Investors

« Back Annual Financial results 2013 -2014

Part I:STATEMENT OF AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 31ST MARCH 2014

(Rupee/Lakh)
Sl. No. Particulars Standalone Consolidated
Quarter ended 31.03.2014 (Unaudited) Quarter ended 31.12.2013 (Unaudited) Quarter ended
31.03.2013 (Unaudited)
Year ended 31.03.2014
(Audited)
Year ended 31.03.2013 (Audited) Year ended 31.03.2014 (Audited) Year ended 31.03.2013 (Audited)
1 2 3 4 5 6 7 8 9
1 Income from operations
(a) Net sales (net of electricity duty/excise duty) 2093808 1877939 1646184 7160263 6431638 7845097 7061105
(b) Other operating income 10075 5774 90492 41630 142066 47069 148704
Total income from operations (net) 2103883 1883713 1736676 7201893 6573704 7892166 7209809
2 Expenses
(a) Fuel cost 1443411 1183052 1038969 4582971 4101825 4779026 4282777
(b) Employee benefits expense 89465 117965 98800 386799 341596 405595 360722
(c) Depreciation and amortisation expense 120764 102428 102126 414219 339676 476999 382322
(d) Other expenses 116752 117115 119497 455669 420596 739407 749784
Total expenses 1770392 1520560 1359392 5839658 5203693 6401027 5775605
3 Profit from operations before other income, finance costs and exceptional items (1-2) 333491 363153 377284 1362235 1370011 1491139 1434204
4 Other income 59904 74895 88370 268889 311877 277744 318116
5 Profit from ordinary activities before finance costs and exceptional items (3+4) 393395 438048 465654 1631124 1681888 1768883 1752320
6 Finance costs 56769 60103 59117 240659 192436 320307 248054
7 Profit from ordinary activities after finance costs but before exceptional items (5-6) 336626 377945 406537 1390465 1489452 1448576 1504266
8 Exceptional items - - 168411 - 168411 - 156829
9 Profit from ordinary activities before tax (7+ 8) 336626 377945 574948 1390465 1657863 1448576 1661095
10 Tax expense:
(a) Current tax 33295 85375 126205 279360 368084 292377 370850
(b) Deferred tax (6023) 6442 10582 13631 27840 15859 31623
Total tax expense (a+b) 27272 91817 136787 292991 395924 308236 402473
11 Net profit from ordinary activities after tax (9-10) 309354 286128 438161 1097474 1261939 1140340 1258622
12 Extraordinary items (net of tax expense) - - - - - - -
13 Net profit for the period (11- 12) 309354 286128 438161 1097474 1261939 1140340 1258622
14 Share of profit / (loss) of associates - - - - - - -
15 Minority interest - - - - - (21) (456)
16 Net profit after taxes, minority interest and share of profit of associates (13+14-15) 309354 286128 438161

1097474

1261939 1140361 1259078
17 Paid-up equity share capital
(Face value of share Rupee 10/- each)
824546 824546 824546 824546 824546 824546 824546
18 Paid-up debt capital       6717022 5814630    
19 Reserves excluding revaluation reserve as per balance sheet       7756986 7214205 7875803 7299549
20 Debenture redemption reserve       276491 253533    
21(i) Earnings per share (before extraordinary items) - (of Rupee10/- each)(not annualised) (in Rupee):
(a) Basic 3.75 3.47 5.31 13.31 15.30 13.83 15.27
(b) Diluted 3.75 3.47 5.31 13.31 15.30 13.83 15.27
21(ii) Earnings per share (after extraordinary items) - (of Rupee10/- each) (not annualised) (in Rupee) :
  (a) Basic 3.75 3.47 5.31 13.31 15.30 13.83 15.27
  (b) Diluted 3.75 3.47 5.31 13.31 15.30 13.83 15.27
22 Debt equity ratio       0.78 0.72    
23 Debt service coverage ratio (DSCR)       2.77 3.17    
24 Interest service coverage ratio (ISCR)       8.62 10.39    

See accompanying notes to the financial results.

