NTPC Q1 net profit down 3% on lower generation, PLF

NTPC Ltd, the country's largest power generator, today reported a 3% decline in net profit for the first quarter ended June on the back of lower generation and Plant Load Factor (PLF), a measure of power plant efficiency and output.

The company reported a net profit of Rs 2,135 crore for the quarter as compared to Rs 2,201 crore for the same quarter last financial year (2014-15). Gross generation for the June quarter stood at 58.69 billion units (BUs), a 7% decline from 63.15 BUs in the year ago period, the company said in a statement.

Also, PLF for coal-based plants decreased to 77.58% during the quarter ended June 2015 from 84.29% in the corresponding quarter last fiscal. Gas-based plants registered a PLF of 28.47% as compared to 39.82% in the first quarter last fiscal. The low PLF is attributed to the slump in power demand from state utilities.

The decline in generation, power plant efficiency and net profit came even as the company managed to pull down total expenses during the quarter by 6.4% to Rs 14,884 crore from Rs 15,917 crore in the corresponding quarter. The decline in expenses was led, primarily, by a 10% cut in fuel cost to Rs 11,509 crore during the first quarter.

NTPC's power plants consumed 42.25 million tonne (MT) coal during the quarter, 6% increase over the 39.84 MT of coal consumed in the same quarter last fiscal. In line with the constrained gas availability, NTPC's power plants consumed 5.88 million standard cubic meter per day (mmscmd) of natural gas in the April-June 2015 period as compared to 7.30 mmscmd in the year-ago period.

Total income of the company during the quarter also decreased 8.2% to Rs 17,323 crore as compared to Rs 18,885 crore in the in the corresponding quarter last fiscal. NTPC Group's installed generation capacity rose by 1,920 Megawatt (Mw) to 45,048 Mw at the end of June quarter from 43,128 Mw at the end of June 2014.

The company's share price at the Bombay Stock Exchange (BSE) today closed at Rs 135.85, up 0.4% as compared to previous close.

NTPC Limited