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PART I : Statement of Standalone Unaudited Financial Results for the Quarter and Half-Year ended 30th September 2012

(Rupee/Lakh)
Sl. No. Particulars Quarter ended 30.09.2012 (Unaudited) Quarter ended 30.06.2012 (Unaudited) Quarter ended 30.09.2011 (Unaudited) Half-Year ended 30.09.2012 (Unaudited) Half-Year ended 30.09.2011 (Unudited) Year ended 31.03.2012 (Audited)
1 2 3 4 5 6 7 8
1 Income from operations            
  (a) Net sales (net of electricity duty) 1611967 1595996 1537754 3207963 2954903 6114489
  (b) Other operating income 23166 20599 27991 43765 59933 90734
  Total income from operations (net) (a+b) 1635133 1616595 1565745 3251728 3014836 6205223
2 Expenses  
  (a) Fuel cost 993266 1059772 1064940 2053038 2039922 4163546
  (b) Employee benefits expense 89645 79067 78461 168712 147533 309048
  (c) Depreciation and amortisation expense 78652 76022 65828 154674 129941 279170
  (d) Other expenses 106629 94100 63453 200729 149928 327521
  Total expenses (a+b+c+d) 1268192 1308961 1272682 2577153 2467324 5079285
3 Profit from operations before other income, finance costs and exceptional items (1-2) 366941 307634 293063 674575 547512 1125938
4 Other income  81655 67894 72942 149549 140640 277842
5 Profit from ordinary activities before finance costs and exceptional items (3+4) 448596 375528 366005 824124 688152 1403780
6 Finance costs 30346 49935 40127 80281 77559 171164
7 Profit from ordinary activities after finance costs but before exceptional items (5-6) 418250 325593 325878 743843 610593 1232616
8 Exceptional items - - - - - -
9 Profit from ordinary activities before tax (7-8) 418250 325593 325878 743843 610593 1232616
10 Tax expense:
  (a) Current tax 101127 68232 99412 169359 180733 306848
  (b) Deferred tax 2888 7494 (15946) 10382 (20130) 3395
  Total tax expense (a+b) 104015 75726 83466 179741 160603 310243
11 Net profit from ordinary activities after tax (9-10) 314235 249867 242412 564102 449990 922373
12 Extraordinary items (net of tax expense) - - - - - -
13 Net profit for the period (11-12) 314235 249867 242412 564102 449990 922373
14 Paid-up equity share capital
(Face value of share Rupee 10/- each)
824546 824546 824546 824546 824546 824546
15 Paid-up debt capital       5387444 4746055 5027937
16 Reserves excluding revaluation reserve as per balance sheet           6504571
17 Debenture redemption reserve       215329 198166 238904
18 (i) Earnings per share (before extraordinary items) - (of Rupee10/- each)(not annualised) (in Rupee):            
  (a) Basic 3.81 3.03 2.94 6.84 5.46 11.19
  (b) Diluted 3.81 3.03 2.94 6.84 5.46 11.19
18(ii) Earnings per share (after extraordinary items) - (of Rupee10/- each) (not annualised) (inRupee):            
  (a) Basic 3.81 3.03 2.94 6.84 5.46 11.19
  (b) Diluted 3.81 3.03 2.94 6.84 5.46 11.19
19 Debt equity ratio       0.68 0.66 0.69
20 Debt service coverage ratio(DSCR)       3.13 3.12 3.21
21 Interest service coverage ratio(ISCR)       12.05 10.62 9.81

See accompanying notes to the financial results.

PART II : Select Information for the Quarter and Half-Year ended 30th September 2012

Sl. No. Particulars Quarter ended 30.09.2012 (Unaudited) Quarter ended 30.06.2012 (Unaudited) Quarter ended 30.09.2011 (Unaudited) Half-Year ended 30.09.2012 (Unaudited) Half-Year ended 30.09.2011 (Unudited) Year ended 31.03.2012 (Audited)
1 2 3 4 5 6 7 8
  PARTICULARS OF SHAREHOLDING            
1 Public shareholding            
  (a) Number of shares 1278103220 1278103220 1278103220 1278103220 1278103220 1278103220
  (b) Percentage of shareholding 15.50 15.50 15.50 15.50 15.50 15.50
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 6967361180 6967361180 6967361180 6967361180 6967361180 6967361180
  - Percentage of shares (as a % of the total shareholding of promoter and promoter group) 100.00 100.00 100.00 100.00 100.00 100.00
  - Percentage of shares (as a % of the total share capital of the company) 84.50 84.50 84.50 84.50 84.50 84.50
Sl.No. Particulars Quarter ended 30.09.2012
B INVESTOR COMPLAINTS  
  Pending at the beginning of the quarter 1
  Received during the quarter 1209
  Disposed of during the quarter 1209
  Remaining unresolved at the end of the quarter 1

