Tag Hydropower Projects

SJVN Ltd
SJVN Ltd Q3 Results: Net Profit Up 7%, Revenue Growth & Interim Dividend Declared

Business and Industry Overview: 

SJVN Limited is a Nava Ratna, Category-I, and Schedule ‘A’ Central Public Sector Enterprise (CPSE) under the Ministry of Power, Government of India, incorporated on May 24, 1988, as a joint venture between the Government of India and the Government of Himachal Pradesh. The company has a shareholder pattern of 64.46% from the Government of India, 25.51% from the Government of Himachal Pradesh, and 10.03% from the public, with a paid-up capital of Rs. 4,136.63 Crore and an authorized capital of Rs. 7,000 Crore. SJVN was conferred with Navratna status on August 30, 2024. Initially starting with the Nathpa Jhakri Hydro Power Station (1500 MW) in Himachal Pradesh, SJVN has since commissioned a total of 14 projects, amounting to 2467 MW of installed capacity. The company is currently implementing power projects across various states in India, including Himachal Pradesh, Uttarakhand, Bihar, Maharashtra, Uttar Pradesh, Punjab, Gujarat, Arunachal Pradesh, Rajasthan, Assam, Odisha, Mizoram, and Madhya Pradesh, as well as in Nepal. A significant milestone includes the commissioning of the 400 kV double circuit Indo-Nepal Cross Border Power Transmission corridor on February 19, 2016, along with ongoing work on a 217 km long transmission line from Arun-3 HEP to the Indo-Nepal border. 

Latest Stock News: 

SJVN Ltd, a hydropower public sector unit, reported a 7% increase in consolidated net profit, reaching Rs 148.75 crore for the December quarter. This rise is attributed to higher revenues, as the company posted a net profit of Rs 138.97 crore during the same period last year, according to a filing with the Bombay Stock Exchange (BSE).  

Total income for the quarter rose to Rs 760.76 crore, up from Rs 607.72 crore in the previous year.  

The board of directors has also approved an interim dividend of Rs 1.15 per equity share for the 2024-25 financial year. The record date for the interim dividend is February 21, 2025, and dividend payments will commence from March 6, 2025, onwards. 

Currently, the company’s shares are trading 2.60% lower at Rs 90.22, with a dividend yield of 1.99%. 

Segmental information:

1. Electricity Generation: 

Hydroelectric Power: SJVN’s core competency lies in hydroelectric power generation. The company operates significant projects, including the 1,500 MW Nathpa Jhakri Hydro Power Station and the 412 MW Rampur Hydro Power Station, both located in Himachal Pradesh. These facilities harness river water to produce renewable energy. citeturn0search12 

Wind Power: Expanding into wind energy, SJVN has commissioned projects like the 47.6 MW Khirvire Wind Power Project in Maharashtra and the 50 MW Sadla Wind Power Project in Gujarat. These installations utilize wind resources to generate electricity. citeturn0search0 

Solar Power: SJVN has ventured into solar energy with projects such as the 75 MW Parasan Solar Power Project in Uttar Pradesh and the 5.6 MW Charanka Solar Power Project in Gujarat. These solar installations contribute to the company’s renewable energy portfolio. citeturn0search12 

2. Consultancy Services: Leveraging its expertise in power generation, SJVN offers consultancy services encompassing project planning, feasibility studies, engineering, procurement, construction management, and operational support. These services cater to other entities in the power sector, facilitating the development of energy projects.  

3. Power Transmission: SJVN is involved in the transmission of electricity, ensuring efficient delivery from generation sites to distribution networks. This includes the construction, operation, and maintenance of transmission lines and substations, playing a crucial role in the power supply chain. citeturn0search1 

4. Power Trading:To optimize its energy portfolio, SJVN engages in power trading activities. This involves the buying and selling of electricity, allowing the company to respond to market dynamics, balance supply and demand, and enhance revenue generation. citeturn0search1 

5. Project Development and Execution: Beyond operating existing facilities, SJVN is actively involved in developing new power projects. This includes identifying potential sites, securing necessary approvals, and overseeing the construction and commissioning of new power plants across various energy sectors.  