Part II - Select Information

Sl. No. Particulars Standalone Consolidated
Quarter ended 31.03.2014 (Unaudited) Quarter ended 31.12.2013 (Unaudited) Quarter ended 31.03.2013 (Unaudited) Year ended 31.03.2014 (Audited) Year ended 31.03.2013 (Audited) Year ended 31.03.2014 (Audited) Year ended 31.03.2013 (Audited)
1 2 3 4 5 6 7 8 9
A PARTICULARS OF SHAREHOLDING
1 Public shareholding
- Number of shares 2061366100 2061366100 2061366100 2061366100 2061366100 2061366100 2061366100
- Percentage of shareholding 25.00 25.00 25.00 25.00 25.00 25.00 25.00
2 Promoters and promoter group shareholding
a) Pledged/ Encumbered
- Number of shares - - - - - - -
- Percentage of shares (as a % of the total shareholding of promoter and promoter group) - - - - - - -
- Percentage of shares (as a % of the total share capital of the company) - - - - - - -
b) Non-encumbered
- Number of shares 6184098300 6184098300 6184098300 6184098300 6184098300 6184098300 6184098300
- Percentage of the shares (as a % of the total shareholding of promoter and promoter group) 100.00 100.00 100.00 100.00 100.00 100.00 100.00
- Percentage of the shares (as a % of the total share capital of the company) 75.00 75.00 75.00 75.00 75.00 75.00 75.00
Sl.No. Particulars Quarter ended 31.03.2013
B INVESTOR COMPLAINTS  
  Pending at the beginning of the quarter 3
  Received during the quarter 2486
  Disposed of during the quarter 2477
  Remaining unresolved at the end of the quarter 12

Statement of Assets and Liabilities

(Rupee/Lakh)
Sl.No. Particulars Standalone Consolidated
As at 31.03.2014 (Audited) As at 31.03.2013 (Audited) As at 31.03.2014 (Audited) As at 31.03.2013 (Audited)
A EQUITY AND LIABILITIES
1 Shareholders' funds
  (a) Share capital 824546 824546 824546 824546
  (b) Reserves and surplus 7756986 7214205 7875803 7299549
  Sub-total - Shareholders' funds 8581532 8038751 8700349 8124095
2 Deferred revenue 160988 124405 160988 124405
3 Ash utilisation fund - - 32623 23493
4 Minority interest - - 68043 64481
5 Non-current liabilities
  (a) Long-term borrowings 6240575 5325366 7554230 6458772
  (b) Deferred tax liabilities (net) 105161 91530 123931 108072
  (c) Other long-term liabilities 251246 196984 308158 221766
  (d) Long-term provisions 87936 73992 89680 76120
  Sub-total - Non-current liabilities 6684918 5687872 8075999 6864730
6 Current liabilities
  (a) Short-term borrowings - - 43364 38216
  (b) Trade payables 663334 513239 742770 586229
  (c) Other current liabilities 1134386 1046925 1422344 1316507
  (d) Short-term provisions 730260 700454 757513 728902
  Sub-total - Current liabilities 2527980 2260618 2965991 2669854
  TOTAL - EQUITY AND LIABILITIES 17955418 16111646 20003993 17871058
B ASSETS
1 Non-current assets
  (a) Fixed assets (including capital work-in-progress) 11699950 10004552 13803232 11838673
  (b) Goodwill on consolidation - - 62 62
  (c) Non-current investments 812090 913764 166346 330042
  (d) Long-term loans and advances 1277622 963341 1415111 1105861
  (e) Other non-current assets 178677 149119 180599 150391
  Sub-total - Non-current assets 13968339 12030776 15565350 13425029
2 Current assets
  (a) Current investments 163696 162246 163696 162246
  (b) Inventories 537335 405719 598848 457578
  (c) Trade receivables 522008 536500 672566 609615
  (d) Cash and bank balances 1531137 1686770 1705067 1873812
  (e) Short-term loans and advances 311708 174557 323119 171834
  (f) Other current assets 921195 1115078 975347 1170944
  Sub-total - Current assets 3987079 4080870 4438643 4446029
  TOTAL - ASSETS 17955418 16111646 20003993 17871058

