ICICIdirect has come out with its second quarter (July-September) earnings estimates for the power sector. The brokerage house expects NTPC to report a 1.7 percent growth quarter-on-quarter (degrowth of 12.1 percent year-on-year) in net profit at Rs 2122.3 crore.
Revenues are expected to decrease by 8.6 percent Q-o-Q (up 5.4 percent Y-o-Y) to Rs 17030.8 crore, according to ICICIdirect.
Earnings before interest, tax, depreciation and amortisation (EBITDA) are likely to fall by 2.2 percent Q-o-Q (down 6.3 percent Y-o-Y) to Rs 3738.9 crore.
ICICIdirect on NTPC:
We expect generation to remain flat Y-o-Y to 54.6 BUs in Q2FY15E as PLF was impacted due to poor coal supply, however tariff is expected to increase 5 percent Y-o-Y to Rs 3.4/Kwh. Consequently, we expect revenues to increase 5 percent Y-o-Y while adjusted PAT is expected to decline 12 percent to Rs 2,122 crore due to changes in tariff norm.
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