Subsidiary Information:

SJVN Arun-3 Power Development Company Pvt. Ltd. (SAPDC) : A wholly owned subsidiary established in Nepal for the implementation of the 900 MW Arun-3 Project and its associated transmission system. 

SJVN Lower Arun Power Development Company Private Limited (SLPDC) : A fully owned subsidiary created for the development of the 669 MW Lower Arun Hydro Electric Project (HEP) in Nepal. 

 SJVN Thermal Private Limited (STPL) : A wholly owned subsidiary formed for the execution of the 1320 MW Buxar Thermal Power Project in Bihar. 

SJVN Green Energy Limited (SGEL) : A fully owned subsidiary established to focus on capacity additions in new and renewable energy sources. 

Joint Ventures  

Cross Border Power Transmission Company Limited (CPTC) : A joint venture among IEDCL, Power Grid, SJVN, and NEA with equity participation of 38%, 26%, 26%, and 10%, respectively. This venture aims to construct and maintain an 86 km long, 400 kV double circuit (D/C) transmission line from Sursund on the India-Nepal border to Muzaffarpur. 

Q3 Highlights:

  • SJVN Ltd Q3 results: Net profit rises by 7% to Rs 149 crore on higher revenue 
  • The board of directors has also approved an interim dividend of Rs 1.15 per equity share for 2024-25. 
  • SJVN Ltd Q3 results Net profit rises by 7 to Rs 149 crore on higher revenue 
  • The board of directors approved an interim dividend of Rs 1.15 per equity share for the 2024-25 financial year. 

Financial Summary:

Amount in ₹ Cr Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 543.00 671.00 2,938 2,579 
Expenses 175 214 665 737 
EBITDA 368 457 2,273.00 1,843.00 
OPM 68% 68% 77% 71% 
Other Income 49 91 310 380 
Net Profit 139.00 149.00 1,359 911 
NPM 25.60 22.21 46.26 35.32 
EPS 0.35 0.38 3.46 2.32 
NHPC Ltd
NHPC Ltd Q3 Results: Net Profit Falls 53% to ₹231 Cr, Dividend Declared

NHPC Ltd: Business and Industry Overview 

NHPC Ltd, formerly known as National Hydroelectric Power Corporation, is India’s leading hydropower company and a key player in the renewable energy sector. Established in 1975, NHPC is a Government of India enterprise under the Ministry of Power, responsible for planning, promoting, and developing hydroelectric power projects across the country. Over the years, the company has diversified into other renewable energy segments, including solar and wind power, aligning with India’s vision of achieving carbon neutrality and increasing the share of green energy in the overall power mix. NHPC is listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) and has a strong presence across various states, particularly in regions with abundant hydro resources such as the Himalayas and the Northeastern states. The Indian power sector is witnessing a major transition, with a growing emphasis on renewable energy sources to reduce dependence on fossil fuels. The government has set ambitious targets for renewable energy generation, including achieving 500 GW of non-fossil fuel capacity by 2030, of which a significant portion is expected to come from hydropower. Hydropower remains a crucial component of India’s energy mix due to its ability to provide baseload power, grid stability, and energy storage through pumped storage plants. However, the sector faces challenges such as lengthy environmental clearances, displacement issues, and geological risks. Despite these challenges, NHPC continues to expand its portfolio, driven by policy support, favourable tariffs, and growing demand for sustainable energy solutions. 

Latest Stock News 

NHPC has declared an interim dividend of 14% on each stock with a face value of ₹10, translating into a payout of ₹1.40 per share. The company has also set February 13 as the record date for the dividend payment, as per an exchange filing. The announcement was made after market hours, with NHPC’s shares closing at ₹77.43 on the BSE, down by ₹0.22 or 0.28%. In addition to its financial performance, NHPC has signed a Memorandum of Understanding (MoU) with the Bihar government to invest ₹5,500 crore in solar energy and green hydrogen initiatives. The company plans to develop a 1,000 MW solar power project along with a green hydrogen mobility pilot project in Bihar, as announced during the Bihar Business Connect 2024 summit. As one of India’s leading renewable energy producers, NHPC currently operates 7 GW of hydropower capacity, with an additional 9.3 GW under construction. In Bihar, NHPC intends to establish a small solar power plant dedicated to producing green hydrogen, which will be used to fuel passenger buses. Green hydrogen, a sustainable energy source with zero carbon emissions, is generated through electrolysis powered by renewable energy. NHPC will finance hydrogen-powered buses and transfer them to the state government, furthering its commitment to promoting clean energy and sustainability in the region. 

