financial analysis of power sector

7/27/2019 financial analysis of power sector

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POWER SECTOR:MARKET RETURN

GROUP 03:

SAURABH GULHATI

SWAPNIL PADOLE

GOVINDA SINGHNIHAR KUMAR

SURAJ DONGARE


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COMPANIES ANALYZED

TATA POWER.

JSW ENERGY LTD.

NTPC LTD. NEYVELI LIGNITE.

ADANI POWER.


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Power Sector At a Glance

68.14

12.12

17.55

2.2

Distribution

Thermal

RES

Hydro

Nuclear


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Conceptual Overview

TATA Power

Company Ltd

Generation Transmission Distribution


5/32

Company Background

India's largest integrated private power

company

Generation from Thermal, Hydro and

Renewable sources of energy

Installed capacity of 8521 MW

First Company to complete Nations 1

st

UMPP TATA POWER Financials
http://localhost/var/www/apps/conversion/tmp/scratch_4/Financial%20Analysis%20TATAPOWER.xlsxhttp://localhost/var/www/apps/conversion/tmp/scratch_4/Financial%20Analysis%20TATAPOWER.xlsx


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ROE/RONW (%)

8.00

8.50

9.00

9.50

10.00

10.50

11.00

11.50

March,13 March,12 March,11

ROE (%)

ROE (%)

-

2,000.00

4,000.00

6,000.00

8,000.00

10,000.00

12,000.00


PAT

N.W.

AVERAGE 9.07%

ROE (%) 9.28 11.01 9.38

(PAT / N.W.)

PAT 1,024.69 1,169.73 941.49

N.W. 11,040.79 10,626.15 10,038.74


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P/E Ratio

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00


P/E Ratio

P/E Ratio

0.00

20.00

40.00

60.00

80.00

100.00

120.00

140.00

160.00


MPS (closing price

of March)

EPS

AVERAGE 18.30

P/E Ratio 25.56 17.70 34.34

(MPS / EPS)

MPS (closing price of March) 110.35 87.25 136.25

EPS 4.32 4.93 3.97


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Book Value per share (in Rs)

40.00

41.00

42.00

43.00

44.00

45.00

46.00

47.00


Book Value per share


Book Value per share 46.52 44.78 42.30

(NW / N)

Net Worth 11,040.79 10,626.15 10,038.74

No. of shares (in cr.) 237.31 237.31 237.31


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Market Capitalization(Rs. in Cr.)

0

5,000

10,000

15,000

20,000

25,000

30,000

35,000


Market capitalisation (Rs. in cr.)

Market capitalisation (Rs. in cr.)

Market capitalisation (Rs. in cr.) 26,187 20,705 32,333

MPS 110.35 87.25 136.25

No. of shares (in cr.) 237.31 237.31 237.31


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JSW ENERGY LTD.

Incorporated in 1994 as a JV between JSW SteelLtd. & Tractebel.

Tractebel sold its holding to JSW Group on 17 Jan,

2002 renamed to Jindal Thermal Power Co. Ltd. Renamed to JSW Energy Ltd. on 7th Dec, 2005.

Stands 6th in the Power Generation/Distributionsector in terms of sales turnover.

Has a presence in both the International andDomestic market through 24 subsidiaries.


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RETURN ON EQUITY

0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

2010-112011-12

2012-13

2010-11 2011-12 2012-13

ROE 14.70% 3.81% 14.66%

2010-11 2011-12 2012-13

PAT 885.61 234.64 993.03

Net Worth 6025.39 6158.72 6773.24

-

1,000.00

2,000.00

3,000.00

4,000.00

5,000.00

6,000.00

7,000.00

8,000.00

AVERAGE 9.07%


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PRICE-EARNING RATIO

-

5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

2010-112011-12

2012-13

2010-11 2011-12 2012-13

P/E Ratio 13.28 42.81 9.03

2010-11 2011-12 2012-13

EPS 5.40 1.43 6.05

MPS 71.70 61.25 54.65

-

10.00

20.00

30.00

40.00

50.00

60.00

70.00

80.00

AVERAGE 18.30


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BOOK VALUE PER SHARE

34.00

35.00

36.00

37.00

38.00

39.00

40.00

41.00

42.00

2010-112011-12

2012-13

2010-11 2011-12 2012-13

Book Value Per Share 36.74 37.55 41.302010-11 2011-12 2012-13

Net Worth 6025.39 6158.72 6773.24

5600

5800

6000

6200

6400

6600

6800

7000

Rs.

Crore


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MARKET CAPITALIZATION

-

2,000.00

4,000.00

6,000.00

8,000.00

10,000.00

12,000.00

14,000.00

2010-11 2011-12 2012-13

Market Cap


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NTPC Ltd

A Maharatna company, Listed in BSE.

The largest state-owned power generation

company in India with a power generating

capacity of 41,184 MW.

It was listed in Forbes Global 2000 for 2012,

ranked at 337th in the world.

Government of India holds 84.5% of its equity.

Although it has 19% of total national capacity, it

contributes 29% of total power generation.


