New Delhi, May 20 (PTI) JSW Energy on Wednesday reported 28-fold jump in its consolidated net profit to Rs 108.44 crore for the fourth quarter ended March, mainly due lower expenses.
The company’s consolidated net profit attributable to owners of the company was Rs 3.87 crore in the same quarter previous fiscal, the firm said in a statement.
According to the statement, total income stood Rs 1,847.65 crore in the quarter as compared to Rs 2,018.16 crore a year ago.
It also reported consolidated net profit of Rs 1,081.18 crore for FY20 as against Rs Rs 684.49 crore in 2018-19.
Total income in the last fiscal was Rs 8,559.69 crore compared to 9,505.56 crore in 2018-19.
The board has also declared dividend of Re one per equity share of Rs 10 (10 per cent), on the paid-up equity capital of the company for the year ended March 31, 2020.
The company said that during the quarter, total revenue declined by 8 per cent on a year-on-year basis to Rs 1,848 crore, from Rs 2,018 crore in the corresponding quarter of previous year.
Fuel cost for the March quarter decreased by 16 per cent y-o-y to Rs 996 crore compared to Rs 1,190 crore in the year-ago period, due to moderation in the imported coal prices and lower generation, it added.
Finance costs declined to Rs 248 crore from Rs 276 crore in the same quarter previous fiscal, attributable to proactive debt repayment/prepayment.
The consolidated net-worth and net debt as on March 31, 2020 were Rs 11,646 crore and Rs 8,945 crore, respectively, resulting in a net debt to equity ratio of 0.77X.
During the quarter, the company reduced its net debt by Rs 585 crore.
Short-term sales during the quarter were higher at 736 million units as compared to 567 million units in Q4FY19 due to higher sales at Ratnagiri and Vijayanagar plants.
The net power generation was 4,105 million units in March quarter, down from 4,216 million units in same period a year ago.
Talking about impact of lockdown to contain COVID-19, the company said that the exodus of casual and contractual labourers across the country is likely to have a severe implication on the pace of recovery in industrial and agricultural activities.
Power demand over the short-term is expected to be muted following subdued economic activity due to the ongoing COVID-19 situation, it added.
“There have been major disruptions in supply chain and logistics including disruptions in billing and collections for Discoms. In the short term, volumes and tariffs at merchant markets are expected to be adversely impacted due to a lackluster demand scenario,” it said.
However, it said that over the medium term, power sector outlook is intact, as rapid urbanisation and stabilisation of various schemes undertaken by the government such as “Power for All” and “24 x 7 Power” is expected to spur the power demand.
With universal household electrification nearly complete in the country, the latent power demand from rural India should also get unlocked, it added.
However, it said that pace of resolution of COVID-19 related issues, prompt realisation of discom receivables, volatility in imported coal prices and merchant tariffs, and domestic coal availability especially for private sector power plants continue to remain key concerns for the sector.