Business Segments 

  • Hydropower Generation: Hydropower generation is NHPC’s core business, accounting for the majority of its revenue. The company currently operates an installed capacity of over 7,097 MW across multiple states, with projects ranging from run-of-the-river schemes to large reservoir-based hydro plants. NHPC plays a critical role in stabilizing the national grid by providing flexible power supply, which complements the intermittent nature of solar and wind energy. The company’s hydropower plants not only generate electricity but also contribute to flood control, irrigation, and water conservation 
  • Renewable Energy: The Company has commissioned several solar power projects across India and is actively participating in government-led solar tenders to expand its capacity. NHPC has also entered into joint ventures with state governments and private players to develop large-scale solar parks. In 2024, NHPC secured multiple solar power projects under the Renewable Energy Implementation Scheme, further solidifying its presence in the non-hydro renewable segment. 
  • Power Trading & Consultancy Services: NHPC is actively involved in power trading, supplying electricity generated from its projects to various state electricity boards and distribution companies through long-term power purchase agreements (PPAs). The company benefits from favourable tariff structures and a cost-plus model, which ensures stable cash flows. 
  • Pumped Storage & Energy Storage Solutions: NHPC is developing pumped storage projects that function as large-scale batteries. These plants store excess energy by pumping water to higher altitudes during periods of low demand and release it to generate electricity when demand peaks. The company has identified multiple sites across India for pumped storage development, positioning itself as a key player in the emerging energy storage market. 

Subsidiary Information 

  • Loktak Downstream Hydroelectric Corporation Limited: Loktak Downstream Hydroelectric Corporation Limited is a subsidiary of NHPC responsible for developing the 66 MW Loktak Downstream Hydroelectric Project in Manipur. This project aims to utilize the water released from the existing Loktak Power Station to generate additional electricity, enhancing energy availability in the Northeastern region. 
  • NHDC Limited: NHDC Limited is a joint venture between NHPC (51% stake) and the Government of Madhya Pradesh (49%), focusing on hydropower development in Madhya Pradesh. The company operates the Indira Sagar Hydroelectric Project (1,000 MW) and the Omkareshwar Hydroelectric Project (520 MW), which are vital for power supply in central India. NHDC plays a crucial role in supporting regional energy security and grid stability. 
  • Bundelkhand Saur Urja Limited: Bundelkhand Saur Urja Limited is a special-purpose vehicle (SPV) set up by NHPC and the Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) to develop solar energy projects in Uttar Pradesh. BSUL focuses on setting up large-scale solar parks in the Bundelkhand region to enhance solar power generation capacity and support India’s renewable energy transition. 
  • NHPC Renewable Energy Limited: NHPC Renewable Energy Limited is a wholly-owned subsidiary focused on expanding NHPC’s footprint in the renewable energy sector. The subsidiary is actively developing solar and wind power projects across India, with a strong emphasis on hybrid energy solutions. NREL plays a key role in NHPC’s long-term strategy to diversify beyond hydropower and contribute to India’s renewable energy targets. 
  • Tata Power Trading Company Ltd. (TPTCL): This subsidiary is involved in power trading and energy management solutions. TPTCL facilitates the sale and purchase of power across different regions, optimizing supply-demand balance and ensuring efficient utilization of generation capacity. It plays a crucial role in providing open access solutions to industries and commercial enterprises. 

Q3 FY25 Earnings 

  • Revenue of ₹2287 crore in Q3 FY25 up by 11.3% YoY from ₹2056 crore in Q3 FY24.  
  • EBITDA of ₹1021 crore in this quarter at a margin of 45% compared to 37% in Q3 FY24. 
  • Profit of ₹330 crore in this quarter compared to a ₹623 crore profit in Q3 FY24. 

