Adani Power

This Gujarat based Electricity producer and co owner of Mundra Ports is agreat value for money with two good cities under its belt in gujarat and one in Maharashtra. The smallish power company has just upped its Electricity units produced 5.5 times and utilities in India regulatorily enjoy a minimum profit of 12-16% on all its sales. The company sells 88% thru Power purchase agreements and the Merchant Power component is already pricing at Rs 4.5 and upward i.e. 11cents is toward the lower end and relalisations could cross $0.33 cents for each unit during the summer shortages. The Adani Power units sell to State owned boards, in this case, GUVNL who owns distribution and even that lower rate is an average INR 2.88 per unit a realisation of INR3.09 per unit may grow by 20% even in the coming quarter thought the management does not give any such guidance and even if they produce the 7.5 billion units they crossed this quarter, the team is looking at maintaining the 50% yoy growth it produced in December 2010 and now in March 2011. The third turbine added 330 MW for the company and units at 85% availability have moved from 1.2 million units per quarter to close to 2 million units per quarter of which offtake from GUVVNL is assured/mandated for 85% 

Mundra Ports

the private port operator finally overcame capacity restrictions on its new port facilities taking its annual income 36% higher to $500 million and Q4 profits 74% higher year on year to $84 mln, annual net profits with a great 50% margin to $244 mln (INR 917 crore on sales of INR 1938 Crores) the company also acquired 50 mtpa capacity this month from Aussie Abbott Port for $2.2 billion

India Results Season

Indian companies have been growing profits at 12% qoq as also sales despite the lower IIP and higher inflation and the report card ( for 732 companies as of today, check indiaearnings.com) is looking great

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