Shares of SJVN Ltd dropped over 4% to ₹97.94 in early trade on May 30 after the state-owned power utility reported a surprising net loss for the March quarter (Q4 FY25). The stock opened weak following the announcement of disappointing bottom-line figures despite a marginal revenue increase.
SJVN posted a net loss of ₹127.7 crore for the quarter ended March 31, 2025, compared to a net profit of ₹61 crore in the corresponding period last year. This unexpected reversal in profitability weighed heavily on investor sentiment.
Revenue from operations, however, rose 4.5% to ₹504.4 crore from ₹482.9 crore a year ago. Operating performance remained nearly flat, with EBITDA inching up 0.4% to ₹240.8 crore from ₹239.8 crore in Q4 FY24. The EBITDA margin narrowed to 47.75% from 49.6% on a year-on-year basis.
Additionally, the board of directors has approved raising funds through securitisation of a portion of the future unencumbered free cash flows from its Nathpa Jhakri Hydro Power Station (NJHPS), the company said.
Despite the revenue growth and board’s financing strategy, the net loss triggered concerns around earnings stability, pushing the stock down in Thursday’s session.
Disclaimer: The information provided is for informational purposes only and should not be considered financial or investment advice. Stock market investments are subject to market risks. Always conduct your own research or consult a financial advisor before making investment decisions.
