JSW Energy Reports 80% Surge in Net Profit for Q1

JSW Energy reported an 80% increase in net profit for the April-June quarter, reaching Rs 522 crore. This is attributed to higher profitability in thermal business and contributions from renewables. Revenue rose by 1%, with EBITDA up by 21%. Finance costs also increased to Rs 511 crore.

JSW Energy on Friday reported an 80% surge in its net profit, which reached Rs 522 crore in the April-June quarter. The company attributed its impressive financial performance mainly to increased profitability in its thermal business and incremental contributions from renewable energy sources.

The company's Profit After Tax (PAT), or net profit, surged from Rs 290 crore in the same period last year, driven by both thermal business gains and the addition of new renewable capacity. Additionally, the Cash PAT for the quarter was notably strong at Rs 958 crore, according to a statement from the company.

JSW Energy's revenue for the quarter increased by 1% year-on-year to Rs 3,043 crore, up from Rs 3,013 crore during the corresponding period last year. However, incremental revenue from capacity additions was somewhat balanced out by a lower realisation in thermal assets due to a decline in coal prices.

EBITDA, or earnings before interest, taxes, depreciation, and amortisation, rose by 21% YoY to Rs 1,581 crore, driven largely by higher energy generation from newly-added renewable capacities and contributions from Utkal Unit 1.

Finance costs for the quarter increased to Rs 511 crore from Rs 486 crore in Q1 FY24, with the weighted average cost of debt standing at 8.75%. By June 30, 2024, the company had a consolidated net worth and net debt of Rs 26,929 crore and Rs 23,339 crore, respectively, resulting in a net debt-to-equity ratio of 0.9X.

The total net generation for the quarter saw an 18% YoY increase to 7,881 million units (MUs), primarily due to higher hydro power generation, renewable capacity additions, and contributions from Utkal Unit 1. Commenting on the results, JSW Energy's Joint Managing Director and CEO, Sharad Mahendra, said the company has built a robust pipeline of 5.7 GW of renewable projects and is on track to meet its 10 GW target.

(With inputs from agencies.)