Tata Power’s share price will be in focus after the company’s arm bagged an order worth Rs 4,500 crore from NTPC for 200 MW dispatchable renewable projects.
In an exchange filing the company said that Tata Power Renewable Energy, a subsidiary of Tata Power, has signed a power purchasing agreement (PPA) with NTPC to develop a 200 MW Firm and Dispatchable Renewable Energy project, with provisions for assured power supply as per NTPC’s scheduling needs. The time set for the project to be completed is 24 months.
A week ago, the company got approval to install a 100 MW Battery Energy Storage System (BESS) in Mumbai from the Maharashtra Electricity Regulatory Commission.
“The entire 100 MW system will be installed across 10 strategically located sites, especially near load centres across Mumbai Distribution, centrally monitored and controlled from Tata Power’s Power System Control Center (PSCC),” read an exchange filing.
The cutting-edge technology BESS is equipped with advanced ‘black start’ functionality that will enable a swift recovery of power supply to critical infrastructure in case of grid disturbances, including the metro, hospitals, airports, and data centres. This will prevent large-scale blackouts and enhance Mumbai’s power network resilience. Additionally, the system’s sophisticated technology will optimise reactive power management, improving peak demand efficiency and strengthening the city’s power infrastructure.
Tata Power Q3 result
The company’s net profit for the quarter rose by 10.3% year-on-year to Rs 1,187 crore, as compared to Rs 1,076 crore in the same quarter of the last year. The revenue for the quarter increased by 5% YoY to Rs 15,391 crore in Q3 FY25. Talking about its operating profit, Tata Power’s earnings before interest, tax, depreciation and amortisation (EBITDA) grew by 39% YoY to Rs 3,352 crore, while margins expanded by over 500 basis points to 21.8% from 16.5% the previous year.
Tata Power’s stock performance
Tata Group’s power stock has fallen over 5.3% in the last five trading sessions. The stock has risen 0.6% in the last one month. However, it has fallen more than 21% in the past six months. Tata Power’s share price has declined by over 17% in the last one year.