NTPC - March 2013 Results Preview - Motilal Oswal

- We expect NTPC to report PAT of INR25.6b (up 12% YoY), led by strong capacity commercialization, despite generation being muted YoY.

- Generation for Jan/Feb-2013 stood at 39.5BUs, flat YoY, due to a decline in generation in Feb-13. In Feb-13, NTPC saw a 5.4% generation decline due to substantial fall in gas-based generation by 47% YoY and 1% decline in coal-based generation. Coal-based PLFs for Jan/Feb-13 declined to 87.6%, v/s 91.9% YoY.

- In YTDFY13, NTPC's capacity addition stood at 4.1GW and it commercialized 4.8GW capacity. During the current quarter, it has already commercialized Mauda (500MW) and Vindhyachal (500MW).

- We estimate NTPC to report PAT of INR91.6b in FY13E (up 15% YoY) and INR112.8b in FY14E (up 23% YoY). Stock trades at reported P/E of 9x FY15E. Maintain Buy.

Source : Equity Bulls

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