Market Performance
NLC India's share price saw a significant jump of 9% in early trade on Tuesday, May 20, touching ₹257.90 per share.
- The stock has surged 17% since its May 9 low of ₹212
- In May alone, it has gained approximately 12%
- This follows a 7% dip in April
- Over a broader timeframe, NLC India's share price delivered a 236% gain between March 2023 and January 2024
Main News: Q4FY25 Results Drive Rally
The sharp uptick in NLC India's share price comes after the company posted robust Q4FY25 earnings on Monday, post-market hours.
Here are the key highlights from the March quarter results:
Revenue
- Reported at ₹3,972 crore, slightly down from ₹4,034 crore in the previous quarter
EBITDA
- Stood at ₹997.26 crore
- Compared to ₹1,096.04 crore in Q4FY24
EBITDA Margins
- Recorded at 25.11% for Q4FY25
- Slightly lower than 27.17% in the preceding quarter
Net Profits
- Reported ₹468.46 crore in Q4FY25
- This marks a 311% YoY increase from ₹114 crore
- However, it is lower than the ₹696 crore recorded in Q3FY25
Company Details: Key Developments
Dividend Announcement
- The board has recommended a final dividend of 15%
- Equivalent to ₹1.50 per equity share for FY2024–25
- Subject to approval by C&AG and shareholders at the AGM
Joint Venture with RVUNL
- NLC India has approved a JV with Rajasthan Rajya Vidyut Utpadan Nigam Limited (RVUNL)
- Equity participation: 74:26 (NLC India: RVUNL)
- Purpose:
- Set up a 3x125 MW lignite-based thermal power plant
- Develop and operate lignite mines for fuel supply
- Subject to approvals from the Ministry of Coal and DIPAM
Summary
The latest Q4FY25 results have acted as a strong catalyst for the NLC India share price, rebounding impressively in May. While revenue and EBITDA margins saw a marginal dip, the 311% YoY profit surge has grabbed market attention. With a new thermal power JV and a final dividend announcement, investor sentiment around NLC India remains upbeat.
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