Loading...

STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED 30 SEPTEMBER 2020

(RupeeCrore)

 

Sl. No. Particulars Quarter
ended 30.09.2020
(Unaudited)		 Quarter
ended 30.06.2020
(Unaudited)		 Quarter
ended 30.09.2019
(Unaudited)		 Six months
ended 30.09.2020
(Unaudited)		 Six months
ended 30.09.2019
(Unaudited)		 Year
ended 31.03.2020
(Audited)
1 2 3 4 5 6 7 8
1 Income            
  (a) Revenue from operations 24677.14 23453.46 22764.57 48130.60 46957.16 97700.39
  (b) Other income 1346.19 567.54 893.66 1913.73 1219.88 2778.02
  Total income (a+b) 26023.33 24021.00 23658.23 50044.33 48177.04 100478.41
2 Expenses            
  (a)Fuel cost 13038.53 11508.18 12912.21 24546.71 26786.54 54241.82
  (b) Electricity purchased for trading 689.90 860.74 568.85 1550.64 1353.33 2776.44
  (c) Employee benefits expense 1346.46 1287.77 1137.15 2634.23 2332.96 4925.60
  (d) Finance costs 1772.81 2082.52 1618.99 3855.33 3184.25 6781.97
  (e)Depreciation and amortisation expense 2529.42 2529.74 2123.14 5059.16 4174.09 8622.85
  (f)Other expenses 2418.85 2051.69 1800.17 4470.54 3685.76 8663.81
  Total expenses (a+b+c+d+e+f) 21795.97 20320.64 20160.51 42116.61 41516.93 86012.49
3 Profit before exceptional items, tax and regulatory deferral account balances (1-2) 4227.36 3700.36 3497.72 7927.72 6660.11 14465.92
4 Exceptional items-(income) / expense (Refer Note 8) 560.43 802.57 - 1363.00 - -
5 Profit before tax and regulatory deferral account balances (3-4) 3666.93 2897.79 3497.72 6564.72 6660.11 14465.92
6 Tax expense:            
  (a) Current tax 678.03 522.72 498.21 1200.75 1194.61 5153.46
  (b) Deferred tax (169.02) 707.45 604.82 538.43 978.63 4028.49
  Total tax expense (a+b) 509.01 1230.17 1103.03 1739.18 2173.24 9181.95
7 Profit before regulatory deferral account balances (5-6) 3157.92 1667.62 2394.69 4825.54 4486.87 5283.97
8 Net movement in regulatory deferral account balances (net of tax) 346.88 802.54 867.75 1149.42 1378.36 4828.84
9 Profit for the period (7+8) 3504.80 2470.16 3262.44 5974.96 5865.23 10112.81
10 Other comprehensive income            
  Items that will not be reclassified to profit or loss            
  (a) Net acturial gains/(losses) on defined benefit plans (59.16) (59.20) (64.71) (118.36) (128.71) (346.04)
  (b) Net gains/(losses) on fair value of equity instruments (1.14) 11.70 (13.08) 10.56 (20.58) (41.64)
  Income tax on items that will not be reclassified to profit or loss            
  (a) Net acturial gains/(losses) on defined benefit plans 10.34 10.34 8.70 20.68 22.49 60.46
  Other comprehensive income for the period (net of tax) (49.96) (37.16) (69.09) (87.12) (126.80)

(327.22)
11 Total comprehensive income for the period (9+10) 3454.84 2433.00 3193.35 5887.84 5738.43 9785.59
12 Paid-up equity share capital (Face value of shareRupee10/- each) 9894.56 9894.56 9894.56 9894.56 9894.56 9894.56
13 Paid-up debt capital$       158685.95 137640.75 152693.62
14 Other equity excluding revaluation reserve as per balance sheet       106917.17 100294.97 103674.88
15 Net worth*       116246.75 109529.71 112980.96
16 Debenture redemption reserve       6953.93 7469.93 7011.43
17 Earnings per share (ofRupee10/- each) - (not annualised) (including net movement in regulatory deferral account balances): Basic and Diluted (inRupee) 3.54 2.50 3.30 6.04 5.93 10.22
18 Earnings per share (ofRupee10/- each) - (not annualised) (excluding net movement in regulatory deferral account balances): Basic and Diluted (inRupee) 3.19 1.69 2.42 4.88 4.53 5.34
19 Debt equity ratio       1.37 1.26 1.35
20 Debt service coverage ratio (DSCR)       1.80 2.06 2.07
21 Interest service coverage ratio (ISCR)       4.37 4.43 4.45

$ Comprises long term debts
* Excluding Fly ash utilization reserve
See accompanying notes to the standalone financial results.

STANDALONE STATEMENT OF ASSETS AND LIABILITIES

(RupeeCrore)

 

Sl.No. Particulars As at
30.09.2020 (Unaudited)		 As at
31.03.2020 (Audited)
A ASSETS    
1 Non-current assets    
  (a) Property, plant and equipment 155779.42 156273.02
  (b) Capital work-in-progress 75135.60 73066.76
  (c) Intangible assets 525.61 538.28
  (d) Intangible assets under development 461.08 292.52
  (e) Financial assets    
  (i) Investments in subsidiaries and joint venture companies 26851.96 26350.61
  (ii) Other investments 60.84 50.28
  (iii) Loans 711.77 600.26
  (iv) Other financial assets 1195.05 1425.16
  (f) Other non-current assets 11475.36 11122.62
  Sub-total - Non-current assets 272196.69 269719.51
2 Current assets    
  (a) Inventories 9275.17 10731.86
  (b) Financial assets    
  (i) Trade receivables 26788.92 15668.11
  (ii) Cash and cash equivalents 19.76 20.37
  (iii) Bank balances other than cash and cash equivalents 6328.72 2188.74
  (iv) Loans 289.58 308.56
  (v) Other financial assets 12298.74 11529.13
  (c) Other current assets 8009.82 8378.41
  Sub-total - Current assets 63010.71 48825.18
3 Regulatory deferral account debit balances 10448.07 9122.76
  TOTAL - ASSETS 345655.47 327667.45
B EQUITY AND LIABILITIES    
1 Equity    
  (a) Equity share capital 9894.56 9894.56
  (b) Other equity 106917.17 103674.88
  Sub-total - Total equity 116811.73 113569.44
2 Liabilities    
(i) Non-current liabilities    
  (a) Financial liabilities    
  (i) Borrowings 146461.30 146538.70
  (ii) Trade payables    
  - Total outstanding dues of micro and small enterprises 8.99 10.35
  - Total outstanding dues of creditors other than micro and small enterprises 58.93 57.66
  (iii) Other financial liabilities 603.46 652.24
  (b) Provisions 660.09 635.69
  (c) Deferred tax liabilities (net) 8564.73 8093.98
  Sub-total - Non-current liabilities 156357.50 155988.62
(ii) Current liabilities    
  (a) Financial liabilities    
  (i) Borrowings 16871.47 14049.36
  (ii) Trade payables    
  - Total outstanding dues of micro and small enterprises 287.08 495.70
  - Total outstanding dues of creditors other than micro and small enterprises 9174.29 8504.93
  (iii) Other financial liabilities 34472.04 23715.74
  (b) Other current liabilities 1480.81 1270.90
  (c) Provisions 7323.89 6830.22
  Sub-total - Current liabilities 69609.58 54866.85
3 Deferred revenue 2876.66 3242.54
  TOTAL - EQUITY AND LIABILITIES 345655.47 327667.45

