LIC-Backed Power Generation Stock In Green As Company Announces Positive Quarterly & Half-Yearly Results Ended September 30, 2024
The stock is up by 59 per cent from its 52-week low of Rs 72.60 per share year.
On Wednesday, shares of SJVN Ltd surged 1.63 per cent to Rs 115.40 per share with an an intraday high of Rs 115.75 per share and an intraday low of Rs 113.15 per share from its previous closing of Rs 113.55 per share. The stock’s 52-week high is Rs 170.45 and its 52-week low is Rs 72.60.
SJVN, formerly known as Satluj Jal Vidyut Nigam Ltd, is an Indian public sector undertaking involved in hydroelectric power generation and transmission. It was incorporated in 1988 as Nathpa Jhakri Power Corporation, a joint venture between the Government of India and the Government of Himachal Pradesh. The company has a market cap of over Rs 45,000 crore and has been maintaining a healthy dividend payout of 65.4 per cent.
According to Quarterly Results, the net sales increased by 16.8 per cent to Rs 1,026.25 crore and net profit increased by 0.1 per cent to Rs 438.88 crore in Q2FY25 compared to Q2FY24. Looking at its half-yearly results, the net sales increased by 22.1 per cent to Rs 1,896.62 crore and net profit increased by 12.1 per cent to Rs 795.07 crore in H1FY25 compared to H1FY24. In its annual results, the net sales decreased by 12.2 per cent to Rs 2,579.37 crore and net profit decreased by 33 per cent to Rs 907.25 crore in FY24 compared to FY23.
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Earlier, SJVN has signed two significant Memorandums of Understanding (MoUs) with the Government of Maharashtra for the development of 8,100 MW Pumped Storage Projects (PSPs) and a 505 MW Floating Solar Project (FSP) in the state. The MoUs were signed in the presence of Hon'ble Deputy Chief Minister and Energy Minister of Maharashtra, Sh. Devendra Fadnavis. The first MoU, with the Department of Water Resources, will facilitate the development of five PSPs, including 800 MW Kolmondapada, 1500 MW Sidgarh, 2000 MW Chornai, 1800 MW Baitarni, and 2000 MW Jalvara projects. The second MoU, with Maharashtra State Power Generation Company (MAHAGENCO), will enable the development of the 505 MW FSP at Lower Wardha Dam in two phases: 100 MW and 405 MW. These projects, with a total estimated investment of Rs 48,000 crores, will generate significant employment opportunities and contribute to the state's sustainable energy future.
As of September 2024, the Life Insurance Corporation of India (LIC) owns 2.48 per cent stake and DIIs increased their stake to 4.29 per cent in September 2024 compared to June 2024. The stock is up by 59 per cent from its 52-week low of Rs 72.60 per share year.Investors should keep an eye on this power stock.
Disclaimer: The article is for informational purposes only and not investment advice.