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PART I : Statement of Standalone Unaudited Financial Results for the Quarter and Half-Year ended 30thSeptember 2014

(Rupee in Lakhs)
Sl. No. Particulars

Quarter ended
30.09.2014

(Unaudited)

Quarter ended 30.06.2014
(Unaudited)
Quarter ended 
30.09.2013 
(Unaudited)
Half-Year
ended 
30.09.2014
(Unaudited)
Half-Year
ended 
30.09.2013
(Unaudited)
Year ended
31.03.2014
(Audited)
1 2 3 4 5 6 7 8
1 Income from operations            
  (a) Net sales (net of electricity duty) 1658236 1808647 1627227 3466883 3188516 7160263
  (b) Other operating income 15427 25028 17663 40455 25781 41630
  Total income from operations (net) 1673663 1833675 1644890 3507338 3214297 7201893
2 Expenses            
  (a) Fuel cost 1143933 1276513 1013925 2420446 1956508 4582971
  (b) Employee benefits expense 91801 91841 82817 183642 176064 382478
  (c) Depreciation and amortisation expense 115158 111547 96794 226705 191027 414219
  (d) Other expenses 113696 111875 121276 225571 221802 455669
  Total expenses 1464588 1591776 1314812 3056364 2545401 5835337
3 Profit from operations before other income, finance costs and exceptional items (1-2) 209075 241899 330078 450974 668896 1366556
4 Other income 53069 53256 62719 106325 130785 264568
5 Profit from ordinary activities before finance costs and exceptional items (3+4) 262144 295155 392797 557299 799681 1631124
6 Finance costs 66741 66791 62046 133532 123787 240659
7 Profit from ordinary activities after finance costs but before exceptional items (5-6) 195403 228364 330751 423767 675894 1390465
8 Exceptional items - - - - - -
9 Profit from ordinary activities before tax (7+8) 195403 228364 330751 423767 675894 1390465
10 Tax expenses:

 

         
  (a) Current tax (Refer note 4) (2188) (1328) 73575 (3516) 160690 279360
  (b) Deferred tax 9446 9572 7886 19018 13212 13631
  (c) Less: Deferred tax recoverable (refer note 5) 19018 - - 19018 - -
  Total tax expense (a+b-c) (11760) 8244 81461 (3516) 173902 292991
11 Net profit from ordinary activities after tax (9-10) 207163 220120 249290 427283 501992 1097474
12 Extraordinary items (net of tax expense) - - - - - -
13 Net profit for the period (11-12) 207163 220120 249290 427283 501992 1097474
14 Paid-up equity share capital 
(Face value of share Rupee10/- each)
824546 824546 824546 824546 824546 824546
15 Paid-up debt capital       6956529 6062944 6717022
16 Reserves excluding revaluation reserve as per balance sheet           7756986
17 Debenture redemption reserve       257916 229958 276491
18(i) Earnings per share (before extraordinary items) - (of Rupee 10/- each)(not annualised) (in Rupee):            
  (a) Basic 2.51 2.67 3.03 5.18 6.09 13.31
  (b) Diluted 2.51 2.67 3.03 5.18 6.09 13.31
18(ii) Earnings per share (after extraordinary items) - (of Rupee 10/- each) (not annualised) (in Rupee):        
  (a) Basic 2.51 2.67 3.03 5.18 6.09 13.31
  (b) Diluted 2.51 2.67 3.03 5.18 6.09 13.31
19 Debt equity ratio       0.77 0.71 0.78
20 Debt service coverage ratio
(DSCR)
      2.05 2.55 2.77
21 Interest service coverage ratio
(ISCR)
      5.95 8.12 8.62

See accompanying notes to the financial results

PART II : Select Information for the Quarter and Half-Year ended 30th September 2014

Sl.No. Particulars Quarter ended
30.09.2014

(Unaudited)
Quarter ended
30.06.2014
(Unaudited)
Quarter ended 
30.09.2013 
(Unaudited)
Half-Year ended 
30.09.2014
(Unaudited)
Half-Year
ended 
30.09.2013
(Unaudited)
Year ended
31.03.2014
(Audited)
1 2 3 4 5 6 7 8
A PARTICULARS OF SHAREHOLDING            
1 Public Shareholding            
  - Number of shares 2064849420 2064849420 2061366100 2064849420 2061366100 2061366100
  - Percentage of shareholding 25.04 25.04 25.00 25.04 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 6180614980 6180614980 6184098300 6180614980 6184098300 6184098300
  - 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) 74.96 74.96 75.00 74.96 75.00 75.00
  Particulars