STANDALONE SEGMENT-WISE REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER AND SIX MONTHS ENDED 30 SEPTEMBER 2020

(RupeeCrore)

 

Sl.No. Particulars Quarter ended 30.09.2020
(Unaudited)		 Quarter ended 30.06.2020
(Unaudited)		 Quarter ended 30.09.2019
(Unaudited)		 Six months ended 30.09.2020
(Unaudited)		 Six months ended 30.09.2019
(Unaudited)		 Year
ended 31.03.2020 (Audited)
1 2 3 4 5 6 7 8
1 Segment revenue            
  - Generation 24650.73 22958.83 22811.08 47609.56 46328.01 96583.92
  - Others 932.02 1385.25 1113.01 2317.27 2413.43 4991.11
  - Unallocated 590.48 17.54 121.39 608.02 205.82 428.19
  - Less: Inter segment elimination 149.90 340.62 387.25 490.52 770.22 1524.81
  Total 26023.33 24021.00 23658.23 50044.33 48177.04 100478.41
2 Segment results            
  Profit before interest, exceptional items and tax (including
regulatory deferral account balances)		            
  - Generation 6096.50 7159.95 6256.33 13256.45 11742.54 27606.70
  - Others 47.82 104.75 118.66 152.57 273.39 569.02
  Total 6144.32 7264.70 6374.99 13409.02 12015.93 28175.72
  Less:            
  (i) Finance costs 1772.81 2082.52 1618.99 3855.33 3184.25 6781.97
  (ii) Other unallocated expenditure net of unallocable income (276.16) 509.37 238.98 233.21 501.40 1076.68
  (iii) Exceptional items (Refer Note 8) 560.43 802.57 - 1363.00 - -
  Profit before tax (including regulatory deferral account balances) 4087.24 3870.24 4517.02 7957.48 8330.28 20317.07
  Tax expense (including tax on movement in regulatory deferral account balances) 582.44 1400.08 1254.58 1982.52 2465.05 10204.26
  Profit after tax 3504.80 2470.16 3262.44 5974.96 5865.23 10112.81
3 Segment assets            
  - Generation 222573.55 225747.72 183337.94 222573.55 183337.94 211353.34
  - Others 7076.29 7310.65 5995.32 7076.29 5995.32 6685.20
  - Unallocated 116005.63 107841.53 120754.98 116005.63 120754.98 109628.91
  Total 345655.47 340899.90 310088.24 345655.47 310088.24 327667.45
4 Segment liabilities            
  - Generation 20086.37 19928.04 18325.53 20086.37 18325.53 18410.27
  - Others 3568.79 3567.46 3582.22 3568.79 3582.22 3841.80
  - Unallocated 205188.58 201435.60 177990.96 205188.58 177990.96 191845.94
  Total 228843.74 224931.10 199898.71 228843.74 199898.71 214098.01

The operations of the Company are mainly carried out within the country and therefore, there is no reportable geographical segment.

STANDALONE STATEMENT OF CASH FLOWS

(RupeeCrore)

 

Particulars Six months ended 30.09.2020
(Unaudited)		 Six months ended 30.09.2019
(Unaudited)		 Year ended 31.03.2020
(Audited)
A. CASH FLOW FROM OPERATING ACTIVITIES      
  Profit before tax 6564.72 6660.11 14465.92
  Add: Net movements in regulatory deferral account balances (net of tax) 1149.42 1378.36 4828.84
  Add: Tax on net movements in regulatory deferral account balances 243.34 291.81 1022.31
  Profit before tax including movements in regulatory deferral account balances 7957.48 8330.28 20317.07
  Adjustment for:      
  Depreciation and amortisation expense 5059.16 4174.09 8622.85
  Provisions 237.25 118.25 265.73
  Deferred revenue on account of government grants (14.25) (18.09) 33.07
  Deferred foreign currency fluctuation asset 269.06 (245.24) (1033.89)
  Deferred income from foreign currency fluctuation (214.24) 362.77 1289.12
  Regulatory deferral account debit balances (1392.76) (1670.17) (5851.15)
  Fly ash utilisation reserve fund (23.50) 23.19 (48.15)
  Exchange differences on translation of foreign currency cash and cash equivalents (0.01) - 0.03
  Finance costs 3835.28 3166.99 6730.26
  Unwinding of discount on vendor liabilities 20.05 17.26 51.71
  Interest/income on term deposits/bonds/investments (25.70) (27.55) (53.22)
  Dividend income (563.33) (83.65) (210.40)
  Provisions written back (13.52) (31.33) (471.04)
  Profit on de-recognition of property, plant and equipment (1.62) (0.68) (12.25)
  Loss on de-recognition of property, plant and equipment 44.21 33.96 59.96
    7216.08 5819.80 9372.63
  Operating profit before working capital changes 15173.56 14150.08 29689.70
  Adjustment for:      
  Trade receivables (11120.81) (10998.23) (7234.25)
  Inventories 1805.83 1150.22 (2206.69)
  Trade payables, provisions, other financial liabilities and other liabilities 1934.47 2027.20 1534.47
  Loans, other financial assets and other assets (696.16) 1230.30 3420.35
    (8076.67) (6590.51) (4486.12)
  Cash generated from operations 7096.89 7559.57 25203.58
  Income taxes (paid) / refunded (1218.48) (1401.02) (3189.32)
  Net cash from/(used in) operating activities - A 5878.41 6158.55 22014.26
B. CASH FLOW FROM INVESTING ACTIVITIES      
  Purchase of property, plant and equipment & intangible assets (6389.42) (7452.11) (14534.55)
  Disposal of property, plant and equipment & intangible assets 2.77 2.91 63.62
  Investment in subsidiaries and joint venture companies (321.95) (1087.52) (13317.48)
  Loans and advances to subsidiaries (71.74) (200.64) (46.32)
  Interest/income on term deposits/bonds/investments received 26.61 16.38 63.18
  Income tax paid on interest income (61.52) (5.43) (37.23)
  Dividend received 563.33 83.65 210.40
  Bank balances other than cash and cash equivalents (4140.89) (1234.03) (78.74)
  Net cash from/(used in) investing activities - B (10392.81) (9876.79) (27677.12)
C. CASH FLOW FROM FINANCING ACTIVITIES      
  Proceeds from non-current borrowings 11749.26 12960.58 28775.62
  Repayment of non-current borrowings (5485.23) (3632.53) (7667.17)
  Proceeds from current borrowings 2822.11 1655.41 (1326.73)
  Payment of lease liabilities (7.99) (4.63) (42.77)
  Interest paid (4564.37) (4242.54) (10503.90)
  Dividend paid - (2473.64) (2968.37)
  Tax on dividend - (506.62) (607.80)
  Net cash from/(used in) financing activities - C 4513.78 3756.03 5658.88
D. Exchange differences on translation of foreign currency cash and cash equivalents 0.01 - (0.03)
  Net increase/(decrease) in cash and cash equivalents (A+B+C+D) (0.61) 37.79 (4.01)
  Cash and cash equivalents at the beginning of the period 20.37 24.38 24.38
  Cash and cash equivalents at the end of the period 19.76 62.17 20.37

