Feb 2 (Reuters) - India's Tata Power reported a 25.1% drop in quarterly net profit on Wednesday, hurt by a weakness in the thermal power segment due to the shutdown of a key plant.

The company's consolidated profit attributable to owners fell to 7.72 billion rupees ($85.36 million), compared with 10.31 billion a year ago. 

Revenue from operations fell 9.4% to 139.48 billion rupees. Revenue from the thermal and hydroelectric segment fell nearly 59%, while that of renewables and transmission businesses grew 78.3% and 8.8%, respectively.

For further earnings highlights, click here.

KEY CONTEXT

Power generation at Tata Power remained subdued in the third quarter, as its Mundra plant in Gujarat stayed non-operational after June 2025, according to analysts at Elara Securities. 

The company had reported a decline in profit in the second quarter, impacted by the shutdown after the Ministry of Power did not extend subsidies and reimbursement support for imported coal-based power plants.

India's overall power demand fell 0.4% in the third quarter, affected by unseasonal rains in October and lower temperatures, according to analysts at Nuvama.

The country's coal-fired electricity generation in October also fell at the fastest pace since June 2020, when the COVID-19 pandemic led to a nationwide lockdown, as overall power demand declined. Coal-fired electricity generation fell 5.8% in November.

PEER COMPARISON 

    Valuation Estimates Analysts'  

(next 12 (next 12 sentiment    

months)   months)  

  RIC PE EV/E Pr Rev Prof Mea # of Stock Div

BITD ic enu it n anal to yiel

A e/ e grow rat ysts price d

Sa gro th ing targe (%)

le wth * t**

s

Tata TTP 22. 11.0 NU 11. 15.0 Hol 20 0.87 0.63

Powe W.N 26 5 LL 86 4 d

r S

Comp

any

Ltd

Torr TOP 22. 10.4 NU 11. 3.35 Hol 11 0.97 1.43

ent O.N 67 6 LL 16 d

Powe S

r

Ltd

NTPC NTP 13. 9.02 NU 8.5 7.27 Buy 16 0.83 2.53

Ltd C.N 60 LL 6

S

CESC CES 11. 7.14 NU 8.0 7.67 Str 9 0.67 4.19

Ltd C.N 28 LL 7 ong

S Buy

* The mean of analyst ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell

** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT

OCTOBER TO DECEMBER STOCK PERFORMANCE

-- All data from LSEG

-- $1 = xx Indian rupees

($1 = 90.4430 Indian rupees)

(Reporting by Mridula Kumar; Editing by Harikrishnan Nair and Mrigank Dhaniwala)