Quarter ended
30.09.2014

B INVESTOR COMPLAINTS  
  Pending at the beginning of the quarter 7
  Received during the quarter 1728
  Disposed of during the quarter 1734
  Remaining unresolved at the end of the quarter 1

Standalone Statement of Assets and Liabilities

(Rupee in Lakhs)
Sl.No. Particulars As at
30.09.2014
(Unaudited)
As at
31.03.2014
(Audited)
A EQUITY AND LIABILITIES    
1 Shareholders' funds    
  (a) Share capital 824546 824546
  (b) Reserves and surplus 8183720 7756986
  Sub-total - Shareholders' funds 9008266 8581532
2 Deferred revenue 139706 160988
3 Non-current liabilities    
  (a) Long-term borrowings 6470370 6240575
  (b) Deferred tax liabilities (net) 105161 105161
  (c) Other long-term liabilities 249434 251246
  (d) Long-term provisions 98326 87936
  Sub-total Non-current liabilities 6923291 6684918
4 Current liabilities    
  (a) Trade payables 555199 663334
  (b) Other current liabilities 1151333 1134386
  (c) Short-term provisions 552941 730260
  Sub-total Current liabilities 2259473 2527980
  TOTAL - EQUITY AND LIABILITIES 18330736 17955418
B ASSETS    
1 Non-current assets    
  (a) Fixed assets (including capital work-in-progress) 12252796 11699950
  (b) Non-current investments 825550 812090
  (c) Long-term loans and advances 1443067 1277622
  (d) Other non-current assets 191573 178677
  Sub-total Non-current assets 14712986 13968339
2 Current assets    
  (a) Current investments 429792 163696
  (b) Inventories 415917 537335
  (c) Trade receivables 547358 522008
  (d) Cash and bank balances 1333300 1531137
  (e) Short-term loans and advances 313463 311708
  (f) Other current assets 577920 921195
  Sub-total Current-assets 3617750 3987079
  TOTAL-ASSETS 18330736 17955418

Segment-wise Revenue, Results and Capital Employed for the Quarter and Half-Year ended 30th September 2014

(Rupee in Lakhs)
Sl.No. Particulars Quarter ended
30.09.2014
(Unaudited)
Quarter ended
30.06.2014
(Unaudited)
Quarter ended
30.09.2013 
(Unaudited)
Half-Year
ended
30.09.2014 
(Unaudited)
Half-Year
ended
30.09.2013 
(Unaudited)
Year ended
31.03.2014
(Audited)
1 2 3 4 5 6 7 8
1 Segment revenue            
  - Generation 1678287 1836097 1648716 3514384 3223077 7224026
  - Others 2286 2699 2224 4985 5140 11507
  - Total 1680573 1838796 1650940 3519369 3228217 7235533
2 Segment results (Profit before tax and interest)            
  - Generation 242405 269538 357020 511943 726586 1497480
  - Others 367 (117) (278) 250 (250) 1623
  Total 242772 269421 356742 512193 726381 1499103
  Less:            
  (i) Unallocated finance costs 66741 66791 62046 133532 123787 240659
  (ii) Other unallocable expenditure net of unallocable income (19372) (25734) (36055) (45106) (73300) (132021)
  Profit before tax 195403 228364 330751 423767 675894 1390465
3 Capital employed (Segment assets - Segment liabilities)            
  - Generation 7861889 8049945 7088296 7861889 7088296 8194117
  - Others 47072 46138 12183 47072 12183 39387
  - Un-allocated 1099305 705023 1440263 1099305 1440263 348028
  Total 9008266 8801106 8540742 9008266 8540742 8581532
The operations of the company are mainly carried out within the country and therefore, geographical segments are not applicable.

Notes:

1. These results have been reviewed by the Audit Committee of the Board of Directors and approved by the Board of Directors in their respective meetings held on 31st October 2014.