Notes to Standalone Financial Results:

  1. The above standalone financial results have been reviewed by the Audit Committee of the Board of Directors in their meeting held on 31 October 2020 and approved by the Board of Directors in their meeting held on 2 November 2020.
  2. The Joint Statutory Auditors of the Company have carried out the limited review of these standalone financial results as required under Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.
      1. The CERC notified the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2019 vide Order dated 7 March 2019 (Regulations, 2019) for determination of tariff for the tariff period 2019-2024. Pending issue of provisional/final tariff orders with effect from 1 April 2019, capacity charges are billed to beneficiaries in accordance with the tariff approved and applicable as on 31 March 2019, as provided in Regulations, 2019. In case of new projects, which got commercialised from 1 April 2019 and projects where tariff approved and applicable as on 31 March 2019 is pending from CERC, billing is done based on capacity charges as filed with CERC in tariff petition. Energy charges are billed as per the operational norms specified in the Regulations 2019. The amount provisionally billed for the quarter and six months ended 30 September 2020 isRupee23,260.17 crore andRupee44,878.28 crore respectively (previous quarter and six monthsRupee21,809.57 crore andRupee44,934.10 crore).
      2. Sales for the quarter and six months ended 30 September 2020 have been provisionally recognized atRupee23,540.27 crore andRupee45,128.46 crore respectively (previous quarter and six monthsRupee21,860.88 crore andRupee44,886.54 crore) on the said basis.
    2. Sales for the quarter and six months ended 30 September 2020 includeRupee41.49 crore andRupee581.73 crore respectively (previous quarter and six monthsRupee68.07 crore andRupee56.43 crore) pertaining to earlier years on account of revision of energy charges due to grade slippages and other adjustments.
    3. Sales for the quarter and six months ended 30 September 2020 also includeRupee21.85 crore andRupee42.24 crore respectively (previous quarter and six monthsRupee12.39 crore andRupee35.26 crore) on account of deferred tax materialized which is recoverable from beneficiaries as per Regulations, 2019.
    4. Revenue from operations for the quarter and six months ended 30 September 2020 includeRupee704.76 crore andRupee1,585.73 crore respectively (previous quarter and six monthsRupee601.18 crore andRupee1,425.91 crore) on account of sale of energy through trading.
  4. The environmental clearance (“clearance”) granted by the Ministry of Environment and Forest, Government of India (MoEF) for one of the Company's project consisting of three units of 800 MW each, was challenged before the National Green Tribunal (NGT). The NGT disposed off the appeal, inter alia, directing that the order of clearance be remanded to the MoEF to pass an order granting or declining clearance to the project proponent afresh in accordance with the law and the judgement of the NGT and for referring the matter to the Expert Appraisal Committee ("Committee") for its re-scrutiny, which shall complete the process within six months from the date of NGT order. NGT also directed that the environmental clearance shall be kept in abeyance and the Company shall maintain status quo in relation to the project during the period of review by the Committee or till fresh order is passed by the MoEF, whichever is earlier. The Company filed an appeal challenging the NGT order before the Hon’ble Supreme Court of India which stayed the order of the NGT and the matter is sub-judice. All the units of the project have been declared commercial in the earlier years. The carrying cost of the project as at 30 September 2020 isRupee15,301.66 crore (31 March 2020:Rupee15,662.28 crore). Management is confident that the approval for the project shall be granted, hence no provision is considered necessary.
  5. The Company is executing a hydro power project in the state of Uttrakhand, where all the clearances were accorded. A case was filed in Hon’ble Supreme Court of India after the natural disaster in Uttrakhand in June 2013 to review whether the various existing and ongoing hydro projects have contributed to environmental degradation. Hon’ble Supreme Court of India on 7 May 2014, ordered that no further construction shall be undertaken in the projects under consideration until further orders, which included the said hydro project of the Company. In the proceedings, Hon’ble Supreme Court is examining to allow few projects which have all clearances which includes the project of the Company where the work has been stopped. Aggregate cost incurred on the project up to 30 September 2020 isRupee163.59 crore (31 March 2020:Rupee163.40 crore). Management is confident that the approval for proceeding with the project shall be granted, hence no provision is considered necessary.
  6. An amount ofRupee754.89 crore (31 March 2020:Rupee749.01 crore) has been incurred upto 30 September 2020 in respect of one of the hydro power projects of the Company, the construction of which has been discontinued on the advice of the Ministry of Power (MOP), Government of India (GOI), which includesRupee444.74 crore (31 March 2020:Rupee439.57 crore) in respect of arbitration awards challenged by the Company before the Hon'ble High Court of Delhi. In the event the Hon'ble High Court grants relief to the Company, the amount would be adjusted against provisions made in this regard. Management expects that the total cost incurred, anticipated expenditure on the safety and stabilisation measures, other recurring site expenses and interest costs as well as claims of contractors/vendors for various packages for this project will be compensated in full by the GOI. Hence, no provision is considered necessary.
  7. The Company had entered into an agreement for movement of coal through inland waterways for one of its stations. As per the agreement, the operator was to design, finance, build, operate and maintain the unloading and material handling infrastructure for 7 years, after which it was to be transferred to the Company atRupee1/-. After commencement of the operations, the operator had raised several disputes, invoked arbitration and raised substantial claims on the Company. Based on the interim arbitral award and subsequent directions of the Hon’ble Supreme Court of India, an amount ofRupee356.31 crore was paid upto 31 March 2019.
    Further, the Arbitral Tribunal had awarded a claim ofRupee1,891.09 crore plus applicable interest in favour of the operator, during the financial year 2018-19. The Company aggrieved by the arbitral award and considering legal opinion obtained, had filed an appeal before the Hon'ble High Court of Delhi (Hon'ble High Court) against the said arbitral award in its entirety.
    In the previous year, against the appeal of the Company, Hon'ble High Court vide its order dated 23 September 2019 held that subject to deposit ofRupee500.00 crore by the Company with the Registrar General of the Court within six weeks, execution of the impugned award shall remain stayed till the next date of hearing and upon handing over the entire infrastructure in terms of the contract by the operator to the Company, the Registrar General shall release the amount to the operator against a bank guarantee. The said amount was deposited with the Hon'ble High Court on 5 November 2019. Hon'ble High Court vide its order dated 8 January 2020 directed the parties to commence formal handing over of the infrastructure in the presence of appointed Local Commissioner and also directed release ofRupee500.00 crore to the operator by the Registrar General subject to the outcome of this application of the Company for formal handing over of the infrastructure. On 17 January 2020, unconditional bank guarantee was submitted by the operator to Registrar General andRupee500.00 crore was released to operator by the Hon’ble High Court. As per orders of Hon'ble High Court, formal handing over of the infrastructure started on 20 January 2020 at the project site. However, due to certain local administrative issues initially and further due to COVID-19 pandemic, Local Commissioner’s visit has been deferred. The handing over of the infrastructure facility has not yet completed.
    Pending final disposal of the appeal by the Hon’ble High Court, considering the provisions of Ind AS 37 ‘Provisions, Contingent Liabilities and Contingent Assets’ and Significant Accounting Policies of the Company, provision has been updated by interest toRupee38.01 crore as at 30 September 2020 (31 March 2020:Rupee37.92 crore) and the balance amount ofRupee2,084.40 crore (31 March 2020:Rupee2,014.84 crore) has been considered as contingent liability.
  8. The Company is in the business of generation and sale of electricity which is an essential service as emphasized by the Ministry of Power, Government of India. During the outbreak of COVID-19, the Company has ensured the availability of its power plants to generate power and has continued to supply power during the period of lockdown. In line with the directions of MOP dated 15 & 16 May 2020, issued in accordance with the announcement of GOI under the Atmanirbhar Bharat Special Economic and Comprehensive package, to allow a rebate of between 20%-25% on the capacity charges during the lock down period subject to approval of the Board, an amount ofRupee1,363.00 crore has been approved by the Board, to be allowed during the year 2020-21. The entire amount has since been accounted for and disclosed as exceptional item.
    Further, Central Electricity Regulation Commission issued an order dated 3 April 2020 whereby it was directed that Late Payment Surcharge (LPSC) shall apply at a reduced rate of 12% p.a. instead of the normal rate of 18% p.a. on the payments becoming overdue during the period from 24 March 2020 to 30 June 2020 to contain the impact of COVID-19. Further, under the Atmanirbhar Bharat package, the Company has deferred the capacity charges to DISCOMS for the lockdown period for the power not scheduled to be payable without interest after the lock down period in three equal monthly installments. The impact on profit for the quarter and six months ended 30 September 2020 due to the reduction in LPSC rate and deferment of capacity charges, is not material.
    The Company has considered possible impact of COVID-19 in the preparation of financial results. The Management does not anticipate any material medium to long-term impact on the financial position of the Company. The Company will continue to closely monitor any material changes to the future economic conditions.
  9. During the six months ended 30 September 2020, one thermal unit of 660 MW at Khargone has been declared commercial w.e.f. 4 April 2020.
  10. During the quarter, the Company has paid final dividend ofRupee2.65 per share (face value ofRupee10/- each) for the financial year 2019-20.
  11. The Board of Directors of the Company at its meeting held on 2 November 2020, has approved a proposal to buy-back upto 19,78,91,146 equity shares of the Company for an aggregate amount not exceedingRupee2,275.75 crore being 2% of the total paid up equity share capital atRupee115.00 per equity share from all equity shareholders of the Company as on the record date ,on proportionate basis, through a Tender Offer. The buy back of shares is expected to be completed by January 2021.
  12. Formula used for computation of coverage ratios DSCR = Earning before Interest, Depreciation, Tax and Exceptional items /(Interest net of transfer to expenditure during construction + Scheduled principal repayments of the long term borrowings) and ISCR = Earning before Interest, Depreciation, Tax and Exceptional items/(Interest net of transfer to expenditure during construction).
  13. Company has maintained required asset cover as per the terms of offer document/ Information Memorandum and/or Debenture Trust Deed, including compliance with all the covenants, in respect of the listed non-convertible debt securities.
  14. Previous periods figures have been reclassified wherever considered necessary.

STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED 30 SEPTEMBER 2020

(RupeeCrore)

 

Sl. No. Particulars Quarter ended 30.09.2020 (Unaudited) Quarter ended 30.06.2020 (Unaudited) Quarter
ended 30.09.2019 (Unaudited)		 Six months ended 30.09.2020 (Unaudited) Six months
ended 30.09.2019 (Unaudited)		 Year
ended 31.03.2020 (Audited)
1 2 3 4 5 6 7 8
1 Income            
  (a) Revenue from operations 27707.76 26194.76 25708.98 53902.52 52595.20 109464.04
  (b) Other income 969.88 599.92 859.64 1569.80 1326.78 2908.54
  Total income (a+b) 28677.64 26794.68 26568.62 55472.32 53921.98 112372.58
2 Expenses            
  (a)Fuel cost 13748.33 12101.92 13532.26 25850.25 28122.75 57185.62
  (b) Electricity purchased for trading 1180.00 1371.00 1221.06 2551.00 2664.10 5185.95
  (c) Employee benefits expense 1611.87 1536.68 1393.57 3148.55 2805.99 5830.48
  (d) Finance costs 2219.37 2465.25 1911.71 4684.62 3769.21 8116.85
  (e)Depreciation and amortisation expense 3014.83 2936.64 2531.22 5951.47 4960.52 10356.16
  (f)Other expenses 2655.28 2237.55 1990.38 4892.83 4071.95 9725.41
  Total expenses (a+b+c+d+e+f) 24429.68 22649.04 22580.20 47078.72 46394.52 96400.47
3 Profit before exceptional items, tax, Regulatory deferral account balances and Share of net profit of joint ventures accounted for using equity method (1-2) 4247.96 4145.64 3988.42 8393.60 7527.46 15972.11
4 Share of net profits of joint ventures accounted for using equity method 151.42 134.05 123.93 285.47 271.05 405.40
5 Profit before exceptional items, tax and regulatory deferral account balances (3+4) 4399.38 4279.69 4112.35 8679.07 7798.51 16377.51
6 Exceptional items-(income) / expense (Refer Note 9) 670.20 836.76 - 1506.96 - -
7 Profit before tax and regulatory deferral account balances (5-6) 3729.18 3442.93 4112.35 7172.11 7798.51 16377.51
8 Tax expense            
  (a) Current tax 761.14 583.29 603.99 1344.43 1372.26 5526.53
  (b) Deferred tax (120.58) 803.29 642.41 682.71 990.39 3821.01
  Total tax expense (a+b) 640.56 1386.58 1246.40 2027.14 2362.65 9347.54
9 Profit before regulatory deferral account balances (7-8) 3088.62 2056.35 2865.95 5144.97 5435.86 7029.97
10 Net movement in regulatory deferral account balances (net of tax) 405.99 892.59 922.16 1298.58 1484.98 4872.01
11 Profit for the period (9+10) 3494.61 2948.94 3788.11 6443.55 6920.84 11901.98
12 Other comprehensive income            
  (a) Items that will not be reclassified to profit or loss            
    (i) Net actuarial gains/(losses) on defined benefit plans (63.05) (61.36) (70.40) (124.41) (134.34) (372.10)
    (ii) Net gains/(losses) on fair value of equity instruments (1.14) 11.70 (13.08) 10.56 (20.58) (41.64)
    (iii) Share of other comprehensive income of joint ventures accounted for under the equity method (0.06) (0.06) (0.58) (0.12) (0.90) (0.50)
    Income tax on items that will not be reclassfied to profit or loss            
    (i) Net acturial gains/(losses) on defined benefit plans 11.14 10.69 10.23 21.83 23.55 66.52
  (b) Items that will be reclassified to profit or loss            
    (i) Exchange differences on translation of foreign operations (13.43) (4.84) 7.91 (18.27) 5.49 40.00
  Other comprehensive income for the period (net of tax) (a+b) (66.54) (43.87) (65.92) (110.41) (126.78) (307.72)
13 Total comprehensive income for the period (11+12) 3428.07 2905.07 3722.19 6333.14 6794.06 11594.26
14 Profit attributable to owners of the parent company 3435.99 2890.39 3714.59 6326.38 6801.46 11600.23
15 Profit attributable to non-controlling interest 58.62 58.55 73.52 117.17 119.38 301.75
16 Other comprehensive income attributable to owners of the parent company (66.17) (43.61) (65.68) (109.78) (126.30) (303.43)
17 Other comprehensive income attributable to non controlling interest (0.37) (0.26) (0.24) (0.63) (0.48) (4.29)
18 Paid-up equity share capital
(Face value of shareRupee10/- each)		 9894.56 9894.56 9894.56 9894.56 9894.56 9894.56
19 Paid-up debt capital$       190902.03 168089.58 184073.44
20 Other equity excluding revaluation reserve as per balance sheet       112562.80 105172.00 108944.60
21 Net worth*       121872.68 114400.61 118237.09
22 Debenture redemption reserve       7657.97 8165.47 7700.97
23 Earnings per share (ofRupee10/- each) - (not annualised) (including net movement in regulatory deferral account balances): Basic and Diluted (inRupee) 3.47 2.92 3.75 6.39 6.87 11.72
24 Earnings per share (ofRupee10/- each) - (not annualised) (excluding net movement in regulatory deferral account balances): Basic and Diluted (inRupee) 3.06 2.02 2.82 5.08 5.37 6.80
25 Debt equity ratio       1.57 1.47 1.56
26 Debt service coverage ratio (DSCR)       1.65 1.90 1.97
27 Interest service coverage ratio (ISCR)       4.12 4.39 4.34

$ Comprises long term debts
* Excluding Fly ash utilization reserve and Corporate social responsibility reserve
See accompanying notes to the consolidated financial results

CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES

(RupeeCrore)

 

Sl.No. Particulars As at
30.09.2020 (Unaudited)		 As at
31.03.2020 (Audited)
A ASSETS    
1 Non-current assets    
  (a) Property, plant and equipment 192518.67 187176.46
  (b) Capital work-in-progress 95363.21 98210.94
  (c) Intangible assets 612.11 626.33
  (d) Intangible assets under development 466.32 297.53
  (e) Investments accounted for using the equity method 9587.75 9256.31
  (f) Financial assets    
  (i) Investments 60.84 50.28
  (ii) Loans 506.13 511.08
  (iii) Other financial assets 1195.05 1227.88
  (g) Other non-current assets 14242.04 13726.72
  Sub-total - Non-current assets 314552.12 311083.53
2 Current assets    
  (a) Inventories 9658.08 11138.54
  (b) Financial assets    
  (i) Trade receivables 31543.84 20370.80
  (ii) Cash and cash equivalents 866.80 589.52
  (iii) Bank balances other than cash and cash equivalents 6769.04 2624.77
  (iv) Loans 234.62 252.67
  (v) Other financial assets 13863.43 13027.80
  (c) Current tax assets (Net) 71.84 83.26
  (d) Other current assets 8497.14 8818.51
  Sub-total - Current assets 71504.79 56905.87
3 Regulatory deferral account debit balances 10896.41 9397.73
  TOTAL - ASSETS 396953.32 377387.13
B EQUITY AND LIABILITIES    
1 Equity    
  (a) Equity share capital 9894.56 9894.56
  (b) Other equity 112562.80 108944.60
  Total equity attributable to the owners of the parent 122457.36 118839.16
  Non controlling interest 3383.20 3317.19
  Sub-total - Total equity 125840.56 122156.35
2 Liabilities    
(i) Non-current liabilities    
  (a) Financial liabilities    
  (i) Borrowings 177540.20 176020.02
  (ii) Trade payables    
  - Total outstanding dues of micro and small enterprises 8.99 10.35
  - Total outstanding dues of creditors other than micro and small enterprises 58.95 57.75
  (iii) Other financial liabilities 1204.74 1404.45
  (b) Provisions 1034.97 1169.17
  (c) Deferred tax liabilities (net) 8232.30 7617.11
  Sub-total - Non-current liabilities 188080.15 186278.85
(ii) Current liabilities    
  (a) Financial liabilities    
  (i) Borrowings 19658.51 16556.23
  (ii) Trade payables    
  - Total outstanding dues of micro and small enterprises 303.39 512.24
  - Total outstanding dues of creditors other than micro and small enterprises 10216.55 9596.34
  (iii) Other financial liabilities 38733.01 28646.96
  (b) Other current liabilities 1993.94 1736.71
  (c) Provisions 7890.30 7287.91
  (d) Current tax liabilities (net) 23.04 1.71
  Sub-total - Current liabilities 78818.74 64338.10
3 Deferred revenue 4213.87 4613.83
  TOTAL - EQUITY AND LIABILITIES 396953.32 377387.13

 

CONSOLIDATED SEGMENT-WISE REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER AND SIX MONTHS ENDED 30 SEPTEMBER 2020

(RupeeCrore)

 

