Torrent Power Strong Q2 Results Driven by Merchant Power Sales

Torrent Power announced a strong financial performance for Q2 FY 2025-26, with a 20% increase in contribution, reaching ₹2,170 Cr. The results were primarily driven by increased merchant power sales and efficient operations. Total Comprehensive Income (TCI) stood at ₹730 Cr. The company is expanding its renewable capacity and improving its distribution networks, setting the stage for future growth.

Financial Performance Highlights

Torrent Power has demonstrated strong financial results for Q2 FY 2025-26. Key highlights include:

  • Revenue from Operations: Increased by 10% to ₹7,876 Cr.
  • Contribution: Up 20% to ₹2,170 Cr.
  • Profit Before Tax: Increased by 42% to ₹979 Cr.
  • Profit After Tax: Increased by 50% to ₹742 Cr.
  • Total Comprehensive Income (TCI): Stood at ₹730 Cr, a 48% increase.

Key Growth Drivers

The company’s performance was driven by:

  • Increased contribution from merchant power sales, including LNG sales from gas-based power plants.
  • Reduction in finance costs, partially offset by increased depreciation due to capex and commissioning of additional renewable capacity.

Operational Performance

Torrent Power continues to focus on operational efficiency:

  • Distribution loss of just 2.34% in FY25 for licensed distribution areas with power availability of 99.9%.
  • Targeting an increase in renewable portfolio to ~5.4 GW.
  • Focus on Green Hydrogen and Pumped Storage Power (PSP) with an eventual target of establishing ~8.4 GW of capacity.

Renewable Energy Expansion

Torrent Power is committed to expanding its renewable energy capacity. Noteworthy projects include:

  • MSEDCL project with a capacity of 367 MWp, with part project commissioned.
  • Various SECI projects totaling 722 MWp with SCOD in 2026.
  • TPL-D project with a capacity of 825 MW with SCOD by September 2026.

Distribution Network Improvements

The company has made significant strides in improving its distribution networks:

  • Ahmedabad/Gandhinagar: Distribution loss of 3.33% (Q2 FY26).
  • Surat: Distribution loss of 2.81% (Q2 FY26).
  • Bhiwandi: Reduction in AT&C losses from 58% at the time of takeover to less than 10% in FY25.

Source: BSE

InvestyWise News
InvestyWise News
Covers market-moving news with speed and precision, delivering sharp insights to help readers stay ahead in the fast-paced world of stocks.

Latest articles

Related articles

Leave a reply

Please enter your comment!
Please enter your name here
Captcha verification failed!
CAPTCHA user score failed. Please contact us!