IEX Q3 Net Profit Soars by 19%, Dividend 1 per Share

By -

Indian Energy Exchange Q3 Net Profit Soars by 19%: A Detailed Analysis


The blog post provides a detailed analysis of the Indian Energy Exchange's Q3 FY24 performance. It highlights the significant rise in net profit, the increase in total income, and the interim dividend declared. The post also discusses the trading volumes in the conventional and green market segments, the dynamics of the collective auctions, and the performance of the gas market. The analysis concludes with a positive outlook for the future.





The Indian Energy Exchange (IEX) has reported a significant rise in its consolidated net profit for the third quarter of the fiscal year 2024. The net profit saw an on-year increase of nearly 19%, amounting to Rs 91.80 crore, backed by higher revenues.

{jistoc} $title={Table of Contents}

Financial Highlights


In the quarter ending December 31, 2023, IEX's consolidated net profit stood at Rs 77.21 crore. The total income for the same period witnessed a substantial rise, increasing from Rs 117.34 crore a year ago to Rs 141.21 crore.

The board of directors, in their meeting held on Thursday, declared an interim dividend of Rs one per share (on equity share of par value of Re 1 each) for FY 2023-24.

Trading Volume and Market Segments


During the quarter, IEX recorded a trading volume of 28.3 billion units (BU), marking a growth of 16.8% YoY. This volume includes 25.9 BU from the conventional power market segment and 0.4 BU from the green market segment. The Exchange also traded 20.3 lakh certificates during the quarter.

On a standalone basis, the PAT (net profit) for Q3 FY24 saw a YoY increase of 25.5%, rising from Rs 71.2 crore in Q3 FY23 to Rs 89.3 crore in Q3 FY24.

Market Dynamics


The sell bids in collective auctions increased by 25% YoY in November 2023 and 18% YoY in December 2023, leading to an easing of prices on the exchange. The average market clearing price in the DAM (day-ahead market) segment was Rs 5/unit, compared to Rs 5.80/unit in Q2 FY'24.

Increased electricity consumption, coupled with easing supply-side constraints, led to an increase in the volumes of electricity traded on the Exchange.

Gas Market Performance


On the gas market front, the Indian Gas Exchange (IGX), an arm of IEX, traded total volumes of 84 lakh MMBtu during Q3FY '24, a decline of 65% over the same quarter last fiscal, due to large variations between demand and supply of gas.

On a nine-months basis, IGX volumes were down 7% in April-December FY'24, as compared to April-December FY'23. However, the Profit after tax (net profit) for IGX increased 14% YoY from Rs 16.3 crore in 9M FY'23, to Rs 18.6 crore in the corresponding period a year ago.

As gas prices continue their downtrend trend, volumes at IGX are expected to pick up going forward.

Conclusion


The impressive financial performance of IEX in Q3 FY24, marked by a significant rise in net profit and total income, reflects the robust growth potential of India's energy market. The increase in trading volumes and the easing of prices on the exchange further underscore the dynamic nature of the energy market. As the demand for energy continues to grow, IEX is well-positioned to capitalize on these opportunities and drive sustainable growth.

Keywords: Indian Energy Exchange, IEX, Q3 FY24, net profit, consolidated net profit, total income, interim dividend, trading volume, conventional power market, green market, collective auctions, day-ahead market, Indian Gas Exchange, IGX, gas market, demand and supply of gas, downtrend trend.

Comments

Post a Comment

Popular posts from this blog

Deccan Gold Mines Up 150% in a Year, Makes Major Lithium Move in Mozambique

By -
Image
The country's only listed gold exploration and mining company Deccan Gold Mines Limited (DGML) acquired majority stake in 5 lithium blocks in Mozambique, Africa  Deccan Gold Mines Limited (DGML), India's sole listed gold exploration and mining company, has recently made a significant move that has caught the attention of investors worldwide. The company has acquired a majority stake in five lithium blocks in Mozambique, Africa, positioning itself within the globally recognized Alto Ligonha pegmatite belt, known for its abundant reserves of lithium-cesium-tantalum (LCT) pegmatites. {jistoc} $title={Table of Contents} A Strategic Acquisition This acquisition is crucial for the mining of lithium, tantalum, and beryllium. The critical mineral concession block has been procured through Deccan Gold FZCO, a wholly-owned subsidiary of DGML. DGFZCO will hold a majority ownership stake of 51% in DGMOZ, with the potential for this ownership to increase to 70% in the near...
Read more

Small Cap Gem: Sakuma Exports Doubles in 2024, Bonus Share Proposal on July 1st?

By -
Image
Sakuma Exports: A Smallcap Stock with Big Returns in 2024 In the world of stock trading, smallcap stocks often go unnoticed. However, one such stock has been making waves in the Indian stock market - Sakuma Exports Ltd. This company, engaged in the buying, processing, marketing, exporting, and importing of agricultural products, has seen its share price double in the calendar year 2024. {jistoc} $title={Table of Contents} A Stellar Performance As of Thursday, June 20, the Sakuma Exports stock price has recorded a nearly 100% year-to-date gain , hitting the day’s high of ₹37.86 apiece on the NSE. This impressive performance is not a sudden phenomenon but the result of a strong run over the past couple of months. The company's shares have been on a steady upward trajectory, reflecting the positive sentiment among investors. The surge in the stock price is a testament to the company's robust business model and its ability to deliver consistent growth. Bonus Issue ...
Read more

Simple Investing: It's Not Rocket Science (But It Takes More Than Luck)

By -
Image
Successful Investing: Simple, But Not Easy Disclaimer:  This blog post is for informational purposes only and should not be taken as financial advice. Always do your own research and consider seeking advice from a certified financial advisor before making any investment decisions. {jistoc} $title={Table of Contents} The Myth of Easy Wealth The bull market of the 1990s created a myth that the stock market was essentially a high-return savings account. This belief was fueled by the ease of access to financial information and the ability to trade stocks online. However, as many investors discovered when the bubble burst, if something looks too good to be true, it usually is. Investing requires more than just opening an online account and watching financial news. It requires a deep understanding of the market, the ability to analyze and interpret financial data, and the discipline to stick to your investment strategy even when the market is volatile. It also requires...
Read more