The power generator reported a 14.7 per cent on-year rise in revenue from operations to Rs. 28,329 crore, which was higher than Street’s estimate.
The surge in revenues during the quarter was helped by a rise in demand for power due to the rapid reopening of the economy post the second wave and rising vaccination rate.
The company’s bottom line was affected by an increase in costs, a decrease in other income and a rise in tax expenses during the reported quarter.
NTPC’s other income in the quarter fell 30 per cent on-year to Rs. 944 crore. At the same time, tax expenses climbed 89 per cent year-on-year to Rs. 960.5 crore.
During the quarter, NTPC dished out Rs. 16,644 crore on fuel for its power plants as compared to Rs. 13,038.5 crore in the year-ago quarter. The jump in cost was largely down to higher coal prices during the quarter given the ongoing shortage.
The sharp rise in costs weighed on the company’s operating performance as operating margins sank to 19.38 per cent in the reported quarter from 25.93 per cent a year ago.
Shares of the company ended 2.8 per cent lower at Rs. 137.4 on the National Stock Exchange.