Sl.No. Particulars Quarter ended 30.09.2020
(Unaudited)		 Quarter ended 30.06.2020
(Unaudited)		 Quarter ended 30.09.2019
(Unaudited)		 Six months ended 30.09.2020
(Unaudited)		 Six months ended 30.09.2019
(Unaudited)		 Year ended 31.03.2020
(Audited)
1 2 3 4 5 6 7 8
1 Segment revenue            
  - Generation 27343.23 25304.37 25178.92 52647.60 50841.95 106441.61
  - Others 1906.06 2363.41 2224.34 4269.47 4740.36 9425.86
  - Unallocated 25.51 12.25 12.25 37.76 110.60 162.13
  - Less: Inter segment elimination 597.16 885.35 846.89 1482.51 1770.93 3657.02
  Total 28677.64 26794.68 26568.62 55472.32 53921.98 112372.58
2 Segment results            
  Profit before interest, exceptional items and tax (including regulatory deferral account balances)            
  - Generation 7143.88 8082.46 7161.68 15226.34 13353.31 30688.92
  - Others 81.01 126.44 166.48 207.45 345.70 605.39
  Total 7224.89 8208.90 7328.16 15433.79 13699.01 31294.31
  Less:            
  (i) Finance costs 2219.37 2465.25 1911.71 4684.62 3769.21 8116.85
  (ii) Other unallocated expenditure net of unallocable income 123.41 380.61 224.19 504.02 325.57 895.87
  (iii) Exceptional items (Refer Note 9) 670.20 836.76 - 1506.96 - -
  Profit before tax (including regulatory deferral account balances) 4211.91 4526.28 5192.26 8738.19 9604.23 22281.59
  Tax expense (including tax on movement in regulatory deferral account balances) 717.30 1577.34 1404.15 2294.64 2683.39 10379.61
  Profit after tax 3494.61 2948.94 3788.11 6443.55 6920.84 11901.98
3 Segment assets            
  - Generation 267440.66 271176.54 221341.19 267440.66 221341.19 249707.52
  - Others 8911.85 9597.04 8156.40 8911.85 8156.40 8496.37
  - Unallocated 120985.94 112032.23 139577.42 120985.94 139577.42 119525.64
  - Less: Inter segment elimination 385.13 529.27 429.20 385.13 429.20 342.40
  Total 396953.32 392276.54 368645.81 396953.32 368645.81 377387.13
4 Segment liabilities            
  - Generation 27401.18 27357.49 25406.04 27401.18 25406.04 25614.76
  - Others 4934.67 5228.25 5230.97 4934.67 5230.97 5254.41
  - Unallocated 242545.24 238565.38 223371.44 242545.24 223371.44 228021.20
  - Less:Inter segment elimination 385.13 529.27 429.20 385.13 429.20 342.40
  Total 274495.96 270621.85 253579.25 274495.96 253579.25 258547.97

The operations of the Group are mainly carried out within the country and therefore, there is no reportable geographical segment.

CONSOLIDATED STATEMENT OF CASH FLOWS

(RupeeCrore)

 

Particulars Six months ended 30.09.2020
(Unaudited)		 Six months ended 30.09.2019
(Unaudited)		 Year ended 31.03.2020
(Audited)
A. CASH FLOW FROM OPERATING ACTIVITIES      
  Profit before tax 7172.11 7798.51 16377.51
  Add: Net movements in regulatory deferral account balances (net of tax) 1298.58 1484.98 4872.01
  Add: Tax on net movements in regulatory deferral account balances 267.50 320.74 1032.07
  Profit before tax including movements in regulatory deferral account balances 8738.19 9604.23 22281.59
  Adjustment for:      
  Depreciation and amortisation expense 5951.47 4960.52 10356.16
  Provisions 223.66 119.04 421.12
  Share of net profits of joint ventures accounted for using equity method (285.47) (271.05) (405.40)
  Deferred revenue on account of government grants (54.60) (83.03) (91.54)
  Deferred foreign currency fluctuation asset 259.22 (245.24) (1072.34)
  Deferred income from foreign currency fluctuation (205.80) 362.66 1340.04
  Regulatory deferral account debit balances (1566.08) (1805.72) (5904.08)
  Fly ash utilisation reserve fund (17.39) 25.45 (38.39)
  Exchange differences on translation of foreign currency cash and cash equivalents (0.01) - 0.03
  Finance costs 4664.57 3751.95 8060.61
  Unwinding of discount on vendor liabilities 20.05 17.26 56.24
  Interest/income on term deposits/bonds/investments (20.52) (26.18) (56.89)
  Dividend income (6.60) - (4.80)
  Provisions written back (14.79) (65.54) (484.06)
  Profit on de-recognition of property, plant and equipment (1.62) (0.70) (12.59)
  Loss on de-recognition of property, plant and equipment 44.23 34.02 64.19
    8990.32 6773.44 12228.30
  Operating profit before working capital changes 17728.51 16377.67 34509.89
  Adjustment for:      
  Trade receivables (11173.04) (11650.11) (8092.46)
  Inventories 1851.30 1078.62 (2309.68)
  Trade payables, provisions, other financial liabilities and other liabilities 1883.35 2116.59 1524.12
  Loans, other financial assets and other assets (697.79) 842.75 2558.22
    (8136.18) (7612.15) (6319.80)
  Cash generated from operations 9592.33 8765.52 28190.09
  Income taxes (paid) / refunded (1364.00) (1513.10) (3606.87)
  Net cash from/(used in) operating activities - A 8228.33 7252.42 24583.22
B. CASH FLOW FROM INVESTING ACTIVITIES      
  Purchase of property, plant and equipment & intangible assets (7641.18) (8882.75) (18230.44)
  Disposal of property, plant and equipment & intangible assets 2.75 12.04 167.93
  Investment in joint venture companies (68.26) (375.02) (764.98)
  Consideration paid towards acquisition of NEEPCO and THDCIL - - (11500.00)
  Interest/income on term deposits/bonds/investments received 22.88 37.55 65.90
  Income tax paid on interest income (116.69) (6.02) (40.79)
  Dividend received from other investments 6.60 - 4.80
  Bank balances other than cash and cash equivalents (4146.63) (1094.86) (24.09)
  Net cash from/(used in) investing activities - B (11940.53) (10309.06) (30321.67)
C. CASH FLOW FROM FINANCING ACTIVITIES      
  Proceeds from non-current borrowings 14120.66 16453.16 33653.14
  Repayment of non-current borrowings (7013.87) (4945.26) (9583.31)
  Proceeds from current borrowings 3102.28 1232.50 (812.62)
  Payment of lease liabilities (10.64) (4.63) (78.71)
  Interest paid (6208.96) (5690.49) (13399.15)
  Dividend paid - (2512.64) (3133.37)
  Tax on dividend - (514.64) (641.72)
  Net cash from/(used in) financing activities - C 3989.47 4018.00 6004.26
D. Exchange differences on translation of foreign currency cash and cash equivalents 0.01 - (0.03)
  Net increase/(decrease) in cash and cash equivalents (A+B+C+D) 277.28 961.36 265.78
  Cash and cash equivalents at the beginning of the period 589.52 323.74 323.74
  Cash and cash equivalents at the end of the period 866.80 1285.10 589.52