Standalone Statement of Assets and Liabilities

(Rupee/Lakh)
Sl. No. Particulars As at 30.09.2012 (Unaudited) As at 31.03.2012 (Audited)
A EQUITY AND LIABILITIES    
1 Shareholders' funds    
  (a) Share capital 824546 824546
  (b) Reserves and surplus 7068671 6504571
  Sub-total (Shareholders' funds) 7893217 7329117
2 Deferred revenue 177627 143006
3 Non-current liabilities    
  (a) Long-term borrowings 4912749 4590827
  (b) Deferred tax liabilities (net) 74072 63690
  (c) Other long-term liabilities 174358 172906
  (d) Long-term provisions 65174 60370
  Sub-total (Non-current liabilities) 5226353 4887793
4 Current liabilities    
  (a) Trade payables 508036 446807
  (b) Other current liabilities 1085058 955495
  (c) Short-term provisions 308772 321562
  Sub-total (Current liabilities) 1901866 1723864
       
  TOTAL (EQUITY AND LIABILITIES) 15199063 14083780
B ASSETS    
1 Non-current assets    
  (a) Fixed assets (including capital work-in-progress) 9190821 8708422
  (b) Non-current investments 1017939 958392
  (c) Long-term loans and advances 758977 540588
  (d) Other non-current assets 164998 137188
  Sub-total (Non-current assets) 11132735 10344590
2 Current assets    
  (a) Current investments 276952 162246
  (b) Inventories 313025 370285
  (c) Trade receivables 614110 583251
  (d) Cash and bank balances 1868730 1614611
  (e) Short-term loans and advances 166645 153481
  (f) Other current assets 826866 855316
  Sub-total (Current assets) 4066328 3739190
       
  TOTAL (ASSETS) 15199063 14083780

Segment-wise Revenue, Results and Capital Employed for the Quarter and Half-Year ended 30thSeptember 2012

(Rupee/Lakh)
Sl.
No.
Particulars Quarter ended 30.09.2012 (Unaudited) Quarter ended 30.06.2012 (Unaudited) Quarter ended 30.09.2011 (Unaudited) Half-Year ended 30.09.2012 (Unaudited) Half-Year ended 30.09.2011 (Unaudited) Year ended 31.03.2012 (Audited)
1 2 3 4 5 6 7 8
1 Segment revenue            
  - Generation 1637217 1619098 1565599 3256315 3014735 6211551
  - Others 3370 2950 4319 6320 7935 14605
  - Total 1640587 1622048 1569918 3262635 3022670 6226156
2 Segment results (Profit before tax and interest)            
  - Generation 407993 335196 313400 743189 589756 1230036
  - Others 957 (343) 1294 614 2459 (1946)
  - Total 408950 334853 314694 743803 592215 1228090
  Less            
  (i) Unallocated interest and finance charges 30346 49935 40127 80281 77559 171164
  (ii) Other unallocable expenditure net of unallocable income (39646) (40675) (51311) (80321) (95937) (175690)
  Profit before tax 418250 325593 325878 743843 610593 1232616
3 Capital employed (Segment assets - Segment liabilities)            
  - Generation 5890377 5505598 5222047 5890377 5222047 5640727
  - Others 4310 4462 8611 4310 8611 5299
  - Un-allocated 1998530 2068923 2008557 1998530 2008557 1683091
  - Total 7893217 7578983 7239215 7893217 7239215 7329117
The operations of the company are mainly carried out within the country and therefore, geographical segments are not applicable.

Notes:

1. (a) The Central Electricity Regulatory Commission (CERC) notified the Tariff Regulations, 2009 in January 2009, and also notified First and Second Amendment in May and June 2011 (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 Talcher Thermal Power Station (TTPS). Beneficiaries are billed in accordance with the said provisional/final tariff orders except for TTPS where it is done on provisional basis. The amount billed for the quarter and half-year ended 30th September 2012 on this basis isRupee 14,91,244 lakh and Rupee 30,74,193 lakh respectively (corresponding previous quarter and half-year Rupee 14,78,882 lakh and Rupee 28,65,376 lakh).

