Motilal Oswal: NHPC Q1 Review - Impact Of Rebate Flowing Through

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Motilal Oswal Report.NHPC Ltd.’s Q1 FY21 results highlight the impact of Rs 1.85 billion rebate to distribution companies.Accordingly, reported standalone profit after tax dropped 18% YoY to Rs 7.2 billion (in-line).Capex run-rate should increase on account of investment in new projects.However, their commissioning remains four to five years away, which implies a drag in free cash flow/return on equities in the near-term.Management commentary highlights –NHPC expects to incur capex of Rs 53 billion in FY21. Further, it expects capex in FY22/FY23 to rise to Rs 76 billion/Rs 81 billion at the group level.It has maintained its commissioning timelines for Subansiri and expects it to be completed by FY24.NHPC is also planning to complete the linkage of nala work by October 2020, thereby increasing discharge of water for Parbati-II..Click on the attachment to read the full report:.DISCLAIMERThis report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the brokerage and do not represent the views of BloombergQuint. .Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Motilal Oswal: NHPC Q1 Review - Impact Of Rebate Flowing Through

Motilal Oswal: NHPC Q1 Review - Impact Of Rebate Flowing Through

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