 

Notes to Consolidated Financial Results:

  1. The above consolidated financial results have been reviewed by the Audit Committee of the Board of Directors in their meeting held on 31 October 2020 and approved by the Board of Directors in their meeting held on 2 November 2020.
  2. The Joint Statutory Auditors of the Company have carried out the limited review of these consolidated financial results as required under Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.
  3. The subsidiary and joint venture companies considered in the consolidated financial results are as follows:
    a) Subsidiary Companies Ownership (%)
    1 NTPC Electric Supply Company Ltd. 100.00
    2 NTPC Vidyut Vyapar Nigam Ltd. 100.00
    3 Kanti Bijlee Utpadan Nigam Ltd. 100.00
    4 Nabinagar Power Generating Company Ltd. 100.00
    5 Bhartiya Rail Bijlee Company Ltd. 74.00
    6 Patratu Vidyut Utpadan Nigam Ltd. 74.00
    7 North Eastern Electric Power Corporation Ltd. (NEEPCO) 100.00
    8 THDC India Limited (THDCIL) 74.496
    9 NTPC Mining Ltd. 100.00
    b) Joint Venture Companies  
    1 Utility Powertech Ltd. 50.00
    2 NTPC GE Power Services Private Ltd. 50.00
    3 NTPC SAIL Power Company Ltd. 50.00
    4 NTPC Tamilnadu Energy Company Ltd. 50.00
    5 Ratnagiri Gas and Power Private Ltd. 25.51
    6 Aravali Power Company Private Ltd. 50.00
    7 Meja Urja Nigam Private Ltd. 50.00
    8 NTPC BHEL Power Projects Private Ltd. 50.00
    9 National High Power Test Laboratory Private Ltd. 20.00
    10 Transformers and Electricals Kerala Ltd. 44.60
    11 Energy Efficiency Services Ltd. 47.15
    12 CIL NTPC Urja Private Ltd. 50.00
    13 Anushakti Vidhyut Nigam Ltd. 49.00
    14 Hindustan Urvarak and Rasayan Ltd. 29.67
    15 Konkan LNG Private Ltd. 14.82
    16 Trincomalee Power Company Ltd. 50.00
    17 Bangladesh-India Friendship Power Company Private Ltd. 50.00

    All the above Companies are incorporated in India except Companies at Sl. No.16 and 17 which are incorporated in Srilanka and Bangladesh respectively.
    During the six months ended 30 September 2020, the Company has incorporated a subsidiary company 'NTPC EDMC Waste Solutions Pvt. Ltd.', a joint venture with East Delhi Municipal Corporation (EDMC) on 1 June 2020, with equity participation of 74:26 respectively to develop and operate state of the art / modern integrated waste management & energy generation facility. There was no financial transaction in the subsidiary company till 30 September 2020.

