Karma Energy Limited Reports Robust Q1 Results with ₹60.81 Crore Profit
Karma Energy Limited announced Q1 financial results with revenue from operations reaching ₹305.82 crore, a 224% QoQ increase. Total income rose to ₹377.32 crore, up 101.7% QoQ. Profit after tax doubled to ₹60.81 crore QoQ but decreased YoY. An exceptional item of ₹81.43 crore from interest on previously written-off debtors boosted results. EPS improved to ₹0.53 from ₹0.26 in the previous quarter. Operation and maintenance costs increased significantly to ₹164.55 crore.
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Karma Energy Limited , a company specializing in renewable power generation, has announced its unaudited financial results for the first quarter, showcasing significant growth and improved profitability.
Financial Highlights
The company reported a substantial increase in revenue from operations, reaching ₹305.82 crore for Q1, up from ₹94.40 crore in the previous quarter and ₹239.58 crore in the same quarter last year. This represents a remarkable 224% quarter-on-quarter growth and a 27.6% year-on-year increase.
Karma Energy's total income for the quarter stood at ₹377.32 crore, compared to ₹187.07 crore in the previous quarter, marking a 101.7% increase. The company's profit after tax (PAT) reached ₹60.81 crore, nearly doubling from ₹30.45 crore in the previous quarter. However, it's worth noting that the PAT decreased compared to the ₹93.48 crore reported in the corresponding quarter last year.
Exceptional Items Boost Results
A significant contributor to the quarter's performance was an exceptional item of ₹81.43 crore. This amount consisted of interest received on debtors written off in prior years, as per an order from the Honorable Tamil Nadu Electricity Regulatory Commission. This one-time gain substantially impacted the company's bottom line for the quarter.
Operational Performance
The company's operation and maintenance costs saw a significant increase, rising to ₹164.55 crore from ₹17.66 crore in the previous quarter. This surge in costs aligns with the substantial increase in revenue, indicating expanded operational activities.
Earnings Per Share
Karma Energy reported earnings per share (EPS) of ₹0.53 for the quarter, an improvement from ₹0.26 in the previous quarter but lower than the ₹0.81 reported in the same quarter last year.
Corporate Governance
The Board of Directors approved the unaudited financial results along with the Limited Review Report from the auditors. Additionally, they approved the notice for the upcoming Annual General Meeting, scheduled to be held via Other Audio Visual Means (OAVM).
Industry Position
Karma Energy Limited continues to operate primarily in the renewable power generation sector. The company stated that it does not have any subsidiary, associate, or joint venture companies.
The financial results demonstrate Karma Energy's resilience and growth in the renewable energy sector, with significant improvements in revenue and profitability. However, investors should note the impact of the exceptional item on the quarter's results when assessing the company's core operational performance.
| Particulars (in Crore) | Q1 | Q4 | Q1 |
|---|---|---|---|
| Revenue from Operations | 305.82 | 94.40 | 239.58 |
| Total Income | 377.32 | 187.07 | 348.47 |
| Profit After Tax | 60.81 | 30.45 | 93.48 |
| Earnings Per Share (₹) | 0.53 | 0.26 | 0.81 |
As Karma Energy Limited continues to navigate the dynamic renewable energy landscape, stakeholders will be keenly watching how the company builds on this quarter's performance in the coming months.
Historical Stock Returns for Karma Energy
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -5.01% | +20.09% | +25.08% | +19.20% | -14.38% | +576.08% |
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