OPG Power Ventures PLC - private sector power projects in India - Reports lower pretax profit for year that ended March 31 of GBP13.0 million, down 40% from GBP21.6 million a year before. Cites higher coal prices in the second half, aggravated by Russia's war against Ukraine. Revenue for the period falls by 15% to GBP80.1 million from GBP93.8 million. Has no operating income classified as "other", versus GBP9.4 million a year ago.
"The unanticipated rise in demand for electricity with pickup in economic activities was not met by proportional growth in coal supplies, also in part due to sharp jump in global coal price, resulting in severe coal shortages," firm adds.
Declares no dividend, unchanged from a year prior.
Looking ahead, Chair Narayanan Kumar states: "While challenges to the economy will continue in financial year 2023, the group has strong foundations, allowing us both to manage the ongoing Covid-19 situation and to pursue growth sustainably. The group's medium and long-term fundamentals remain unchanged. We have strong cash flows which will enable OPG to continue to reduce and deliver our long-term profitable business model of responsible growth and sustainable returns to shareholders. We will also continue to focus on advancing our environmental, social and corporate governance agenda.
Current stock price: 7.08 pence
12-month change: down 44%
By Tom Budszus; tombudszus@alliancenews.com
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Opg Power (OPG)