(b) The CERC has issued final tariff orders for most of the stations under the Regulations, 2009. Sales for these stations have been recognised at Rupee 12,62,642 lakh and Rupee 26,59,210 lakh respectively for the quarter and half-year ended 30thSeptember 2012 (corresponding previous quarter and half-year Rupee 13,14,366 lakh and Rupee 25,95,657 lakh) by truing up capital expenditure to arrive at the capacity charges. For all other stations, pending determination of station-wise final tariff by the CERC, sales have been provisionally recognized at Rupee 2,13,208 lakh and Rupee 4,03,429 lakh respectively for the quarter and half-year ended 30th September 2012 (corresponding previous quarter and half-year Rupee 1,37,301 lakh and Rupee2,92,897 lakh) by truing up capital expenditure to arrive at the capacity charges on the basis of principles enunciated in the said Regulations, 2009.

(c) (i) Sales include Rupee 1,02,372 lakh and Rupee 1,13,360 lakh respectively for the quarter and half-year ended 30thSeptember 2012 (corresponding previous quarter and half-year Rupee 75,935 lakh and Rupee 51,881 lakh) pertaining to previous years recognized based on the orders issued by the CERC/Appellate Tribunal for Electricity.

(ii) Sales include Rupee 29,213 lakh and Rupee 23,332 lakh respectively for the quarter and half-year ended 30th September 2012 (corresponding previous quarter and half-year Rupee 5,001 lakh) on account of income tax recoverable from the beneficaries as per Regulations, 2004. Sales also include Rupee 1,190 lakh and Rupee 2,379 lakh repectively for the quarter and half-year ended 30th September 2012 (corresponding previous quarter and half-year Rupee 894 lakh and Rupee 1,787 lakh) on account of deferred tax materialized which is recoverable from beneficiaries as per Regulations, 2009.

2. Ministry of Corporate Affairs, Government of India through Circular no. 25/2012 dated 9th August 2012 has clarified that para 6 of Accounting Standard (AS) 11 and para 4 (e) of AS 16 shall not apply to a Company which is applying para 46-A of AS 11. Consequently, exchange differences, arising on settlement/translation of foreign currency loans to the extent regarded as an adjustment to interest costs as per para 4 (e) of AS 16 and charged to statement of Profit and Loss, have now been adjusted in the cost of related assets. As a result, profit for the quarter and half-year ended 30thSeptember 2012 is higher by Rupee 2,019 lakh, fixed assets are higher by Rupee 20,698 lakh and Deferred Income from Foreign Currency Fluctuation is higher by Rupee 18,679 lakh.

3. During the quarter ended 30th September 2012, one unit of 660 MW at Sipat project and one unit of 500 MW at Simhadri project have been declared commercial w.e.f 1st August 2012 and 30th September 2012 respectively.

4. During the quarter, the Company decided to make payment towards supply of coal considering the GCV based pricing w.e.f. 1st January 2012. Accordingly, the amount payable/recoverable to/from the Coal Companies based on GCV based pricing of coal has been accounted with corresponding billing to the beneficiaries. This does not have significant impact on the profit of the Company.

5. Current tax expense includes Rupee Nil and (-) Rupee 4,623 lakh for the quarter and half-year ended 30th September 2012 respectively (corresponding previous quarter and half-year Rupee 27,346 lakh and Rupee 47,175 lakh) related to earlier year.

6. Other current assets as at 30th September 2012 include Rupee 83,537 lakh (Rupee 76,612 lakh as at 31st March 2012) recoverable from Government of India (GOI) towards the cost incurred in respect of one of the hydro power project, the construction of which has been discontinued on the advice of the Ministry of Power, GOI. Management expects that the total cost incurred, anticipated expenditure on safety and stabilization measures, other recurring site expenses and interest costs as well as claims of various packages of contractors/vendors for this project will be compensated in full by the GOI. Hence no provision is considered necessary.

7. The Company is executing a thermal power project in respect of which possession certificates for land has been handed over to the Company and all statutory and environment clearances for the project have been received. Subsequently, a high power committee has been constituted as per the directions of GOI to explore alternate location of the project since present location is stated to be a coal bearing area. The committee's recommendation to set up the project on the same location is pending GOI approval. Aggregate cost incurred upto 30th September 2012 amounting to Rupee 19,656 lakh (Rupee 19,445 lakh as at 31st March 2012) is included in fixed assets and long-term loans and advances.

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

9. During the quarter, the Company has paid final dividend of Rupee 0.50 per share (face value of Rupee 10/- each) for the financial year 2011-12.

10. The above results have been reviewed by the Audit Committee in the meeting held on 25th October 2012 and approved by the Board of Directors in the meeting held on 26th October 2012.

11. The above financial results have been reviewed by the Statutory Auditors as required under Clause 41 of the Listing Agreements.

12. Figures for the previous periods/year have been regrouped/rearranged wherever necessary.

For and on behalf of the Board of Directors

Place: New Delhi
Date 26th October 2012

(A. K. SINGHAL)
DIRECTOR (FINANCE)