Tata Power Reports Record Q1FY25 Earnings, Highlights Solar Expansion and Strategic Initiatives in Clean Energy Sector

Tata Power, one of India’s largest integrated power companies, has announced its financial results for the first quarter of fiscal year 2025 (Q1FY25). The company achieved a record Profit After Tax (PAT) of ₹1,189 crore, marking a 31% year-over-year increase and the 19th consecutive quarter of PAT growth. This strong performance is attributed to robust operational execution across its core business segments: Generation, Transmission & Distribution, and Renewables.

Financial Highlights:

• Revenue: ₹16,810 crore, up 12% from ₹15,003 crore in Q1FY24.
• EBITDA: ₹3,350 crore, an 11% increase from ₹3,005 crore in the same period last year.
• PAT: ₹1,189 crore, reflecting a significant 31% growth from ₹906 crore.

The company’s strong performance was driven by its core business areas, which contributed 84% of the PAT in Q1FY25, compared to 72% in the previous fiscal year. The growth is supported by a solid order pipeline and ongoing operational excellence.

Operational Updates:

• Tata Power’s installed clean and green capacity reached 6.1 GW, accounting for 41% of its total capacity, with an additional 5.3 GW under execution. The company’s combined order pipeline for utility-scale EPC and solar rooftop projects is approximately ₹15,500 crore.
• Tata Power is well-positioned to capture around 20% of the residential rooftop market, supported by its new solar manufacturing facility and a network of over 500 channel partners across India.
• The company is advancing its large-scale Renewable Time-Capacity (RTC) projects, including the development of the 600 MW Khorlochhu hydro project in Bhutan and upcoming 2800 MW pumped hydro storage plants in Maharashtra.

In Odisha, Tata Power’s distribution business has successfully reduced Aggregate Technical & Commercial (AT&C) losses, with the four Odisha discoms reporting a 20% increase in EBITDA for Q1FY25. In Delhi, the Delhi Electricity Regulatory Commission has recognized regulatory assets worth ₹5,788 crore for Tata Power Delhi Distribution Limited.

Strategic Initiatives:

• Tata Power Renewable Energy Limited (TPREL) and NHPC Renewable Energy Limited have signed an MoU for a significant solar initiative, targeting government buildings for rooftop solar installations.
• TPREL has entered into a Power Purchase Agreement (PPA) with SJVN Limited for a 460 MW Firm and Dispatchable Renewable Energy (FDRE) project and secured a Letter of Award from NTPC for a 200 MW FDRE project.
• TP Saurya Limited commissioned a 200 MW solar project in Bikaner, Rajasthan.
• Tata Power Solar Systems Limited has partnered with Indian Bank to promote affordable residential solar rooftop adoption.
• TP Renewable Microgrid has collaborated with the National Dairy Development Board to solarize dairy operations.
• An MoU has been signed with UPNEDA to develop rooftop solar projects in Uttar Pradesh as part of the state’s initiative to install 25 lakh rooftop solar systems.
• Tata Power has finalized an agreement with Druk Green Power Company to develop the 600 MW Khorlochhu Hydro Project in Bhutan, with an estimated project cost of ₹6,900 crore.

Dr. Praveer Sinha, CEO and Managing Director of Tata Power, commented, “We have begun FY25 on a strong note, achieving our highest PAT ever and continuing our streak of consecutive growth. Our operational efficiency, execution excellence, and strategic initiatives across renewable and conventional energy sectors are driving our success. With significant investments planned and a commitment to leading in clean energy technologies, we are well-positioned for continued growth.”

The company’s planned capital expenditure (capex) for this fiscal year is ₹20,000 crore, reflecting its dedication to advancing clean energy solutions, including pumped hydro projects, hydropower development, and potential Small Modular Nuclear Reactors.