NTPC Considers fundraising Rs 12,000 Cr through NCDs on June 24
New Delhi, June 22, 2023 – NTPC (National Thermal Power Corporation) announced today that its Board of Directors will convene in New Delhi on Saturday, June 24, 2023, to consider the issuance of bonds or non-convertible debentures (NCDs) amounting to Rs. 12,000 crore. The final decision is subject to approval by the company’s shareholders at the upcoming annual general meeting.
According to the latest financial reports, NTPC achieved an operating profit of ₹49,499.15 crores in FY23, marking an increase from ₹42,604.59 crores in FY22. The net profit for FY23 stood at ₹16,341.58 crores, compared to ₹15,940.16 crores in FY22. The company has consistently maintained a healthy dividend payout of 42%, and its stock currently offers an attractive dividend yield of 3.73% for Q4FY22. With a price-to-earnings ratio (PE) of 10.8x and a return on equity (ROE) of 9.81%, NTPC remains an appealing investment option. Foreign institutional investors (FIIs) have shown increased interest in the company, raising their stake from 14.74% in FY22 to 15.61% in FY23. Year-to-date, NTPC Ltd’s shares have surged by 11.43%, reaching ₹187.20 per share, while the stock has provided a solid 36% return on an annual basis.
Regarding future projects, NTPC management stated, “For thermal power, we have set a target of approximately 6 GW, excluding Talcher, where the letter of award (LOA) has already been issued for a 1320 MW project. This adds another 6,120 MW from five different projects. We anticipate that most of these projects will be awarded by the end of the current fiscal year. As for renewable projects, we have already commissioned 3.3 GW of capacity, with an additional 4.6 GW under execution. Power purchase agreements (PPAs) are in place, and construction contracts have been awarded for these projects. Furthermore, we have 12.6 GW in the pipeline, where we have either won bids, received LOAs, signed PPAs or joint venture agreements, term sheets, or obtained consent.”
Also Read: IIFCL Plans Rs 17,000 Cr Bond Issue for FY24
NTPC (National Thermal Power Corporation) Ltd., along with its affiliates, subsidiaries, and joint ventures, primarily focuses on the generation and distribution of bulk electricity to state power utilities. The company is also involved in project management, energy trading, oil and gas exploration, and coal mining.
About NTPC:
NTPC Limited, previously named National Thermal Power Corporation, is an Indian government-owned central Public Sector Undertaking. It operates under the ownership of the Ministry of Power, Government of India, and is involved in electricity generation and related activities. The company’s headquarters are located in New Delhi.
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