EKI Energy Sevices, a supplier of carbon credits, announced its results for the nine months (9M) and the third quarter (Q3) ending December 31 for the financial year (FY) 2021-22.

The company registered total revenue of ₹13.25 billion (~$177.78 million) for the 9M period for FY 2021-22, compared to ₹1.91 billion (~$25.63 million) for the whole of FY 2021.

The company stated that the strong performance was supported by higher demand and pricing of carbon credits by growing regulations for carbon control and widening of the carbon credit demand-supply gap.

As per the financial statement released by the company, for 9M FY 2022, the earnings before interest, taxes, depreciation, and amortization (EBITDA) stood at ₹3.7 billion (~$49.65 million), compared to ₹250 million (~$3.35 million) for the full FY 2021.

For the third quarter (Q3) FY 2021-22, the revenue from operations stood at ₹6.88 billion (~$92.31 million). The company reported an EBITDA of ₹2.13 billion (~$28.58 million) with a margin of 31%, and the profit after tax stood at ₹1.61 billion (~$21.61 million) with a margin of 23.4% for Q3 FY 2022.

The company has nearly 1,000 carbon credit projects in its portfolio, consisting of solar, wind, hydropower, and other clean energy projects.

The company recently announced incorporating its new subsidiary-GHG Reduction Technologies, for the backward integration of carbon credit supply through its green cooking initiative. The company’s associate will oversee the implementation of this initiative to manufacture and distribute cooking stoves, while EKI Energy will manage the carbon credit consultancy.

The project aligns with multiple UN sustainable development goals including, climate action, reduction in firewood consumption, forest and biodiversity conservation, employment creation, and enhancement of indoor air quality inside homes, among other things.

The company has also joined hands with Shell Overseas Investments BV to launch a joint venture to reduce carbon emissions in India through nature-based solutions.

Last September, the Delhi Metro earned₹195 million (~$2.64 million) from selling 3.55 million carbon credits collected from 2012 to 2018. In 2007, Delhi Metro became the first Metro or Railway project registered by the United Nations under the Clean Development Mechanism, which enabled it to claim carbon credits for its regenerative braking project.

In its Q2 FY 2022 financial results, Azure Power, an independent solar power producer, disclosed an additional income from the sale of carbon credits of ₹408 million (~$5.5 million).