      1. The CERC notified the Central Electricity Regulatory Commission (Terms and Conditions of Tariff) Regulations, 2019 vide Order dated 7 March 2019 (Regulations, 2019) for determination of tariff for the tariff period 2019-2024. Pending issue of provisional/final tariff orders with effect from 1 April 2019, capacity charges are billed to beneficiaries in accordance with the tariff approved and applicable as on 31 March 2019, as provided in Regulations, 2019. In case of new projects, which got commercialised from 1 April 2019 and projects where tariff approved and applicable as on 31 March 2019 is pending from CERC, billing is done based on capacity charges as filed with CERC in tariff petition. Energy charges are billed as per the operational norms specified in the Regulations 2019. The amount provisionally billed for the quarter and six months ended 30 September 2020 isRupee25,391.74 crore andRupee48,765.72 crore respectively (previous quarter and six monthsRupee23,501.33 crore andRupee48,029.07 crore).
      2. Sales for the quarter and six months ended 30 September 2020 have been provisionally recognized atRupee25,633.69 crore andRupee49,020.97 crore respectively (previous quarter and six monthsRupee23,711.90 crore andRupee48,197.34 crore) on the said basis.
    2. Sales for the quarter and six months ended 30 September 2020 include (-)Rupee11.40 crore andRupee578.45 crore respectively (previous quarter and six monthsRupee89.72 crore andRupee80.42 crore) pertaining to earlier years on account of revision of energy charges due to grade slippages and other adjustments.
    3. Sales for the quarter and six months ended 30 September 2020 also includeRupee28.53 crore andRupee48.92 crore respectively (previous quarter and six monthsRupee19.12 crore andRupee41.99 crore) on account of deferred tax materialized which is recoverable from beneficiaries as per Regulations, 2019.
    4. Revenue from operations for the quarter and six months ended 30 September 2020 includeRupee1,664.52 crore andRupee3,548.99 crore respectively (previous quarter and six monthsRupee1,687.81 crore andRupee3,736.42 crore) on account of sale of energy through trading.
  5. The environmental clearance (“clearance”) granted by the Ministry of Environment and Forest, Government of India (MoEF) for one of the Company's project consisting of three units of 800 MW each, was challenged before the National Green Tribunal (NGT). The NGT disposed off the appeal, inter alia, directing that the order of clearance be remanded to the MoEF to pass an order granting or declining clearance to the project proponent afresh in accordance with the law and the judgement of the NGT and for referring the matter to the Expert Appraisal Committee ("Committee") for its re-scrutiny, which shall complete the process within six months from the date of NGT order. NGT also directed that the environmental clearance shall be kept in abeyance and the Company shall maintain status quo in relation to the project during the period of review by the Committee or till fresh order is passed by the MoEF, whichever is earlier. The Company filed an appeal challenging the NGT order before the Hon’ble Supreme Court of India which stayed the order of the NGT and the matter is sub-judice. All the units of the project have been declared commercial in the earlier years. The carrying cost of the project as at 30 September 2020 isRupee15,301.66 crore (31 March 2020:Rupee15,662.28 crore). Management is confident that the approval for the project shall be granted, hence no provision is considered necessary.
  6. The Company is executing a hydro power project in the state of Uttrakhand, where all the clearances were accorded. A case was filed in Hon’ble Supreme Court of India after the natural disaster in Uttrakhand in June 2013 to review whether the various existing and ongoing hydro projects have contributed to environmental degradation. Hon’ble Supreme Court of India on 7 May 2014, ordered that no further construction shall be undertaken in the projects under consideration until further orders, which included the said hydro project of the Company. In the proceedings, Hon’ble Supreme Court is examining to allow few projects which have all clearances which includes the project of the Company where the work has been stopped. Aggregate cost incurred on the project up to 30 September 2020 isRupee163.59 crore (31 March 2020:Rupee163.40 crore). Management is confident that the approval for proceeding with the project shall be granted, hence no provision is considered necessary.
  7. An amount ofRupee754.89 crore (31 March 2020:Rupee749.01 crore) has been incurred upto 30 September 2020 in respect of one of the hydro power projects of the Company, the construction of which has been discontinued on the advice of the Ministry of Power (MOP), Government of India (GOI), which includesRupee444.74 crore (31 March 2020:Rupee439.57 crore) in respect of arbitration awards challenged by the Company before the Hon'ble High Court of Delhi. In the event the Hon'ble High Court grants relief to the Company, the amount would be adjusted against provisions made in this regard. Management expects that the total cost incurred, anticipated expenditure on the safety and stabilisation measures, other recurring site expenses and interest costs as well as claims of contractors/vendors for various packages for this project will be compensated in full by the GOI. Hence, no provision is considered necessary.
  8. The Company had entered into an agreement for movement of coal through inland waterways for one of its stations. As per the agreement, the operator was to design, finance, build, operate and maintain the unloading and material handling infrastructure for 7 years, after which it was to be transferred to the Company atRupee1/-. After commencement of the operations, the operator had raised several disputes, invoked arbitration and raised substantial claims on the Company. Based on the interim arbitral award and subsequent directions of the Hon’ble Supreme Court of India, an amount ofRupee356.31 crore was paid upto 31 March 2019.
