JSW Energy Q3 net profit up 28% at Rs 231 crore, revenue rises 13%

The revenue and Ebitda growth, the company said, was driven by incremental contribution from the renewable portfolio and strong thermal performance, largely driven by a buoyant merchant market

Sajjan Jindal-promoted JSW Energy on Tuesday reported a 28 per cent rise in net profit to Rs 231 crore for the December quarter of 2023-24, helped by higher power demand and lower fuel costs.

The revenue for the same period was at Rs 2,542.80 crore, up 13 per cent year-on-year (Y-o-Y), the company said in its regulatory filing.

Ebitda, the company said, stood at Rs 1,229 crore, up 69 per cent Y-o-Y.

Ebitda is earnings before interest, taxation, depreciation and amortisation.

The revenue and Ebitda growth, the company said, was driven by an incremental contribution from a renewable portfolio and strong thermal performance, largely driven by a buoyant merchant market.

The company said that short-term sales of power surged during the quarter with strong underlying power demand growth across the country.

JSW Energy missed Street estimates, as in a Bloomberg poll, four analysts estimated revenue of Rs 2,984 crore for the company and a net income adjusted of Rs 371 crore.

Sequentially, JSW Energy’s net profit for the period fell 72.8 per cent.

Overall, the net generation of power, the company said, was up 43 per cent Y-o-Y at 6.1 billion units, attributed to higher thermal generation and contribution from acquired and greenfield renewable energy capacities.

The company said its consolidated net debt as of December 2023 was at Rs 26,286 crore, which gives it the headroom to pursue value-accretive growth opportunities.

In its outlook for power demand, the company said, over the medium term, the power sector outlook is healthy, as rapid urbanisation, government-led capex, and a strong investment cycle are expected to boost overall power demand.

The management commentary also said that with base load capacity increase (including RTC with storage) lagging demand growth, supply increase is expected to lag demand growth over the medium term, boding for tight demand–supply conditions.