NTPC’s falling cost under-recoveries, capacity additions brighten outlook
MUMBAI: NTPC Ltd has reported better-than-expected performance for the March quarter. Revenue grew 28% reflecting better realizations.
Reported profit plunged 71% from the year ago quarter as the company incurred additional expense towards settling tax disputes. Adjusted for this, net profit would have fallen just 0.5%, point out analysts.
“NTPC did a one-time settlement of Rs2,700 crore on past taxation cases, of which Rs1,800 crore is recoverable in tariffs and Rs900 crore is not,” analysts at Jefferies India Pvt Ltd said in a note.