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Profit After Tax (Rs. ,in crore)

0

10000

20000

30000

40000

50000

60000

70000

80000

90000

2013 2012 2011 2010 2009

Total income

PAT

Significant increase in PAT, due

to significant increase in the

Total income.


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0.00%

2.00%

4.00%

6.00%

8.00%

10.00%

12.00%

14.00%

16.00%

2013 2012 2011 2010 2009

RONW

RONW

0

2

4

6

8

10

12

14

16

2013 2012 2011 2010 2009

EPS

EPS

Which is why the ROE(percentage) value

shows a steep rise as

compared to previous

years. The Earning per share

(EPS) (in Rs.) has also

grown more than it did

in the past years.

AVERAGE 9.07%


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Book value per share (in Rs.)

0

10

20

30

40

50

60

70

80

90

100

2013 2012 2011 2010 2009

Book value per share

Book value per share

0

10000

20000

30000

40000

50000

60000

70000

80000

90000

2013 2012 2011 2010 2009

Net worth(Rs., in crore)

Net worth


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Market Capitalization (Rs., in crores)

0

20000

40000

60000

80000

100000

120000

140000

160000

180000

2013 2012 2011 2010 2009

Mkt. Cap.

Mkt. Cap.


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0

2

4

6

8

10

12

14

16

18

20

2013 2012 2011

Price-earning ratio

Price-earning ratio

0

50

100

150

200

250

2013 2012 2011

Market price per share (Rs.)

Market price per share

0

2

4

6

8

10

12

14

16

2013 2012 2011 2010 2009

EPS(Rs.)

EPS

AVERAGE 18.30


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Neyveli Lignite Corporation

Neyveli Lignite Corporation Limited was founded in 1956 and is basedin Neyveli, India.

Engages in the mining and production of lignite in India.

Sells its lignite to small scale industries for using as fuel in their

production activities.

Involved in the generation of thermal power through its thermal

power stations

3 thermal power stations with a total installed capacity of 2490 mega

watts at Neyveli

1 thermal power station with an installed capacity of 250 mega watts

at Barsingsar, Rajasthan.


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Book Value

Mar-13 Mar-12 Mar-11 Mar-10 Mar-09

77.2 71.76 66.61 61.54 56.44

0

10

20

30

40

50

60

70

80

Jan-09 Jan-10 Jan-11 Jan-12 Jan-13

Book Value (Rs)

Book Value (Rs)

0

2000

4000

6000

8000

10000

12000

14000

Networth

Networth


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Price Earning Ratio


8.01 10.77 14.10 20.40 18.41

0.00

5.00

10.00

15.00

20.00

25.00

PE ratio

PE ratio

0

5000

10000

15000

20000

25000

30000


PAT

Market Capitalisation

AVERAGE 18.30


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Market Capitalization


11056.11 Cr 14386.36 Cr 17439.8 Cr 24301.63 Cr 14050.82 Cr

0

5000

10000

15000

20000

25000


M-Cap

M-Cap


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ROE


11.27 % 11.72 % 11.62 % 12.08 % 8.67 %

0

2

4

6

8

10

12

14


ROE

ROE

0

2000

4000

6000

8000

10000

12000

14000


PAT

Networth

AVERAGE 9.07%


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Business arm of Indian business Conglomerate Adani Group

Initially a Pvt Ltd. Company but converted into a public limited

company on 12 April 2007

India's largest thermal private power producer with capacity of

5280 MW

Largest solar power producer of India with capacity 40MW


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-53.45

-4.88

8.162.94

-60.00

-50.00

-40.00

-30.00

-20.00

-10.00

0.00

10.00

20.00

March,13 March,12 March,11 March,10

ROE (%)

ROE (%) -53.45 -4.88 8.16 2.94(PAT / N.W.)PAT -2,295 -295 513 170

N.W. 4,293

6,041

6,287

5,778

AVERAGE 9.07%


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-4.24

-50.50

47.92

141.22

-100.00

-50.00

0.00

50.00

100.00

150.00

200.00


P/E Ratio

P/E Ratio -4.24 -50.50 47.92 141.22

(MPS / EPS)

MPS (closing price of March) 41 68 113 116

EPS -9.59 -1.35 2.35 0.82

AVERAGE 18.30


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17.94

27.7128.84 27.91

0.00

5.00

10.00

15.00

20.00

25.00

30.00

35.00



Book Value per share 17.94 27.71 28.84 27.91(NW / N)Net Worth 4,293 6,041 6,287 5,778N 239 218 218 207


30/32

9,728

14,890

24,591 24,007

0

5,000

10,000

15,000

20,000

25,000

30,000


Market Capitalisation (Rs. in cr.)

Market Capitalisation (Rs. in cr.) 9,728 14,890 24,591 24,007

MPS 41 68 113 116

No. of shares (in cr.)

239

218

218

207


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-0.94

1.47

4.11

1.28

-2.00

-1.00

0.00

1.00

2.00

3.00

4.00

5.00


ROI / ROCE (%)

ROI / ROCE (%) -0.94 1.47 4.11 1.28(EBIT / C.E.)EBIT -354 540 1,049 208C.E. 37,827 36,665 25,548 16,349


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THANK YOU!!!

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financial analysis of power sector