    Further, the Arbitral Tribunal had awarded a claim ofRupee1,891.09 crore plus applicable interest in favour of the operator, during the financial year 2018-19. The Company aggrieved by the arbitral award and considering legal opinion obtained, had filed an appeal before the Hon'ble High Court of Delhi (Hon'ble High Court) against the said arbitral award in its entirety.
    In the previous year, against the appeal of the Company, Hon'ble High Court vide its order dated 23 September 2019 held that subject to deposit ofRupee500.00 crore by the Company with the Registrar General of the Court within six weeks, execution of the impugned award shall remain stayed till the next date of hearing and upon handing over the entire infrastructure in terms of the contract by the operator to the Company, the Registrar General shall release the amount to the operator against a bank guarantee. The said amount was deposited with the Hon'ble High Court on 5 November 2019. Hon'ble High Court vide its order dated 8 January 2020 directed the parties to commence formal handing over of the infrastructure in the presence of appointed Local Commissioner and also directed release ofRupee500.00 crore to the operator by the Registrar General subject to the outcome of this application of the Company for formal handing over of the infrastructure. On 17 January 2020, unconditional bank guarantee was submitted by the operator to Registrar General andRupee500.00 crore was released to operator by the Hon’ble High Court. As per orders of Hon'ble High Court, formal handing over of the infrastructure started on 20 January 2020 at the project site. However, due to certain local administrative issues initially and further due to COVID-19 pandemic, Local Commissioner’s visit has been deferred. The handing over of the infrastructure facility has not yet completed.
    Pending final disposal of the appeal by the Hon’ble High Court, considering the provisions of Ind AS 37 ‘Provisions, Contingent Liabilities and Contingent Assets’ and Significant Accounting Policies of the Company, provision has been updated by interest toRupee38.01 crore as at 30 September 2020 (31 March 2020:Rupee37.92 crore) and the balance amount ofRupee2,084.40 crore (31 March 2020:Rupee2,014.84 crore) has been considered as contingent liability.
  9. The Group is mainly in the business of generation and sale of electricity which is an essential service as emphasized by the Ministry of Power, Government of India. During the outbreak of COVID-19, the group companies in the business of generation and sale of electricity have ensured the availability of its power plants to generate power and have continued to supply power during the period of lockdown. In line with the directions of MOP dated 15 & 16 May 2020, issued in accordance with the announcement of GOI under the Atmanirbhar Bharat Special Economic and Comprehensive package, to allow a rebate of between 20%-25% on the capacity charges during the lock down period subject to approval of respective Boards, to be allowed during the year 2020-21. The entire amount has since been accounted for and disclosed as exceptional item.
    Further, Central Electricity Regulation Commission issued an order dated 3 April 2020 whereby it was directed that Late Payment Surcharge (LPSC) shall apply at a reduced rate of 12% p.a. instead of the normal rate of 18% p.a. on the payments becoming overdue during the period from 24 March 2020 to 30 June 2020 to contain the impact of COVID-19. Further, under the Atmanirbhar Bharat package, the group companies in the business of generation and sale of electricity have deferred the capacity charges to DISCOMS for the lockdown period for the power not scheduled to be payable to be payable without interest after the lock down period in three equal monthly installments. The impact on profit for the quarter and six months ended 30 September 2020 due to the reduction in LPSC rate and deferment of capacity charges, is not material.
    The Group has considered possible impact of COVID-19 in the preparation of financial results. The Group does not anticipate any material medium to long-term impact on the financial position of the Group. The Group will continue to closely monitor any material changes to the future economic conditions.
  10. During the half-year, one thermal unit of 660 MW at Khargone of the Company have been declared commercial w.e.f. 4 April 2020. Further, two units of 150 MW each at Kameng Hydro Electric Project of a Subsidiary have been declared commercial w.e.f. 17 June 2020 and 1 July 2020 respectively.
  11. During the quarter, the Company has paid final dividend ofRupee2.65 per share (face value ofRupee10/- each) for the financial year 2019-20.
  12. The Board of Directors of the Company at its meeting held on 2 November 2020, has approved a proposal to buy-back upto 19,78,91,146 equity shares of the Company for an aggregate amount not exceedingRupee2,275.75 crore being 2% of the total paid up equity share capital atRupee115.00 per equity share from all equity shareholders of the Company as on the record date ,on proportionate basis, through a Tender Offer. The buy back of shares is expected to be completed by January 2021.
  13. Formula used for computation of coverage ratios DSCR = Earning before Interest, Depreciation, Tax and Exceptional items /(Interest net of transfer to expenditure during construction + Scheduled principal repayments of the long term borrowings) and ISCR = Earning before Interest, Depreciation, Tax and Exceptional items/(Interest net of transfer to expenditure during construction).
  14. Company has maintained required asset cover as per the terms of offer document/ Information Memorandum and/or Debenture Trust Deed, including compliance with all the covenants, in respect of the listed non-convertible debt securities.
  15. The figures for the quarter and half year ended 30 September 2019 have been restated consequent to acquisition of 74.496% and 100% of paid up equity share capital, held by Government of India, in THDCIL and NEEPCO respectively w.e.f. 27 March 2020 and accounted as a common control acquisition considering Appendix C of Ind AS 103- Business Combinations in the previous financial year.
  16. Previous periods figures have been reclassified wherever considered necessary.

For and on behalf of the Board of Directors NTPC Limited (A.K.Gautam)
DIRECTOR (FINANCE)
DIN:08293632 Place: New Delhi
Date: 2 November 2020

Back to Top