Shares of Power Grid Corporation of India Ltd witnessed a surge of over 7%, nearing their record high, following the PSU power firm’s robust financial performance in the December 2023 quarter. The company reported a notable 10.5% year-on-year (YoY) rise in net profit, reaching Rs 4,028.3 crore compared to Rs 3,645.3 crore in the corresponding quarter of the previous year.
Power Grid shares climbed 7.42% to Rs 287.85, surpassing the previous close of Rs 267.95 on the BSE. The stock opened higher at Rs 273.35 and emerged as the top gainer on the Sensex for the day. The market cap of the firm reached Rs 2.63 lakh crore on the BSE, with a turnover of Rs 42.28 crore as 15.01 lakh shares changed hands.
The company’s shares, characterized by a low beta of 0.3, demonstrated minimal volatility over the year. Power Grid stock recorded a 52-week low of Rs 157.88 on February 8, 2023, and a 52-week high of Rs 289.45 on February 5, 2024.
In a significant move, the board of directors approved the payment of a second interim dividend of Rs 4.50 per equity share of Rs 10 each, constituting 45% of the paid-up equity share capital for the financial year 2023-24. Shareholders can anticipate the second interim dividend on March 5, 2024.
The earnings report, disclosed after market hours on Wednesday, revealed a 2.6% increase in revenue from operations to Rs 11,549.8 crore in Q3 compared to Rs 11,261.8 crore in the corresponding period of the previous fiscal.
At the operational level, EBITDA witnessed a 3.2% rise to Rs 10,212.9 crore in the third quarter, up from Rs 9,893.5 crore in the same period of the previous fiscal. Total expenses in Q3 decreased to Rs 7,076 crore, showing a notable decline from Rs 7,786 crore in the last year’s quarter.
Segment-wise, revenue from the transmission business marked a 2% increase to Rs 11,314 crore in the December quarter, while revenues from consultancy and telecom segments stood at Rs 175 crore and Rs 186 crore, respectively.
For the nine months ended December 2023, Power Grid Corporation reported a 2% YoY surge in revenues to Rs 33,864 crore, with a 3% YoY rise in profit to Rs 11,407 crore. Investors and analysts are closely monitoring the company’s robust financial performance amid dynamic market conditions.
