On a one-time tax benefit, Adani Power's net increases by almost 800% to Rs 6,594 crore, and its shares climb

 On a one-time tax benefit, Adani Power's net increases by almost 800% to Rs 6,594 crore, and its shares climb

For the quarter, the company also declared other income of Rs 1,945 crore, which comprises one-time previous period items of Rs 1,656 crore in the manner of late payment premium and carrying cost.

Consolidated net profit for the quarter concluded September 20, 2023, as Rs 6,594 crore for Adani Power, up 848 percent against Rs 696 crore, the company said on November 2. This includes a tax credit for a one-time gain of Rs 1,371 crore.

Operations brought in Rs 12,990.58 crore, an increase of 84.42 percent over the same quarter previous year's income of Rs 7,043.77 crore. The business said that because of the shortage of local coal, it includes one-time previous period charges of Rs 1,125 crore.

"increased sales volumes, which included the Godda power plant's contribution, and increased merchant sales were the causes of this income gain. Lower import coal prices contributed to greater power offtake under the Mundra and Udupi facilities' import coal-based Power Purchase Agreements (PPAs). Import duties under these PPAs follow global coal prices and are set in accordance with authorized regulatory procedures, according to Adani Power.

For the quarter, the company also declared other income of Rs 1,945 crore, which comprises one-time previous period items of Rs 1,656 crore in the form of late payment premium and carrying cost.

After the news, the company's share price on the BSE increased by about 7% to Rs 390.40.

APL and its subsidiaries obtained an average Plant Load Factor (PLF) of 58.3 percent as well power sales volume of 18.1 billion units (BU) in Q2FY24, according to Adani Power. This compares to PLF of 39.2 percent and power sales volume of 11 BU in Q2 FY 2022–2023 due to higher operational capability and improved power demand.

Continuing EBITDA was 202% higher in Q2FY24 at 

 crore, down from Rs 1,438 crore in Q2FY23, mostly due to the Godda power plant's inclusion, higher merchant rates, and cheaper fuel costs.