Reliance Power share price surges 9.5% on turning profitable in Q3

Reliance Power Q3 results boost Reliance Power share price today; here's why

Reliance Power shares were in heavy demand in the India stock markets today. On the BSE, Reliance Power share advanced 9.5 per cent in the intraday trade to hit a high of Rs 43.69 per share.

 

The rally in Reliance Power share came after the Anil Dhirubhai Ambani Group (ADAG) company turned profitable in Q3 results (December quarter of the current financial year).

 

At 9:50 AM, Reliance Power share price was up 8.22 per cent at Rs 43.17 per share as against a 0.12 per cent dip in the benchmark BSE Sensex. Around 4.06 million shares had changed hands on the counter on the BSE till the time of writing this report. This was higher than the stock's  two-week average volume of 2.7 million.

 

 

Combined with the volume on the NSE, a total of 35.27 million shares have changed hands on the Reliance Power counter.

 

Reliance Power reported a consolidated net profit of Rs 41.95 crore for the quarter ended December 31, 2024, as against a loss of Rs 1,136.75 crore it had reported in the year-ago quarter (Q3FY24).

 

In the September quarter of the current financial year, the company had reported a net profit aided by exceptional items. Reliance Power Q2FY25 net profit was Rs 2,878.15 crore on the back of a one-off gain of Rs 3,230.42 crore, earned due to the deconsolidation of a subsidiary.

 

Meanwhile, Reliance Power's consolidated revenue from operations fell 4.6 per cent to Rs 1,852 crore in Q3FY25, as against Rs 1,943 crore in Q3FY24.

 

Further, Reliance Power's Q3FY25 total income stood at Rs 2,159 crore with Ebitda of Rs 492 crore.

 

The company stated that it reduced its debt to equity ratio to the lowest level among peers, from 1.61:1 in FY24 to 0.86:1 in Q3FY25.

 

Highlighting its recent order wins, Reliance Power said Reliance NU Suntech Private Ltd, a 100-per cent subsidiary of Reliance Power, recently won a solar plus Battery Energy Storage System (BESS) project from the Solar Energy Corporation of India (SECI) for 930 megawatt with 1,860 Mwh battery energy storage system.

 

"The project would be Asia's largest solar and battery storage project at a single location," it added.

 

As per the terms of the tender, Reliance NU Suntech will have to install a minimum storage capacity of 465 Mw, which can provide power backup for four hours. Thus giving a total output of 1,860 Mw.

 

Reliance NU Suntech won the project at a tariff of Rs 3.53 /kWh.

 

"Reliance NU Suntech will develop the project on a build-own-operate basis and connect it to the interstate transmission system (ISTS) in compliance with Central Electricity Regulatory Commission (CERC) regulations for interconnection with the ISTS," Reliance Power had said earlier.

 

Besides, its 3,960-Mw Sasan Ultra Mega Power Project, located in Madhya Pradesh, was among the top performing plants in India with a plant load factor (PLF) of 93 per cent.

 

Reliance Power, part of the Reliance Group, is one of India's leading private sector power generation companies. The company has an operating portfolio of 5,300 megawatts, that includes 3,960 megawatts Sasan Power Limited (world's largest integrated coal based power plant).

 

Recently, Sasan Power made a bullet payment of $150 million to India Infrastructure Finance Company (IIFCL UK), fulfilling its debt obligation on December 31. As of December 31, 2024, Reliance Power had zero debt and no bank default.

 

That apart, during the quarter ended December 31 , 2024, Rosa Power Supply Company Limited (RPSCL), a subsidiary of the Parent Company, executed definitive agreements with Power Finance Corporation Limited (PFC) to avail a rupee term loan facility of up to Rs 3,76,000 lakhs in one or more tranches.

 

"The loan proceeds will be utilised for general corporate purposes, including future investments in renewable energy projects and flue gas desulfurisation capital expenditures of RPSCL," Reliance Power said.