Audited Segment-Wise Revenue, Results and Capital Employed For The Year Ended 31stMarch 2014

(Rupee/Lakh)
Sl. No. Particulars Standalone Consolidated
Quarter ended 31.03.2014 (Unaudited) Quarter ended 31.12.2013 (Unaudited) Quarter ended 31.03.2013 (Unaudited) Year ended 31.03.2014 (Audited) Year ended 31.03.2013 (Audited) Year ended 31.03.2014 (Audited) Year ended 31.03.2013 (Audited)
1 2 3 4 5 6 7 8 9
1 Segment revenue
- Generation 2109401 1891548 1915295 7224026 6760056 7648968 7086447
- Others 2776 3591 4041 11507 12846 288280 319928
Total 2112177 1895139 1919336 7235533 6772902 7937248 7406375
2 Segment results (Profit before tax and interest)
- Generation 368873 402021 580979 1497480 1664505 1628475 1733024
- Others 807 1021 1213 1623 1614 8283 (5448)
- Total 369680 403042 582192 1499103 1666119 1636758 1727576
Less
(i) Unallocated interest and finance charges 56769 60103 59117 240659 192436 320307 248054
(ii) Other unallocable expenditure net of unallocable income (23715) (35006) (51873) (132021) (184180) (132125) (181573)
Profit before tax 336626 377945 574948 1390465 1657863 1448576 1661095
3 Capital employed (Segment assets - Segment liabilities)
- Generation 8202810 7216218 7100418 8202810 7100418 8704226 7427130
- Others 90254 18589 4496 90254 4496 224674 33809
- Un-allocated 288468 1592063 933837 288468 933837 (228551) 663156
- Total 8581532 8826870 8038751 8581532 8038751 8700349 8124095

The operations of the company are mainly carried out within the country and therefore, geographical segments are not applicable.

Notes:

1. The above results have been reviewed by the Audit Committee of the Board of Directors in their meeting held on 15th May 2014 and approved by the Board of Directors in the meeting held on the same day.

2. The Subsidiaries and Joint Venture Companies considered in the Consolidated Financial Results are as follows.

a) Subsidiary Companies Ownership (%)
1 NTPC Electric Supply Company Ltd. 
(incl. its Joint Venture Kinesco Power and Utilities Private Ltd. with 50% holding)
100.00
2 NTPC Vidyut Vyapar Nigam Ltd.* 100.00
3 Kanti Bijlee Utpadan Nigam Ltd. 65.00
4 Bhartiya Rail Bijlee Company Ltd. 74.00
b) Joint venture Companies
1 Utility Powertech Ltd. 50.00
2 NTPC Alstom Power Services Private Ltd. 50.00
3 NTPC SAIL Power Company Private Ltd. 50.00
4 NTPC-Tamilnadu Energy Company Ltd. 50.00
5 Ratnagiri Gas and Power Private Ltd.* 32.86
6 Aravali Power Company Private Ltd. 50.00
7 NTPC-SCCL Global Ventures Private Ltd.* 50.00
8 Meja Urja Nigam Private Ltd. 50.00
9 NTPC-BHEL Power Projects Private Ltd.* 50.00
10 BF-NTPC Energy Systems Ltd.* 49.00
11 Nabinagar Power Generating Company Private Ltd. 50.00
12 National Power Exchange Ltd.* 16.67
13 International Coal Ventures Private Ltd.* 14.28
14 National High Power Test Laboratory Private Ltd.* 20.00
15 Transformers and Electricals Kerala Ltd.* 44.60
16 Energy Efficiency Services Ltd.* 25.00
17 CIL-NTPC Urja Pvt.Ltd.* 50.00
18 Anushakti Vidhyut Nigam Ltd. 49.00
19 Pan-Asian Renewables Private Ltd.* 50.00
20 Trincomalee Power Company Ltd.* 50.00
21 Bangladesh - India Friendship Power Company Private Ltd.* 50.00
All the above companies are incorporated in India except company at Sl.No.20 and 21 which are incorporated in Srilanka and Bangladesh respectively.
* The financial statements are un- audited and certified by the management and have been considered for Consolidated Financial Statements of the Group. The figures appearing in their respective financial statements may change upon completion of their audit.

