IEX: Electricity volume continues to rise; stock price near 52-week high
The shares of Indian Energy Exchange (IEX) are trading at their pre-COVID levels. The demand revival in power can be considered as the key reason for its strong financial performance.
The company threw light on India’s power consumption and its participation in green energy developments. It reported that the country’s electricity demand returned to 90 per cent of pre-COVID levels after the lockdown was eased as the energy consumption declined by 16 per cent YoY.
The share of green energy i.e. the renewable energy in the total energy mix of India increased by 10 per cent YoY and reached 88 GW at the end of FY20. This also resulted in a 23 per cent reduction in the thermal generation during the same period.
During the recently concluded Q1FY21, the company reported 14.5 per cent growth in electricity volumes at 14,878 MU in comparison to the same quarter last year. Interestingly, in comparison with its quarterly volumes, there is an increase of 7.5 per cent for the first quarter.
The share price of the company is currently trading at Rs 179 on BSE, which is just 5 per cent lower from its all-time high. On Friday though, it is trading down by 0.5 per cent.