DSIJ Mindshare

Power Finance Net jacks up by 8.8 %

Public Sector financing company Power Finance Corporation (PFC) continued its fabulous performance as its net profit spurted 8.8% to reach 1576 crore in Q1FY16 as against Rs 1448 earned during same period last year due to significant increase in its spread. 

Interestingly during this period, the company’s total revenue spurted by around 14 % and reached Rs 6759 crore as against Rs 5923 crore earned during quarter ending in June last year. At the same time other income remained to be the dragger for the company as it declined from Rs.5.51 crore to just Rs 3.77 crore. 

During this period company’s interest outgo reached Rs. 4284 crore as against Rs. 3866 crore spent during Q1FY15, indicating a significant increase in activities and demand of finance on the ground by power sector companies. During the period company has also opted for amortising of foreign exchange fluctuations on the long term foreign currency monetary items over balance period. As of June 2015 balance left to be amortized is Rs 455 crore. Due to increase in profit earning per share of the company rose up to Rs. 11.94 as against Rs10.97 per share as on June 2015, giving good benefit to the company’s shareholders.

Due to its robust performance PFC was able to sell 5% of its paid up shareholding through offer for sale (OFS) in July 2015. After this sale now the government holds 67.80% of the shareholding of the company. Going forward it seems that company’s revenue from interest  income would also improve as off late interest rates are coming down.  

 

DSIJ MINDSHARE

Mkt Commentary28-Mar, 2024

Multibaggers28-Mar, 2024

Interviews28-Mar, 2024

Multibaggers28-Mar, 2024

Multibaggers28-Mar, 2024

DALAL STREET INVESTMENT JOURNAL - DEMOCRATIZING WEALTH CREATION

Principal Officer: Mr. Shashikant Singh,
Email: principalofficer@dsij.in
Tel: (+91)-20-66663800

Compliance Officer: Mr. Rajesh Padode
Email: complianceofficer@dsij.in
Tel: (+91)-20-66663800

Grievance Officer: Mr. Rajesh Padode
Email: service@dsij.in
Tel: (+91)-20-66663800

Corresponding SEBI regional/local office address- SEBI Bhavan BKC, Plot No.C4-A, 'G' Block, Bandra-Kurla Complex, Bandra (East), Mumbai - 400051, Maharashtra.
Tel: +91-22-26449000 / 40459000 | Fax : +91-22-26449019-22 / 40459019-22 | E-mail : sebi@sebi.gov.in | Toll Free Investor Helpline: 1800 22 7575 | SEBI SCORES | SMARTODR