• Operating capacity as of the report date: 187.3 MW
• Commissioned 100 MW AC/135 MW DC under MSKVY Phase 1
• Commissioned 11 MW of open access projects in Akhadabalapur solar park
• Under construction: 45 MW AC/58 MW DC, with targeted completion by March 31, 2026
• Received Letter of Award from MSEDCL for MSKVY Phase 3 for 120 MW AC projects, with scheduled completion by March 2027
• Declared L1 in HESCOM bid for 62 MW AC

The company is also making strides in its Electric Vehicle (EIM) business:

• Commissioned two swap stations in JNPA Port (Navi Mumbai) and NCR (NH-44-Sonepat)
• Sold 91 e-tractors to date with a total order book of 185 e-tractors
• Received LOI from a major cement company for transporting 50,000 MT per month under a long-term contract

These developments indicate Ravindra Energy's commitment to expanding its presence in both the renewable energy and electric vehicle sectors, aligning with the modified fund allocation strategy.

The reallocation of funds demonstrates the company's adaptive approach to changing market conditions and business priorities while maintaining transparency with its shareholders and regulatory bodies.

Ravindra Energy Limited (REL) has released its financial results for the second quarter, showcasing a mixed performance with notable improvements in profitability despite a decline in revenue.

Financial Highlights

Profit Surge Amidst Revenue Decline

Ravindra Energy reported a significant increase in its consolidated net profit for Q2, rising to ₹308.00 crore from ₹228.00 crore in the same quarter of the previous year, marking a 35.1% year-over-year growth. This impressive profit growth came despite a 26.4% decline in revenue, which fell to ₹1,200.00 crore from ₹1,630.00 crore in the corresponding period last year.

Improved Operational Efficiency

The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) saw a substantial improvement, increasing to ₹372.00 crore from ₹279.00 crore in the previous year, representing a 33.3% growth. More notably, the EBITDA margin expanded significantly to 30.95% from 17.14% year-over-year, indicating enhanced operational efficiency and cost management.

Strategic Developments

In addition to the financial results, Ravindra Energy has made strategic moves to strengthen its board and expand its renewable energy portfolio:

1. Board Appointment: The company appointed Mr. Apurva Chandra as an Additional Director in the capacity of Non-Executive, Independent Director for a five-year term starting November 5, 2025, subject to shareholder approval.

2. Renewable Energy Focus: REL's board has approved the incorporation of wholly-owned subsidiaries as special purpose vehicles (SPVs) for setting up renewable energy projects, aligning with the company's strategic direction in the clean energy sector.

3. Fund Utilization: The company reported a modification in the allocation of funds raised through a preferential issue of equity shares. The investment in the Renewable Energy Business has been increased to ₹95.50 crore from the original ₹90.00 crore, while the allocation for the Electric Vehicle Business has been reduced to ₹54.50 crore from ₹60.00 crore.

These strategic moves, coupled with the improved financial performance, suggest that Ravindra Energy is positioning itself for growth in the renewable energy sector while maintaining a focus on profitability and operational efficiency.