Government of India-Backed Power Trading Company Reports a 308 Per Cent Jump in Net Profit in Q4FY25
The stock is up by 48.33 per cent from its 52-week low of Rs 127.75 per share and has given multibagger returns of 460 per cent in 5 years.
PTC India Ltd, a pioneering initiative by the Government of India, has been instrumental in establishing India's power market and has maintained its leadership in power trading since its inception. Beyond its domestic influence, PTC is also mandated by the Indian government to facilitate electricity trade with neighbouring countries like Bhutan, Nepal, and Bangladesh. Its trading activities encompass both long-term power agreements from large-scale projects, including renewables, and short-term trading solutions to address the dynamic supply and demand imbalances across different regions of the country.
Demonstrating a commitment to a vibrant power market, PTC has introduced various products in the electricity trading sector to cater to the diverse needs of its clientele. The company is recognised for providing value-added services, acting as a reliable and trusted partner in the power sector. Notably, PTC India exemplifies a successful public-private partnership, with key Public Sector Undertakings (PSUs) from the Ministry of Power promoting its operations and a broad base of ownership interests. Its Board of Directors further strengthens its governance with a diverse composition, including distinguished independent directors.
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According to the Quarterly Results, the net sales decreased by 14 per cent to Rs 3,006.27 crore and net profit increased by 308 per cent to Rs 351.51 crore in Q4FY25 compared to Q4FY24. In its annual results, the net sales decreased by 3 per cent to Rs 16,240.66 crore and net profit increased by 89 per cent to Rs 900.25 crore in FY25 compared to FY24.
The company has a market cap of over Rs 5,000 and has been maintaining a healthy dividend payout of 46.2 per cent. The stock is trading at 0.96 times its book value and is providing a good dividend yield of 4.22 per cent. The stock is up by 48.33 per cent from its 52-week low of Rs 127.75 per share and has given multibagger returns of 460 per cent in 5 years.
Disclaimer: The article is for informational purposes only and not investment advice.