Shares of Reliance Power hit the lower circuit on November 13, falling by 5% to ₹36.46 following the release of its Q2 FY25 results. Despite a sharp rise in profit due to an exceptional gain, the company’s revenue showed a decline, raising concerns among investors.
Reliance Power’s Q2 FY25 revenue declined by 13.6% year-on-year to ₹1,759.81 crore. While profit surged to ₹2,878.15 crore due to an exceptional gain of ₹3,230.42 crore, the core revenue performance failed to meet market expectations, putting pressure on the stock.
The market reaction underscores investor focus on the company’s operational performance, as the exceptional item, while boosting profits, may not be reflective of sustainable growth. The stock’s 5% decline highlights concerns over the weaker revenue performance.
Data as on 10:07AM, on November 13, 2024.
Disclaimer: This article is for informational purposes only and should not be considered as financial advice. Please consult a financial advisor before making any investment decisions.
