Shares of Indian Renewable Energy Development Agency (IREDA) surged 10 percent and were locked in the upper circuit after the company reported strong Q3 results. In Q3FY24, IREDA reported a 67.2 percent on-year growth in net profit at Rs 335.5 crore, thanks to a robust loan book growth and reduction in bad debt.
Shares of IREDA was locked in upper circuit at Rs 148.65. The non-banking financial institution under the Ministry of New and Renewable Energy saw its revenue surge 44.2 percent on-year to Rs 1252.9 crore, while EBITDA was up 51 percent to Rs 1,154 crore.
The company’s loan book grew 33.5 percent to Rs 50,579.67 crore. While its net NPA went down to 1.52 percent from 2.03 percent last year, its gross NPA improved to 2.9 percent from 4.24 percent.
IREDA recently announced a partnership with Indian Overseas bank to co-finance renewable energy projects in India.
After its public issue, IREDA was listed at Rs 50 on the NSE at a premium of 56.25 percent over the IPO price of Rs 32.
Nuvama Alternative and Quantitative Research said IREDA is among the favourites to make the MSCI Small Cap Index. The cut-off period for MSCI’s decision will be between January 18 and 31. MSCI will make the official decision on February 13 and the changes will be made on February 29.
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