SJVN Share Price Slips 3.5% in Early Trade

Even though SJVN reported strong figures for the quarter ending in March 2024, its stock price fell by 3.5% in early trading on May 30. At 09:35 am IST, SJVN shares were priced at ₹134.65 on the BSE, a drop of ₹5.00 or 3.58%.

The company revealed a substantial increase in consolidated profit, more than doubling to ₹61.08 crore during the March quarter. This growth was mainly due to exceptional gains totaling ₹103.84 crore. In contrast, the company had reported a consolidated net profit of ₹17.21 crore in the same period last year.

SJVN experienced a minor decrease in total income for the quarter, falling to ₹573.23 crore from ₹582.78 crore in the corresponding period the previous year. Revenue from renewable energy sales contributed ₹106.8 crore during the financial year 2024, compared to ₹68 crore in the same quarter last year.

SJVN’s revenue decreased by 4.1% to ₹482.9 crore in Q4, compared to ₹503.8 crore in the fourth quarter of FY23. The EBITDA dropped by 22.4% to ₹239.7 crore in the March 2024 quarter, down from ₹309.9 crore in the same period the previous fiscal year. The company reported a net profit of ₹911.44 crore in FY24, compared to a profit of ₹1359.30 crore in FY23. However, revenue fell to ₹2579.37 crore in the last fiscal year, down from ₹2938.35 crore in FY23.

The board of the firm also recommended a final dividend of ₹0.65 per equity share in the last fiscal. 

“We would like to inform that the Board of Directors in the aforesaid meeting have recommended a final dividend of ₹0.65/- per equity share for the Financial Year 2023-24 subject to the approval of shareholders in the ensuing Annual General Meeting. The final dividend is in addition to the interim dividend of ₹1.15/- per equity share for the Financial Year 2023-24 declared in the month of February 2024,” said SJVN. 

During its meeting on May 29, the company's board of directors also approved the signing of a joint venture (JV) agreement with Indian Oil Corporation Limited (IOCL). This JV is intended for the development of green RTC/renewable projects and other new technology-based initiatives. Both SJVN and IOCL will each hold a 50% stake in the JV company. “The joint venture formation is subject to approval from the Ministry of Power, the NITI Aayog and the Department of Investment and Public Asset Management (DIPAM),” said SJVN. 

The establishment of the JV is contingent upon approvals from the Ministry of Power, NITI Aayog, the Department of Investment and Public Asset Management (DIPAM, Ministry of Finance), among others. In April 2024, SJVN also signed a Memorandum of Understanding (MoU) with the Indian Institute of Technology Patna (IIT Patna) to employ advanced geological models in SJVN's tunneling projects.

SJVN Limited (SJVN) is engaged in the generation and sale of hydroelectric power. The company is involved in the design, analysis, operation, planning, development, execution, and maintenance of hydroelectric power projects. Additionally, SJVN provides various construction and consultancy services related to hydro-power and the construction of road or railway tunnels.

In addition to hydroelectric power, SJVN generates solar, wind, and thermal power. The company operates hydroelectric power projects in Himachal Pradesh, Uttarakhand, Arunachal Pradesh, Nepal, and Bhutan. SJVN is headquartered in Shimla, Himachal Pradesh, India.