Reliance Power, the Anil Ambani-led power generation company, reported a marginal growth in its consolidated net profit to Rs 237 crore in the April-June quarter of 2018 led by lower tax outgo, even as total income, and earnings before interest tax depreciation and amortization dropped around 14% and 6%, respectively. The operating margins or margins from earnings before interest tax depreciation and amortisation (EBITDA), however, was up by 370 basis points to 45.9%. EBITDA dropped 6.3% to Rs 1,089 crore in the quarter, while total income dropped 13.88% to Rs 2,370 crore. Expenses were lower at Rs 2,073.56 crore compared with Rs 2,425 crore a year ago. The net profit was supported by lower tax outgo of Rs 59.66 crore compared with Rs 96 crore a year ago.
The company’s plant load factor (PLF) from coal-based power plants barring 3,960-Mw Sasan Ultra Mega Power Project (UMPP), dropped in April-June quarter compared with same quarter last year. The 1200-Mw Rosa Power Plant in Uttar Pradesh operated at a PLF of 63% compared with 86% in the same quarter a year ago. The total volume generated from the plant in April-June was 1,659 million units compared with 2,245 million a year ago. The 600 MW Butibori plant in Maharashtra operated at 45% PLF compared with 64% a year ago. Although the company did not disclose the total power generated from the plant in April-June quarter, the plant generated around 842 million units a year ago. The plant was facing few technical issues last year; however, the current status is not clear.
Sasan UMPP has, however, achieved the highest ever quarterly PLF of 98.2% during the reported period. The company in its financial statement noted, the wholly owned subsidiaries Reliance Bangladesh LNG Terminal (RBLTL) and Reliance Bangladesh LNG & Power (RBLPL) have finalised the EPC contractor for the first phase of the 754 MW power project and an FSRU based LNG terminal in Bangladesh. Reliance Power is planning to shift its unused gas based assets in Samalkot, Andhra Pradesh to the power project in Bangladesh. For balance two modules (1,508 MWJ, Samalkot Power (SMPL) is actively pursuing allocation of gas linkage at commercially viable prices and generation opportunities. The company is also evaluating alternative arrangements to deal with continued uncertainty over the availability of natural gas supply.
“Considering these plans, including relocation of unused assets acquired for SMPL to Bangladesh project and support from the parent company, SMPL would be able to meet its financial obligation and has prepared its financial statements on a going concern basis,” the statement noted. Reliance Power board has also approved and sought shareholders’ approval to raise debt through private placement of debentures, but the details were not provided.