What Led RattanIndia Power to Report Rs 13.11 Crore Loss in Q1?
Click to start listening
Synopsis
RattanIndia Power's recent financial report reveals a startling shift from profit to loss in Q1 FY26. With a net loss of Rs 13.11 crore, the company faces challenges in an evolving market. Discover the details of their performance and future outlook in this comprehensive analysis.
Key Takeaways
- Net loss of Rs 13.11 crore in Q1 FY26.
- Previous profit of Rs 93 crore in Q1 FY25.
- Revenue fell by 11.8% YoY to Rs 821.96 crore.
- EBITDA recorded at Rs 196 crore.
- 1,350 MW thermal power plant in Maharashtra.
Mumbai, July 23 (NationPress) The electric power distribution company based in New Delhi, RattanIndia Power, announced a consolidated net loss of Rs 13.11 crore for the quarter that concluded on June 30 (Q1 FY26). This represents a significant downturn from the net profit of Rs 93 crore recorded during the same quarter last year (Q1 FY25).
In its filing with the stock exchange, the company also noted a profit of Rs 125.94 crore in the preceding quarter (Q4 FY25).
The operating revenue for the first quarter of FY26 witnessed an 11.8 percent decline year-on-year (YoY), totaling Rs 821.96 crore, down from Rs 931.83 crore in Q1 FY25.
Revenue also fell sequentially from Rs 936.25 crore reported in the March quarter.
RattanIndia Power reported an EBITDA of Rs 196 crore in Q1. The company operates a 1,350 MW thermal power plant located in Amravati, Maharashtra, consisting of five units of 270 MW each.
This facility has the potential to generate 11,826 million units (MUs) annually. Out of this total capacity, 1,200 MW is secured under a Power Purchase Agreement (PPA) with the Maharashtra State Electricity Distribution Company Limited (MSEDCL), while an additional 28 MW is traded on the open market.
In the quarter, the company successfully sold 12.09 MUs on the power exchange, resulting in revenue of Rs 9.36 crore from these open market sales alongside the earnings from the PPA.
Additionally, the board of directors sanctioned the appointment of Ravi Kumar Pakalapati as an Additional Director and Whole-Time Director, effective immediately, as per its filing.
After the announcement of quarterly losses, RattanIndia Power's shares faced considerable selling pressure.
The stock, trading below Rs 20, saw a decrease of over 5 percent, closing the trading session at Rs 14.22, which is down by Rs 0.87 or 5.77 percent on the National Stock Exchange (NSE). It even hit an intra-day low of Rs 14.10.
Point of View
It is crucial to take an unbiased approach in evaluating RattanIndia Power's recent financial performance. The company's drastic shift from profit to loss raises concerns about operational efficiency and market dynamics. While the losses are alarming, they also highlight a critical period for restructuring and strategic realignment within the organization, which could pave the way for recovery in the future.
NationPress
23/07/2025
Frequently Asked Questions
What was RattanIndia Power's net loss for Q1 FY26?
RattanIndia Power reported a consolidated net loss of Rs 13.11 crore for the quarter ended June 30, 2023.
How did the Q1 FY26 loss compare to the previous year?
The loss of Rs 13.11 crore in Q1 FY26 is a significant turnaround from a net profit of Rs 93 crore in Q1 FY25.
What is RattanIndia Power's EBITDA for Q1 FY26?
The company recorded an EBITDA of Rs 196 crore for the first quarter of FY26.
What is the capacity of RattanIndia Power's thermal plant?
The thermal power plant operated by RattanIndia Power has a capacity of 1,350 MW, comprising five units of 270 MW each.
What impact did the loss announcement have on RattanIndia Power's shares?
Following the announcement of quarterly losses, RattanIndia Power's shares experienced heavy selling pressure, dropping over 5 percent.
