Lalit Malik, CFO, Torrent Power, on Monday, explained that generation is their largest segment with renewables now seeing the most traction. He shared that their plan is to have 5 gigawatts (GW) of renewable energy in the next 3-4 years.

"As far as our components are concerned, our generation is one of the largest. Though distribution and transmission is growing, what we do expect is that our generation on the renewable side is going to get traction, going forward. Currently, we are around 1.5 gigawatt renewable, which we expect in the next 3-4 years to be around 5 gigawatt," he said.

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Torrent Power recently came out with its Q3 earnings. The company posted a nearly 15 percent rise in its consolidated net profit at Rs 369.45 crore in the December quarter. The company had reported a consolidated net profit of Rs 321.73 crore in the quarter ended December 31, 2020. Total income of the company rose to Rs 3,833.14 crore in the quarter under review from Rs 2,990.11 crore in the same period a year ago.

Shedding light on the company's margin, Malik said that they have been able to maintain it. He added that they are looking to reduce their expenditure and improve operational efficiencies.

"As far as our margins are concerned, we have been able to maintain our margin. Having said that, I think we have put control on reducing our expenditure and also operational efficiencies. So we do expect that we will be able to manage our margins also as we go forward," he explained.

Malik further mentioned that their debt-equity ratio is at 0.66. He said, "Now, our debt EBITDA is very healthy at less than one; it is around 0.66. Therefore, there is a opportunity for us to expand on capital expenditure by utilizing debt," he added.

Watch the video for the full interview.

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(With PTI inputs)

(Edited by : Dipikka Ghosh)

First Published:Feb 7, 2022 2:07 PM IST