IEX Q3 Result: Net profit up 19 percent at Rs 92 crore

IEX

Riding on higher revenues, Indian Energy Exchange (IEX) on January 25 reported an 18.9 percent year-on-year increase in consolidated net profit, at Rs 91.8 crore, for the December quarter of the current financial year. IEX’s net profit in the year-ago period stood at Rs 77.2 crore.

The power trading platform’s total income increased 20 percent to Rs 141.21 crore from Rs 117.34 crore in the year-ago period, according to an exchange filing. Revenue from operations grew 15 percent to Rs 115.3 crore from Rs 100.27 crore in Q3 FY23.

The company also announced an interim dividend of Rs 1 per equity share, having a face value of Rs 1 each for the financial year 2023-24. The dividend payout is scheduled for February 2, 2024.

The company's EBITDA (earnings before interest, taxes, depreciation, and amortisation) rose to Rs 124.7 crore from Rs 100.35 crore in the year-ago quarter, an increase of 24 percent.

During the quarter, IEX recorded a trading volume of 28.3 billion units (BU), an increase from 24.2 BU in Q3 FY23, marking a growth of 16.8 percent YoY. This volume includes 25.9 BU from the conventional power market segment and 0.4 BU from the green market segment. Besides, IEX also traded 20.3 lakh certificates during the quarter.

"Improved fuel supply scenario resulted in increased sell liquidity since November, 2023. Sell bids in collective auctions increased by 25 percent YoY in November, 2023 and 18 percent YoY in December 2023, which led to an easing of prices on the exchange," the IEX said in a statement on January 25.

During Q3 FY24, the average market clearing price in the day ahead market (DAM) segment was Rs. 5.00 per unit, compared to Rs 5.80/unit in Q2 FY24. Increased electricity consumption coupled with easing supply side constraints led to an increase in the volumes of electricity traded on the exchange, it said.

On the power sector front, October witnessed a high peak power demand of 221 GW. Electricity consumption during Q3 FY24 increased by 10 percent YoY, reaching approximately 380 BUs. On the fuel side, during the quarter, India's coal production increased by a robust 13.1 percent YoY to reach 256 million tonnes and coal dispatch to the power sector increased nearly 11.7 percent YoY to 203.5 million tonnes, IEX said.