 

3. a) The Central Electricity Regulatory Commission (CERC) notified the Tariff Regulations, 2009 in January 2009, and First, Second and Third Amendments thereto in May 2011, June 2011 and December 2012 respectively (Regulations, 2009). In line with the Regulations, 2009, the CERC has issued provisional/final tariff orders w.e.f. 1st April 2009 for all the stations except for four stations. Beneficiaries are billed in accordance with the said provisional/final tariff orders except for four stations where it is done on provisional basis. The amount billed for the year ended 31st March 2014 on this basis is Rupee 6,870,403 lakh (previous year Rupee 6,179,468 lakh).

b) In respect of stations for which the CERC has issued final tariff orders under the Regulations, 2009 and Renewable Energy Regulations, 2009, sales have been recognised at Rupee 6,620,942 lakh for the year ended 31st March 2014 (previous year Rupee6,165,023 lakh) after truing up capital expenditure to arrive at the capacity charges. For other stations, pending determination of station-wise final tariff by the CERC, sales have been provisionally recognised at Rupee 338,670 lakh for the year ended 31st March 2014 (previous year Rupee 99,824 lakh) on the basis of principles enunciated in the said Regulations, 2009 after truing-up capital expenditure to arrive at the capacity charges.

c) Sales include Rupee 208,682 lakh for the year ended 31st March 2014 (previous year Rupee 124,190 lakh) pertaining to previous years recognized based on the orders issued by the CERC/Appellate Tribunal for Electricity (APTEL).

d) Sales include (-) Rupee 26,999 lakh for the year ended 31st March 2014 (previous year Rupee 24,604 lakh) on account of income-tax recoverable from the beneficiaries as per Regulations, 2004. Sales also include Rupee 7,702 lakh for the year ended 31st March 2014 (previous year Rupee 5,316 lakh) on account of deferred tax materialized which is recoverable from beneficiaries as per Regulations, 2009.

4. Provision for current tax for the year includes tax related to earlier years amounting to (-) Rupee 43,696 lakh (previous year (-) Rupee 15,885 lakh).

5. During the year, one unit of 500 MW each at Vindhyachal w.e.f 27th March 2014, Rihand w.e.f. 27th March 2014, Mauda w.e.f. 30th March 2014 have been declared commercial. Further, Solar PV Power Stations of 10 MW each at Ramagundam w.e.f. 29th January 2014, Talcher Super w.e.f 28th March 2014, Unchahar w.e.f. 31st March 2014, 30 MW at Rajgarh w.e.f.31st March 2014 and 5 MW at Faridabad w.e.f. 31st March 2014 have also been declared commercial.

6. During the year, the Company made public issue of tax free bonds of Rupee1,750 crore pursuant to Notification No.61/2013.F.No.178/37/2013-(ITA.I) dated 8th August 2013 issued by the Central Board of Direct Taxes, Department of Revenue, Ministry of Finance, GOI. The Company has utilised the issue proceeds as per the objects of the issue stated in the prospectus dated 25th November 2013 i.e. funding of capital expenditure and refinancing for meeting the debt requirement in ongoing projects, including recoupment of expenditure already incurred.

7. "Due to variation in the Gross Calorific Value (GCV) of coal supplied by coal companies and received at power stations, the Company w.e.f. October/November 2012 released payments on the basis of GCV measured at station end and the difference between the amount billed by the coal companies and the amounts admitted by the Company (“disputed billed amount”) were disclosed as contingent liability with corresponding possible reimbursements from the beneficiaries. The issue was taken up with the coal companies directly and through the Ministry of Power and Ministry of Coal, Govt. of India for resolution. This resulted in incorporation of a provision for “Third party sample collection, preparation, testing and analysis” at the loading end in place of joint sampling in the Coal Supply Agreement (CSA), 2012 and amendment to CSA, 2009 which have since been signed with subsidiaries of Coal India Ltd. (CIL) "

