Rs 16,252 crore order book: TATA Group-multibagger solar power company signs MoU with NHPC Renewable Energy Ltd; details inside

The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 216.95 per share whereas BSE Sensex Index is up by 21 per cent in the same period.

In a significant development for India's renewable energy sector, Tata Power Renewable Energy Limited (TPREL) and NHPC Renewable Energy Limited (NHPC-REL) have joined forces to install rooftop solar panels on government buildings across the country. This initiative falls under the ambitious PM Surya Ghar Yojana Scheme, which aims to achieve 100 per cent solarization of government-owned facilities by December 2025.

This collaboration leverages the expertise of both companies. TPREL, a subsidiary of The Tata Power Company Limited, is a well-established player in the Indian renewable energy sector. NHPC-REL, a wholly-owned subsidiary of NHPC Limited, has been designated as the Scheme Implementing Partner (SIP) by the Ministry of New and Renewable Energy (MNRE) for this project. The MoU signing ceremony took place on July 17, 2024, at the NHPC Office Complex in Faridabad. This partnership signifies a shared commitment to sustainability and innovation in the renewable energy sector. TPREL's experience will be crucial for the smooth and timely execution of these rooftop solar projects on government buildings.

This alliance has the potential to be a game-changer for India's renewable energy goals. By harnessing the untapped potential of rooftops on government buildings, the project aims to significantly reduce dependence on conventional energy sources and promote a cleaner, greener future. The success of this initiative can set new benchmarks for future endeavours in the renewable energy industry, paving the way for wider adoption of solar power across the country.

About Tata Power Ltd

Tata Power, a leading integrated power company under India's largest conglomerate Tata Group, boasts a diverse portfolio of 14,707 MW spanning the entire power spectrum. This includes the generation of both renewable and conventional energy, along with transmission, distribution, trading, storage solutions, and even solar cell and module manufacturing. As champions for clean energy, they've committed to achieving carbon neutrality before 2045. Beyond generation, Tata Power has established India's most comprehensive clean energy platform, offering rooftop solar solutions, microgrids, storage solutions, EV charging stations, and home automation systems.

According to the Quarterly Results, the net sales increased by 27 per cent to Rs 16,256 crore in Q4FY24 compared to Q4FY23. The company reported a net profit of Rs 1,046 crore in Q4FY24 compared to a net profit of Rs 939 crore in Q4FY23, an increase of 11 per cent. In its annual results, the net sales increased by 10 per cent to Rs 61,542 crore and net profit increased by 12 per cent to Rs 4,280 crore in FY24 compared to FY23. The company has delivered good profit growth of 75 per cent CAGR over the last 5 years and has been maintaining a healthy dividend payout of 23 per cent. The company's overall performance can be attributed to its effective management strategies.

With a robust order book of Rs 16,252 crore as of March 31, 2023, Tata Power is poised for an electrifying future. Tata Power Company Ltd is primarily involved in the business of the generation, transmission and distribution of electricity.

The company has a market cap of over Rs 1.30 lakh crore. The stock gave multibagger returns of over 100 per cent from its 52-week low of Rs 216.95 per share whereas BSE Sensex Index is up by 21 per cent in the same period. Investors should keep an eye on this mid-cap power stock.

Disclaimer: The article is for informational purposes only and not investment advice.

Also Read: Rs 1,400 Crore Order Book: Multibagger Defence Drone Company Introduces AI-powered Robots; Unveils Four Products for the Global Defence Market