APRelated
Securities has add call on NHPC with a target price of Rs 36. The current market price of . is Rs 32.9 Time period given by analyst is one year when Ltd. price can reach defined target. NHPC Ltd., incorporated in the year 1975, is a Large Cap company (having a market cap of Rs 32797.04 Crore) operating in Power sector.
NHPC Ltd. key Products/Revenue Segments include Power, Income from Finance Leases, Other Operating Revenue, Income from Project Development and Contract Revenue for the year ending 31-Mar-2021.
Financials
For the quarter ended 31-03-2022, the company reported a Consolidated Total Income of Rs 2026.62 Crore, down -14.62 % from last quarter Total Income of Rs 2373.72 Crore and down -3.23 % from last year same quarter Total Income of Rs 2094.30 Crore. Company reported net profit after tax of Rs 515.64 Crore in latest quarter.
Investment Rationale
NHPC’s revenue increased 12.2% YoY to INR15.1bn in Q4FY22, led by 9.3% YoY rise in generation. PAF for Q4FY22 was 76.7%, vs 74.33% YoY. Secondary energy sales and incentives decreased 15.2%/55.4% YoY, whereas deviation charges increased 59% YoY. EBITDA, however, decreased to INR4.2bn (-17.5% YoY) on account of increase in employee and other recurring expenses. Depreciation also increased 18.7% YoY, while interest expenses were down 38.1% due to debt repayment and a fall in interest rates. Other income increased 15% YoY due to high dividend income. NHPC availed MAT credit in Q4FY22 due to which it recorded rate regulated income of INR744mn and adjusted deferred tax for it. Consequently, Adjusted PAT for Q4FY22 came in at INR5.6bn (+15.7% YoY). Parbati IV and Subansiri are expected to be commissioned partially in FY24, while the company is also foraying aggressively into solar segments. While the brokerage has maintained estimates, it has revised SoTP target price upward to INR36 from INR33, by assigning a higher multiple to its CWIP number as both Subansiri and Parbati II projects are now near the completion stage. Hence, it maintains ADD rating.
Promoter/FII Holdings
Promoters held 70.95 per cent stake in the company as of 31-Mar-2022, while FIIs owned 5.7 per cent, DIIs 15.26 per cent.
NHPC Ltd. key Products/Revenue Segments include Power, Income from Finance Leases, Other Operating Revenue, Income from Project Development and Contract Revenue for the year ending 31-Mar-2021.
Financials
For the quarter ended 31-03-2022, the company reported a Consolidated Total Income of Rs 2026.62 Crore, down -14.62 % from last quarter Total Income of Rs 2373.72 Crore and down -3.23 % from last year same quarter Total Income of Rs 2094.30 Crore. Company reported net profit after tax of Rs 515.64 Crore in latest quarter.
Investment Rationale
NHPC’s revenue increased 12.2% YoY to INR15.1bn in Q4FY22, led by 9.3% YoY rise in generation. PAF for Q4FY22 was 76.7%, vs 74.33% YoY. Secondary energy sales and incentives decreased 15.2%/55.4% YoY, whereas deviation charges increased 59% YoY. EBITDA, however, decreased to INR4.2bn (-17.5% YoY) on account of increase in employee and other recurring expenses. Depreciation also increased 18.7% YoY, while interest expenses were down 38.1% due to debt repayment and a fall in interest rates. Other income increased 15% YoY due to high dividend income. NHPC availed MAT credit in Q4FY22 due to which it recorded rate regulated income of INR744mn and adjusted deferred tax for it. Consequently, Adjusted PAT for Q4FY22 came in at INR5.6bn (+15.7% YoY). Parbati IV and Subansiri are expected to be commissioned partially in FY24, while the company is also foraying aggressively into solar segments. While the brokerage has maintained estimates, it has revised SoTP target price upward to INR36 from INR33, by assigning a higher multiple to its CWIP number as both Subansiri and Parbati II projects are now near the completion stage. Hence, it maintains ADD rating.
Promoter/FII Holdings
Promoters held 70.95 per cent stake in the company as of 31-Mar-2022, while FIIs owned 5.7 per cent, DIIs 15.26 per cent.
(Disclaimer: Recommendations given in this section or any reports attached herein are authored by an external party. Views expressed are that of the respective authors/entities. These do not represent the views of Economic Times (ET). ET does not guarantee, vouch for, endorse any of its contents and hereby disclaims all warranties, express or implied, relating to the same. Please consult your financial adviser and seek independent advice.
now!Read More News on
(What's moving Sensex and Nifty Track latest market news, stock tips and expert advice on ETMarkets. Also, ETMarkets.com is now on Telegram. For fastest news alerts on financial markets, investment strategies and stocks alerts, subscribe to our Telegram feeds.)
...moreDownload The Economic Times News App to get Daily Market Updates & Live Business News.
Pick the best stocks for yourself
Powered by