Based on the advice of Government of India, Board of Directors approved the modalities for extrapolation of the third party sample analysis results for the three month period starting October/November 2013 to the supplies during the past period from October/November 2012 till start of third party sampling. On this basis, settlement with some of the CIL subsidiaries has been reached and matter has been taken up with other CIL subsidiaries for early resolution. Following the principles approved by the Board, against the disputed billed amount of Rupee 410,287 lakh, during the year the Company paid Rupee 143,869 lakh and provided Rupee 144,039 lakh. In respect of the balance disputed billed amount of Rupee 122,379 lakh as at 31st March 2014, taking into account settlements already reached with some of the CIL subsidiaries, an amount of Rupee 105,514 lakh (previous year Rupee 253,110 lakh) has been estimated as contingent liability with corresponding possible reimbursements from the beneficiaries and the remaining amount of Rupee 16,865 lakh is considered as settled. Sales corresponding to variable charges recoverable for the amounts paid/provided as above have been recognized.

8. During the previous quarter, a defined contribution pension scheme of the Company has been implemented effective from 1st January 2007. Employee benefits expense for the year include Rupee 34,656 lakh as additional contribution for the period from 1st January 2007 to 31st March 2013.

9. During the year, NTPC Hydro Ltd. (a wholly owned subsidiary of the Company) has been merged with the Company consequent to the order of Ministry of Corporate Affairs, Government of India w.e.f. 1st April 2013.The merger does not have any material impact on the profits of the Company.

10. Claims recoverable as at 31st March 2014 include Rupee 42,600 lakh (previous year Rupee 89,472 lakh) recoverable from Government of India (GOI) towards the cost incurred in respect of one of the hydro power projects, the construction of which has been discontinued on the advice of the Ministry of Power, GOI. During the year, a payment of Rupee 53,630 lakh has been received from GOI on this account in the first phase. Management expects that the total cost incurred, anticipated expenditure on the safety and stabilisation measures, other recurring site expenses and interest costs as well as claims of contractors/vendors for various packages for this project will be compensated in full by the GOI. Hence, no provision is considered necessary.

11. The environmental clearance ('clearance') granted by the Ministry of Environment and Forest, Government of India (MoEF) for one of the Company's project was challenged before the National Green Tribunal (NGT). The NGT disposed the appeal, inter alia, directing that the order of clearance be remanded to the MoEF to pass an order granting or declining clearance to the project proponent afresh in accordance with the law and the judgment of the NGT and for referring the matter to the Expert Appraisal Committee ('Committee') for its re-scrutiny, which shall complete the process within six months from the date of NGT order. NGT also directed that the environmental clearance shall be kept in abeyance and the Company shall maintain status quo in relation to the project during the period of review by the Committee or till fresh order is passed by the MoEF, whichever is earlier. The Company filed an appeal challenging the NGT order before the Hon’ble Supreme Court of India which stayed the order of the NGT and the matter is sub-judice. Aggregate cost incurred on the project upto 31st March 2014 is Rupee 445,573 lakh (previous year Rupee 169,163 lakh).

12. During the quarter, the Company has paid an interim dividend of Rupee 4.00 per equity share (face value Rupee 10/-each) for the year 2013-14. The Board of Directors has recommended final dividend of Rupee 1.75 per equity share (face value Rupee 10/- each). The total dividend (including interim dividend) for the financial year 2013-14 is Rupee 5.75 per equity share (face value Rupee 10/-each).

13. The audited accounts are subject to review by Comptroller and Auditor General of India under Section 619(4) of the Companies Act, 1956.

14. Formula used for computation of coverage ratios DSCR = Earning before Interest, Depreciation, Tax and Exceptional items /(Interest net of transferred to expenditure during construction + Principal repayment) and ISCR = Earning before Interest, Depreciation, Tax and Exceptional items/(Interest net of transferred to expenditure during construction).

15. Previous periods/years figures have been regrouped/rearranged wherever necessary.

16. Figures of last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the third quarter of the current financial year.

For and on behalf of Board of Directors

Place: New Delhi
Date: 15th May 2014

sd/-
(K. BISWAL)
DIRECTOR (FINANCE)