2. (a) The Central Electricity Regulatory Commission (CERC) notified the Tariff Regulations, 2014 in February 2014 (Regulations, 2014). Pending issue of provisional/final tariff orders w.e.f. 1st April 2014 for all the stations, beneficiaries are billed in accordance with the tariff approved and applicable as on 31st March 2014 as provided in the Regulations,2014. The amount billed for the quarter and half-year ended 30th September 2014 is Rupee 17,06,905 lakh and Rupee 35,98,039 lakh respectively (corresponding previous quarter and half-year Rupee 15,85,188 lakh and Rupee 31,35,657 lakh).

(b) The Company has filed a petition before the Hon'ble High Court of Delhi contesting certain provisions of the Regulations 2014. Pending issue of provisional/final tariff orders under Regulations, 2014 by CERC and disposal of the petition, sales have been provisionally recognised at Rupee 17,04,549 lakh and for the quarter and Rupee 35,63,035 lakh for the half-year ended 30th September 2014 (corresponding previous quarter and half-year Rupee 16,10,953 lakh and Rupee 31,39,324 lakh) on the basis of said Regulations.

(c) Sales include Rupee 9,010 lakh for the quarter and Rupee 32,017 lakh for the half-year ended 30th September 2014 (corresponding previous quarter and half-year Rupee 11,754 lakh and Rupee 31,826 lakh ) pertaining to previous years recognized based on the orders issued by the CERC/Appellate Tribunal for Electricity . Sales include (-) Rupee 60,502 lakh for the quarter and(-) Rupee 1,38,923 lakh for the half-year ended 30th September 2014 (corresponding previous quarter and half-year Rupee Nil and Rupee 8,110 lakh) on account of income tax refundable to / recoverable from the beneficiaries as per Regulations, 2004. Sales also include Rupee 2,952 lakh for the quarter and Rupee 5,904 lakh for the half-year ended 30th September 2014 (corresponding previous quarter and half-year Rupee 1,892 lakh and Rupee 3,784 lakh) on account of deferred tax materialized which is recoverable from beneficiaries as per Regulations, 2014.

3. During the quarter, in line with the accounting policy on advance against depreciation, excess of depreciation charged in the books over the depreciation recovered in tariff, amounting to Rupee 20,824 lakh upto 31st March 2014 has been recognised as prior period sales and netted from 'Other Expenses'.

4. Provision for current tax for the period includes tax related to earlier years amounting to (-) Rupee 56,330 lakh and (-) Rupee 128,893 lakh respectively (corresponding previous quarter Nil).

5. Regulations, 2014 provides recovery of income tax from the beneficiaries by grossing up of the return on equity based on effective tax rate for the financial year i.e. based on the actual tax paid during the year on the generation income. Accordingly, deferred tax provided during the quarter and half-year ended 30th September 2014 on the generation income is accounted as 'Deferred tax recoverable' as the same will be recovered from the beneficiaries in future years.

6. Government of India has promulgated Coal Mines (Special Provisions) Ordinance, 2014 (Ordinance) on 21st October 2014 wherein five coal blocks allotted to the Company have been cancelled. As per Section 5 of the said Ordinance, the cancelled coal blocks may be allotted to a Government Company subject to fulfillment of certain conditions. The detailed modalities in this regard are yet to be framed by the Government. The Company expects the allotment of the cancelled coal blocks in its favour. Accordingly, the Company considers the expenditure incurred on these coal blocks as good.

7. The Company has revised the accounting policy for depreciation of certain assets in alignment with Schedule-II to the Companies Act, 2013 which has become applicable from 1st April 2014. Consequently, profit for the quarter and half-year ended 30th September 2014 is lower by Rupee 359 lakh and Rupee 2,57,875 lakh as at 31st March 2014), an amount of Rupee 826 lakh respectively and fixed assets as at 30th September 2014 are lower by Rupee 1,373 lakh . Further, an amount of Rupee 22,386 lakh (Rupee547 lakh has been recognized in the opening balance of the retained earnings where the remaining useful life of such assets is Nil as at 1st April 2014 in line with the provisions of Schedule-II to the Companies Act, 2013.

8.Other non current assets as at 30th September 2014 include Rupee 45,504 lakh ( Rupee 42,600 lakh as at 31st March 2014) 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. 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 contractors/vendors for this project, will be compensated in full by the GOI. Hence no provision is considered necessary.

9. 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.

10. During the quarter, the Company has paid final dividend of Rupee 1.75 per share (face value of Rupee 10/- each) for the financial year 2013-14.

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: 31st October, 2014

(K. BISWAL)
DIRECTOR (FINANCE)