Vedanta Power share price falls 4% after Rs 423 cr loss in maiden Q1 results; key details

Shares of Vedanta Power Ltd tanked over 4 per cent in Thursday's trade to take its losing streak to third straight session. The fresh decline came as the Vedanta's demerged entity reported a net loss of Rs 423 crore for the June quarter, its maiden quarter, weighed down by Rs 364 crore worth exceptional items.

Vedanta Power, which has plans to expand its capacity to 20,000 MW and foray into nuclear power, said its revenue for the quarter rose 31 per cent year-on-year (YoY) to Rs 2,607 crore, with power sales climbing 38 per cent YoY to 5,224 million units, propelled by enhanced generation across its key assets. That said, exceptional one-time loss for the quarter came in at Rs 487 crore against a loss of about Rs 45 crore in the year-ago quarter, dragging the bottom line.

The stock fell 4.3 per cent to hit a low of Rs 33.80 apiece on NSE.

Vedanta Power said it maintained healthy liquidity position with Rs 1,130 crore in cash equivalents as of June 30. All of its assets are covered with 85 per cent coal linkages ensuring stable cost, revenues, fuel security and insulate us from any geopolitical disturbances, the company said.

Vedanta Power is India's fifth-largest private sector, merchant thermal power producer with 4,180 MW capacity, operating four strategically geographically diversified located power plants: Talwandi Sabo Thermal Plant in Punjab, Meenakshi Energy Limited in Andhra Pradesh, Jharsuguda Independent Power Plant in Odisha, and Sakti Thermal Power Plant in Chhattisgarh.

Rajinder Singh Ahuja, Chief Executive Officer, Vedanta Power Limited, said: “Our maiden quarter as a standalone listed company marks an important milestone for Vedanta Power. Strong revenue and power sales, backed by operational excellence, fuel security, improved credit ratings, and sustainability initiatives, demonstrate the resilience of our business and future readiness. We are also pleased with the progress of our 600 MW Unit 2 at the Sakti plant, which remains on track for commissioning. As India's energy needs continue to expand, we remain committed to delivering reliable, efficient, and sustainable power while creating long-term value for all our stakeholders."