OPG Power Ventures profit rises on historical contractual claims

Tue, 1st Dec 2020

Indian power plant developer OPG Power Ventures posted a 32% rise in first-half profit after it recovered historical contractual claims worth £9.6 million, offsetting a fall in revenue. Pre-tax profit for the six months through September increased to £12.8 million, up from £9.7 million year-on-year. Revenue more than halved to £36.1 million, down from £78.4 million, as total generation fell to 0.8 billion units, down from 1.4 billion units. The company said its average tariff was Rs5.60, down from 5.66, with the fall primarily due to Covid-19 discounts extended to the captive consumers. 'I am proud to say that OPG is coming out from the Covid-19 pandemic as a stronger and more resilient company,' chairman Arvind Gupta said. 'OPG delivered very strong cash generation during the reporting period, and OPG has continued deleveraging as part of its ongoing strategy.' 'Covid-19 and the lockdown had a severe impact on overall industrial activities in India.' 'However, the power demand has gradually increased during the first half of FY21 with OPG remaining profitable, cash generative and has met all its debt obligations.' At 9:14am: (LON:OPG) OPG Power Ventures PLC share price was 0p at 11.5p Story provided by StockMarketWire.com

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