Financial Summary 

Amount in ₹ Cr Q3 FY24 Q3 FY25 FY23 FY24 
Revenue 2056 2287 10607 9632 
Expenses 1303 1265 4423 4825 
EBITDA 752 1021 6184 4807 
OPM 37% 45% 58% 50% 
Other Income 587 365 743 2029 
Net Profit 623 330 4261 4028 
NPM 30.3% 14.4% 40.2% 41.9% 
EPS 0.48 0.23 3.9 3.6 
BHEL Limited: India's Engineering Giant
BHEL Limited: India’s Engineering Giant and Its Latest Achievements

BHEL Limited: Overview 

Bharat Heavy Electricals Limited (BHEL) is one of India’s largest engineering and manufacturing companies in the energy and infrastructure sectors. Established in 1964, BHEL is a central public sector enterprise under the Ministry of Heavy Industries. It plays a pivotal role in India’s industrial and economic development, contributing to power generation, transmission, transportation, and renewable energy. HEL specializes in designing, engineering, manufacturing, and servicing a wide range of products and systems for power plants, industrial equipment, and transportation. The company has a vast product portfolio, including boilers, turbines, generators, and transmission systems, alongside providing services such as project management and construction. BHEL has done projects in over 80 countries, shows the strong footprint of BHEL. 

Latest Stock News (13 Jan 2025) 

Bharat Heavy Electricals Limited (BHEL) has achieved yet another milestone in Bhutan with the successful commissioning of two units of the 6×170 MW Punatsangchhu-II Hydroelectric Project (PHEP-II). Executed as part of a bilateral agreement between the Government of India and the Royal Government of Bhutan, PHEP-II is a Greenfield hydro project located in the Wangdue district of Western Bhutan. Bharat Heavy Electricals Limited (BHEL) and Oil & Natural Gas Corporation Ltd. (ONGC) have signed a MoU for exploring joint projects and collaboration in the area of New and Renewable Energy business. This MoU will help in contributing towards the country’s National Green Hydrogen Mission, as well as leveraging the combined strengths of both organisations for collaborating in emerging areas within the clean energy ecosystem. 

Shareholding Pattern as on September 2024 

Key Stats 

  • Market Capitalisation: ₹67604 Crore 
  • P/E: 152 
  • ROCE: 3.4% 
  • ROE: 1.1% 
  • Dividend Yield: 0.12% 

Peer Comparison 

Amt in ₹ Cr MCap Sales PAT ROCE Asset Turn. EV/EBITDA D/E P/E 
BHEL Ltd 67604 25833 444 3.37% 0.41 45.4 0.38 152 
Siemens 208588 22239 2716 25.6% 0.93 49.5 0.02 76.8 
ABB Ltd 130267 11580 1688 30.7% 1.03 52.1 0.01 77.5 
Hitachi Energy 53777 5850 199 17.8% 1.21 130.6 0.25 270 
Premier Energies 59630 3143 231 25.2% 1.11 96.9 0.55 214.9 

Financial Trends 

Amount in ₹ Cr 2020 2021 2022 2023 2024 
Revenue 21463 17309 21211 23365 23893 
Expenses 21596 20357 20383 22321 23182 
EBITDA -133 -3049 828 1044 711 
OPM -1% -18% 4% 4% 3% 
Other Income 590 393 405 544 608 
Net Profit -1468 -2700 445 654 282 
NPM -6.84% -16% 2% 3% 1% 
EPS -4.21 -7.75 1.28 1.88 0.81 

Stock Price Analysis 

In terms of performance, Bharat Heavy Electricals has shown a return of -5.53% in one day, -23.88% over the past month, and -28.39% in the last three months. Over the past 52 weeks, the shares have seen a low of ₹195.6 and a high of ₹335.4. The stock has been falling for past 6 months; it is because of the weak quarter. The volumes have also reduced and the stock might fall more as the overall market is negative.