IEX Q2 Results: Profit Rises 25%, Meets Analyst Estimates

Indian Energy Exchange Ltd.'s consolidated net profit rose in the second quarter of the current financial year, meeting analysts' estimates.

The company's bottom line rose 25% to Rs 108 crore in the quarter ended September, compared to Rs 87 crore clocked in the year-ago period, according to an exchange filing on Thursday. Analysts tracked by Bloomberg had a consensus estimate of Rs 110 crore.

IEX's revenue during the quarter under review rose 28% to Rs 139 crore from Rs 109 crore in the corresponding quarter of the previous fiscal, against the Bloomberg estimate of Rs 150 crore.

The earnings before interest, taxes, depreciation, and amortisation rose to Rs 120 crore, whereas the Ebitda margin expanded to 86% from 84.7%.

• Revenue up 28% to Rs 139 crore versus Rs 109 crore (Bloomberg Estimate: Rs 150 crore).

• Ebitda up 30% to Rs 120 crore versus Rs 92 crore (Bloomberg Estimate: Rs 141 crore).

• Margins expanded 130 basis points to 86% versus 84.7% (Bloomberg Estimate: 93.7%).

• Net profit up 25% to Rs 108 crore versus Rs 87 crore (Bloomberg Estimate: Rs 110 crore).

Electricity trading alone saw a 21% increase year-on-year, totalling 10,332 million units, as highlighted in the IEX statement released on Oct. 7, 2024.

The market for Renewable Energy Certificates witnessed remarkable growth, with volumes doubling to 1,031 million units compared to the previous year. However, the REC market experienced an all-time low price of Rs 110 per certificate during a trading session on Sept. 25, 2024.

The steady monsoon conditions in September contributed to a significant boost in hydro and wind power generation. This led to a substantial decline in prices in both the day-ahead market and real-time market, further driving up trading volumes throughout the month, according to IEX.

Shares of IEX closed 0.95% higher at Rs 184.42 apiece, as compared to a 0.15% decline in the benchmark NSE Nifty 50.