State-owned utility Power Grid Corporation of India’s first-quarter profit fell more than 5% on Monday, hurt by weaker demand in its core transmission business.<\/p>\n
The company’s consolidated profit was 35.97 billion rupees ($437.42 million) in the quarter ended June 30, compared with 38.01 billion rupees a year earlier.<\/p>\n
A surge in summer power demand, which had strained India’s electricity transmission system, eased in the April-June period owing to a cooler pre-monsoon.<\/p>\n
Power Grid’s consolidated revenue from operations in the quarter rose 1.3% to 110.48 billion rupees, with its transmission business growing 1.2%.<\/p>\n
“Demand growth was tepid due to higher base and inconducive weather conditions,” said Rupesh Sankhe, research analyst at brokerage Elara Capital.<\/p>\n
Consolidated total expenses for Power Grid, which transmits nearly half of the power generated in the country, slipped more than 3% to 66.89 billion rupees in the quarter.<\/p>\n
Its net profit margin fell to 33% from 35% a year earlier.<\/p>\n
The spotlight remains on the management’s commentary on capital expenditure, updates on Africa and of high-voltage direct current transmission projects, said Rohit Natarajan, research analyst at Antique Stock Broking.<\/p>\n
Power Grid’s board of directors also recommended issue of one bonus shares for every three shares held.<\/p>\n
Shares of the company closed 3.04% higher ahead of the results announcement.<\/p>\n","protected":false},"excerpt":{"rendered":"
State-owned utility Power Grid Corporation of India’s first-quarter profit fell more than 5% on Monday, hurt by weaker demand in its core transmission business. The company’s consolidated profit was 35.97 billion rupees ($437.42 million) in the quarter ended June 30, compared with 38.01 billion rupees a year earlier. A surge in summer power demand, which had strained India’s electricity transmission system, eased in the April-June period owing to a cooler pre-monsoon. Power Grid’s consolidated revenue from operations in the quarter rose 1.3% to 110.48 billion rupees, with its transmission business growing 1.2%. “Demand growth was tepid due to higher base […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[132],"tags":[],"class_list":["post-595068","post","type-post","status-publish","format-standard","hentry","category-power"],"acf":[],"_links":{"self":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/595068","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/comments?post=595068"}],"version-history":[{"count":0,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/posts\/595068\/revisions"}],"wp:attachment":[{"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/media?parent=595068"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/categories?post=595068"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/infralive.com\/web\/wp-json\/wp\/v2\/tags?post=595068"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}