Tata Power's Q1 FY 10 PAT up 98% at Rs 377 cr

• PAT after Statutory appropriations up 144% at Rs 396.97 Crores
• Revenues at Rs 2015.62 Crores as compared to 2026.13 Crores last year 
• Generation up by 8% at 4260 MUs as compared to 3935 MUs last year
• Raises GDR of US$ 335 million in July 2009
• Announced Inauguration of 1x120 MW - Power House 6 at Jamshedpur 
• Signed a MoU with Tata Steel Limited and Corus Staal B.V for green power plant in Netherlands
• Inks Two O& M Services Contracts

The Tata Power Company Limited, India’s largest private power company, today announced its financial results for the first quarter ended June 30th for FY 2009-10.

HIGHLIGHTS-Q1 FY 10:

• The Company reported Revenues at Rs 2015.62 Crores as against Rs 2026.13 Crores in the corresponding period last year mainly due to the decrease in the fuel prices in Mumbai Licence Area as compared to the corresponding quarter last year. Revenue includes amount of  Rs 232.40 Crores pertaining to previous years due to MERC tariff orders and judgment of ATE received during this financial year.
• Profit After Tax (PAT) for the quarter stood at Rs 377.08 Crores as compared to Rs 190.55 Crores in the previous year. PAT after Statutory appropriations up 144% at Rs 396.97 Crores. 
• Profit Before Tax (PBT) stood at of Rs 510.42 Crores; up by 91% as against Rs 266.84 Crores in the corresponding quarter last year.
• Sales volume rose by 2% at 4180 MUs against 4115 MUs in the corresponding period last year.
• While Trombay Thermal Power Station generated 2778 MUs of power as compared 2669 MUs in the previous year. The Jojobera Thermal Power Station recorded a generation of 803 MUs during the quarter as compared to 784 MUs. The Belgaum Independent Power Plant (IPP) generated 107 MUs during the year as compared to 92 MUs.
• The Company added 1615 customers taking its total customer base to 27620.

Commenting on the Company’s performance, Mr. Prasad R. Menon, Managing Director, The Tata Power Company Ltd., said, “We are pleased to announce good results for the quarter and the progress chartered for the expansion plans that we have embarked upon. As part of our efforts to set up green power plants, Tata Power made its maiden foray in low carbon generating power plant outside India by signing a MoU to construct a 525 MW power plant at Corus’ IJmuiden Works in Netherlands. We intend to continue our cost efficiency measures along with our reduction in carbon footprints which are reaping the desired benefits and reflect upon the performance of the company.”

During the quarter, Industrial Energy Limited (IEL), a joint venture between Tata Power (74%) and Tata Steel (26%), announced the inauguration of 1x120 MW - Power House 6 at Jamshedpur. Power House 6 was inaugurated by the Honorable Governor of Jharkhand, Shri. Syed Sibtey Razi. The production gas based 1X120 MW Power Project Power House # 6, built at a total cost of Rs 490 Crores and commissioned in 34 months, will supply to Tata Steel thereby meeting the increasing demand for power for the company’s Jamshedpur works. The 1X120 MW Power Plant is a Green Power Plant and uses Blast Furnace Gas, Coke Oven Gas & LD Converter Gas from Tata Steel Limited.

The Company also made its maiden foray into generation outside India by signing of a Memorandum of Understanding (MoU) with Tata Steel Limited and Corus Staal B.V. for the construction of a 525 MW combined heat and power plant at Corus’ IJmuiden Works in Netherlands. Under this MoU, a Joint Venture Company will be set up to build, own and operate the power plant, utilizing production gases like blast furnace, coke oven and other gases produced in the steel mills and generate steam and power for the use of Corus steel plant.

During the quarter, the Company signed two O & M Services contracts with the OPG Group, Chennai to provide Operations and Maintenance Services for their 1x80 MW Coal based power plant located at Gummidipoondi near Chennai city and for their upcoming 2x150 MW coal based thermal power plant located at Bhadreswar, in the Kutch district of Gujarat.

Subsequent to the quarter, the Company raised US$ 335 Million through GDRs. Each GDR will represent 1 equity share, of a nominal value Rs 10 per equity share (the "Shares") of the Company. The Company has issued 14,838,110 GDRs and each GDR has been priced at US$ 22.577 (Rs 48.27 is the reference exchange rate) as per relevant pricing guidelines for GDRs. The Company intends to use the net proceeds of the Offering to fund capital expenditures of its existing power plants, projects under implementation and other project plans of the Company (including projects undertaken through its subsidiaries) and any other purpose permitted by applicable laws and regulations from time to time.

GROWTH PLANS:
The progress on Company’s new projects is as follows:

• 4000 MW, Mundra Ultra Mega Power Project on Fast Track:
  4000 MW Mundra Project implementation is progressing as per schedule with Engineering, Procurement and Construction activities in full swing. Overall project progress achieved is 26%.Ordering of all critical items/major packages has been completed.
• 1050 MW Maithon Joint Venture Project:
  1050 MW Maithon Power Limited (MPL), a joint venture between the Company (74%) and Damodar Valley Corporation (DVC) (26%), is also progressing well and has achieved 54% completion. The first unit is scheduled to be in operation by October’10 and second unit by April’11.
• Captive Power Projects for Tata Steel:
  Industrial Energy Limited (IEL), a joint venture between Tata Power (74%) and Tata Steel (26%) is implementing the following projects:

* 120 MW Power House # 6 for Tata Steel Works, Jamshedpur:
The 120 MW power plant being constructed at Tata Steel works, Jamshedpur for use by Tata Steel was inaugurated in May 2009.

* Unit 5 at Jojobera:
A 120 MW power plant is being constructed at the Company’s existing site at Jojobera. IEL has placed orders for major equipment. The project is expected to be commissioned in the third quarter of FY 10.

Awards:
Tata Power has won TERI award for their contribution in Healthcare especially for volunteering work in the area of spreading awareness towards HIV/AIDS

About Tata Power:
Tata Power is India's largest private sector power utility with an installed generation capacity of over 2700 MW and a presence in all the segments of the power sector viz Generation (thermal, hydro, solar and wind), Transmission, Distribution and Trading. The Company has successful public-private partnerships in Generation, Transmission and Distribution - “North Delhi Power Limited” with Delhi Vidyut Board for distribution in North Delhi, ‘Powerlinks Transmission Ltd.’ with Power Grid Corporation of India Ltd. for evacuation of Power from Tala hydro plant in Bhutan to Delhi and ‘Maithon Power Ltd.’ with Damodar Valley Corporation for a 1050 MW Mega Power Project at Jharkhand. It has acquired 30% stake in Coal Companies at Indonesia and is developing the first 4000 MW Ultra Mega Power Project at Mundra (Gujarat) based on super-critical technology. With its track record of technology leadership, customer care and redefining contours of the Indian power sector, Tata Power is poised for a five-fold growth and committed to ‘lighting up lives’ for generations to come.