Tata Power Q2 net profit rises 48.6% to ₹1,366 crore

Tata Power Company Limited (NSE: TATAPOWER) TATAPOWER posted consolidated net profit of ₹1,366 crore in Q2, up 48.6% from ₹919 crore a year ago. Revenue from operations rose 26.3% to ₹19,636 crore, but EBITDA margin fell 257 bps to 18.67%. What happened Operating EBITDA rose to ₹3,667 crore from ₹3,302 crore, a gain of ₹365 crore. Margin slipped from 21.24% to 18.67%. In the first half, the company spent ₹10,000 crore on capex against a full-year plan of ₹25,000 crore. Why it matters Net profit grew 48.6%, but EBITDA grew only about 11%. So the profit jump did not come from operations alone. The data I have does not show the split, so I would check finance costs, other income and tax in the full filing before treating this growth as repeatable. My view Revenue growth of 26.3% shows volumes are scaling. Margins are the weak spot, since revenue grew more than twice as fast as EBITDA. Capex is 40% done at the half-year mark, so ₹15,000 crore remains for H2. That is 1.5 times the H1 pace, and returns only arrive once projects are commissioned. I stay bullish over 3 to 12 months, but only if margins stop falling. What I am watching - H2 capex pace toward the ₹25,000 crore target. - Margin stabilisation in generation and distribution. - Commissioning dates for new renewable capacity.