NTPC Limited , India's largest power generation company, has reported a robust financial performance for the first quarter, with a significant increase in profit and several key corporate developments.

Strong Financial Performance

The state-owned power giant reported a consolidated profit after tax of ₹6,108.00 crore for the quarter ended June 30, marking an impressive 11% increase from ₹5,506.00 crore in the same quarter last year. This growth in profitability comes despite a slight dip in revenue from operations, which stood at ₹47,065.00 crore compared to ₹48,529.00 crore in the previous year's corresponding quarter.

Key Financial Metrics

The company's earnings per share (EPS) stood at ₹6.20, including regulatory deferral account balances, showcasing a solid financial foundation.

Leadership Continuity

In a significant move, NTPC has reappointed Gurdeep Singh as Chairman & Managing Director for a term from August 1 to July 31 of the following year. This reappointment is subject to shareholder approval at the upcoming Annual General Meeting (AGM). The continuity in leadership is expected to maintain stability and drive the company's strategic initiatives forward.

Corporate Governance and Compliance

NTPC has also appointed M/s Agarwal S. & Associates as its Secretarial Auditor for a five-year term. This appointment underscores the company's commitment to maintaining high standards of corporate governance and regulatory compliance.

Fundraising and Capital Expenditure

During the quarter, NTPC successfully raised ₹12,000.00 crore through three non-convertible debenture issues. These funds are earmarked for capital expenditure, loan refinancing, and general corporate purposes, indicating the company's focus on growth and financial optimization.

Upcoming Annual General Meeting

The company has announced that its 49th Annual General Meeting will be held on Friday, August 29, at 10:30 a.m. through video conferencing. This digital format ensures shareholder participation while adhering to modern corporate practices.

Dividend Announcement

NTPC has declared a final dividend of ₹3.35 per share. The record date for dividend entitlement is set for September 4, with the payment expected to be made on or after September 25, subject to shareholder approval at the AGM.

Conclusion

NTPC's strong Q1 performance, coupled with strategic leadership decisions and proactive financial management, positions the company well for the fiscal year ahead. The power sector giant continues to demonstrate resilience and growth, maintaining its pivotal role in India's energy landscape.

NTPC Limited , India's largest power generation company, has reported a mixed set of financial results for the first quarter. The state-owned power giant saw an increase in net profit despite a decline in revenue and EBITDA.

Financial Performance

NTPC's standalone net profit for Q1 rose to ₹4,774.68 crore, up from ₹4,510.98 crore in the same period last year, marking a 5.85% increase. However, this fell short of analyst estimates of ₹4,912.00 crore.

Revenue from operations declined to ₹42,572.62 crore from ₹44,427.53 crore year-over-year, missing analyst expectations of ₹45,441.00 crore. This represents a 4.17% decrease in revenue.

EBITDA and Margin Compression

The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) saw a significant drop to ₹10,280.00 crore from ₹12,445.00 crore in the previous year, falling short of the estimated ₹12,880.00 crore.

NTPC's EBITDA margin compressed to 24.16% from 28.03% in the previous year, compared to analyst expectations of 28.40%.

Operational Highlights

Despite the revenue decline, NTPC maintained its operational efficiency. The company's total income, including other income, stood at ₹43,332.81 crore for the quarter.

Fuel costs, which form a significant part of NTPC's expenses, decreased to ₹23,926.12 crore from ₹26,357.36 crore in the same quarter last year.

Leadership Changes

In a significant development, NTPC's Board of Directors has approved the re-appointment of Shri Gurdeep Singh as Chairman & Managing Director. His new term will run from August 1, 2025, to July 31, 2026, subject to shareholder approval at the upcoming Annual General Meeting.

Corporate Governance

NTPC has appointed M/s Agarwal S. & Associates as the Secretarial Auditor for a period of five years, from FY 2025-26 to 2029-30. This appointment is also subject to shareholder approval.

Upcoming Annual General Meeting

The company has announced that its 49th Annual General Meeting will be held on August 29, 2025, through video conferencing. NTPC has set September 4, 2025, as the record date for determining shareholder eligibility for the final dividend of ₹3.35 per share for FY 2024-25.

Dividend Payment

If approved at the AGM, the final dividend will be paid on or after September 25, 2025, subject to deduction of tax at source.

While NTPC has shown resilience with increased profitability, the decline in revenue and EBITDA may raise concerns among investors. The company's ability to maintain operational efficiency in the face of these challenges will be crucial for its performance in the coming quarters.