Tata Power’s Revenue from Rooftop Solar Business Doubles in Q4

Its revenue from renewables business in FY23 increased by 9% YoY


Tata Power’s profit after tax (PAT) rose 48% year-on-year (YoY) to ₹9.39 billion (~$115 million) for the fourth quarter (Q4) of the financial year (FY) 2022-23, mainly driven by higher sales across distribution companies (DISCOMs) and higher renewable capacity addition.

The company posted a growth of 6% YoY in revenue, which came in at ₹128 billion (~$1.5 billion) during the quarter.

The company’s Earnings Before Interest, Tax, Depreciation, and Amortization (EBITDA) increased by 38% YoY to ₹31 billion (~$380 million).

The independent power producer attributed higher renewable capacity addition and execution of engineering, procurement, and construction projects to the growth in EBITDA from January to March.

Tata Power’s revenue from the rooftop solar business doubled to ₹11 billion (~$135 million) during the January-March quarter.

The company won 398 MW of orders for installing rooftop solar during the quarter. Commercial and industrial customers accounted for 96% of the installations.

In March, Tata Power Solar Systems (TPSSL), a wholly-owned subsidiary of Tata Power, was awarded an EPC contract for a 300 MW solar project by NLC India.

Also, during Q4, Tata Power Renewable Energy (TPREL) signed a power purchase agreement with Tata Power Delhi Distribution to supply 510 MW of wind-solar hybrid power.

TPREL emerged as the winner for developing the project through a competitive bidding process.

Recently, Asian Development Bank announced an investment in non-convertible debentures worth ₹1.5 billion (~$18.2 million) issued by Tata Power Delhi. The bank will partially fund a 10 MWh pilot project of battery energy storage systems with a $2 million grant.

In March, TPREL approved the allotment of 200 million compulsorily convertible preference shares to GreenForest New Energies. The shares have a face value of ₹100 (~$1.2), amounting to ₹20 billion (~$242.4 million).

Tata Power Solar Systems deployed more than 98,000 solar pumps across the country, up from 27,500 pumps installed in the same quarter a year ago.

Full Year

The company’s total revenue for FY 2023 stood at ₹560.3 billion (~$7 billion), up by 32% YoY.

The company said that higher sales across DISCOMs and robust renewable capacity addition fuelled the revenue for the year.

The company’s revenue from renewables business increased by 9% YoY to ₹82 billion (~$1 billion) for FY 2023. The renewables PAT increased to ₹7.3 billion (~$89 million) from ₹6.85 billion (~$84 million) a year ago.

The company posted a YoY increase of 77% in PAT at ₹38 billion (~$467 million) for FY23 on the back of improved performance across its businesses.

Tata Power’s CEO and Managing Director Praveer Sinha said, “Our renewable business has expanded significantly across EPC, utility-scale, and rooftop verticals and is well poised to lead India’s green energy transition. The completion of a $20 billion (~$242.4 million) capital infusion into our renewables business, one of the biggest value unlocks in renewable business globally, will enable us to fuel the next leg of growth.”

Tata Power reported a 91% YoY jump in net profit to ₹10.52 billion (~$127.6 million) for the third quarter of FY 2023.


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