Reliance Energy net up 35% in FY08

Reliance Energy has posted a 35 per cent growth in profit after tax (PAT) at Rs 1,085 crore for the year ended March 31, 2008 (FY08), as compared with Rs 801.4 crore in FY07. Total income grew 14 per cent to Rs 7,501 crore, as against Rs 6,575 crore in FY07. In the fourth quarter ended March 31, the net profit grew 31 per cent to Rs 311 crore from Rs 237 crore in the corresponding period a year ago.

Aggregate sales of electricity stood at 9,292 million units in FY08, an increase of 6 per cent as compared with 8,766 million units in the previous year. Revenues from energy sales during FY08 stood at Rs 4,920 crore as against Rs 3,611 crore in 2006-07. During FY08, the customer base in the Mumbai increased by 0.13 million to 2.63 million. Its Dahanu Thermal Power Station achieved a plant load factor (PLF) of 101.5 per cent. The company gained about Rs 1 crore from its exposure to derivatives. The engineering, procurement and construction division has orders worth Rs 7,850 crore, an increase of 50 per cent over the previous year. The company has cash and cash equivalents of Rs 9,596 crore. Company has renamed itself Reliance Infrastructure.

We expect Reliance Infrastructure to perform well in the years ahead since it is currently executing infrastructure projects worth about Rs 16,000 crore in two years besides various Reliance Power projects. The company is developing two metro rail projects in Mumbai and Delhi, five road projects in Tamil Nadu, two SEZs and a business district in Hyderabad.