4 Mar 2024
Shares of SJVN Ltd. jumped 2.5% on the morning of March 4th after their subsidiary, SJVN Green Energy Ltd. (SGEL), secured a massive 200 MW solar project in Gujarat.
Here's the solar scoop:
SGEL bagged the project through a tariff-based competitive bidding process for the development of solar projects in Gujarat's 1,125 MW Gujarat State Electricity Corporation Ltd (GSECL) Solar Park.
The project, with a tentative cost of ₹ 1,100 crore, will be developed, owned, and operated by SGEL on a build-own-operate (BOO) basis.
SJVN Chairman and Managing Director, Geeta Kapur, expects the project to generate 504 million units in its first year and a cumulative 11,732 million units over 25 years.
The project is expected to be commissioned within 18 months from signing the 25-year power purchase agreement (PPA) with GUVNL.
Market Movements and Company Performance:
At the time of writing, SJVN's stock price is ₹ 122.65 on the National Stock Exchange, up 1.4% from the previous day's close.
While SJVN's stock has gained over 86% in the past six months, it has seen a drop of over 18% in the last month.
The company's net profit for the quarter ending December 2023 fell to ₹ 135.34 crore compared to ₹ 441.35 crore in the September quarter. Similarly, net sales declined to ₹ 536.55 crore from ₹ 870.74 crore during the same period.
This significant project win by SGEL is a positive development for SJVN and reinforces its commitment to clean energy solutions. While the company's recent financial performance has been mixed, the future prospects seem bright as they continue to expand their renewable energy portfolio.
Disclaimer: The information provided in this article is for informational purposes only and should not be considered financial advice. Please consult with a certified financial professional before making any investment decisions.