Miniratna Stock Turns Rs 25,000 To Rs 1.2 Lakh Corpus In 62 Days: IREDA At New All-Time High On Strong Q3

Miniratna company, Indian Renewable Energy Development Agency (IREDA) has been on a super ride of bulls with back-to-back new all-time highs. On Saturday, IREDA shares climbed to hit a new lifetime high as it reported robust growth in Q3 earnings for FY24. IREDA shares are on a two-consecutive day winning streak, gaining by nearly 21% on BSE during this period.

On BSE, IREDA share price froze at 10% upper circuit to hit a new lifetime high of Rs 148.90 apiece on Saturday's trade. In the previous session, IREDA's share price climbed by 10% as well.

IREDA's share price has given extraordinary gains since listing in late November last year. The stock has further upside potential.

IREDA listed on November 29th at a premium of 56% to Rs 50 per share against its IPO issue price of Rs 32 per share. The energy company was listed as the first PSU IPO in the primary market in 2023. IREDA IPO opened on November 21st and closed on November 23rd. The public offer oversubscribed by 38.80 times.

From its IPO issue price, IREDA's share price has given an impressive 365.31% return as of now. If any investor bought the share price for Rs 25,000, their corpus value rises to a huge Rs 1,16,328 till date -- registering a return of Rs 91,328 on investment in 62 days.

On January 20, IREDA announced its audited financial results for the third quarter of the fiscal year 2023-24. The company reported a remarkable 67% increase, reaching a Profit After Tax (PAT) of Rs 335.54 crores for the quarter. This outstanding performance is attributed to the consistent growth in the Loan Book and a significant reduction in Net Non-Performing Assets (NPAs) from 2.03% to 1.52% year-on-year.

Pradip Kumar Das, Chairman & Managing Director of IREDA, expressed his happiness at the exceptional financial results following the company's listing.

He said, "IREDA is unwavering in its commitment to expedite the adoption of renewable energy solutions in the country. For investors and stakeholders, these results signal the promising trajectory of IREDA's contributions to India's energy transition and environmental sustainability. These encouraging financial outcomes underscore IR EDA's steadfast dedication to fostering the expansion of the renewable energy sector in India."

CMD, and IREDA attributed the company's growth to the trust and support of the stakeholders. He conveyed gratitude to R. K. Singh, Hon'ble Union Minister of Power, New & Renewable Energy; Bhagawanth Khuba, Hon'ble Minister of State, New & Renewable Energy and Chemicals & Fertilizers; Bhupinder Singh Bhalla, Secretary, MNRE and Board of Directors for their unwavering support and guidance, crucial in achieving IREDA's historic performance. Commending Team IREDA for their dedication and persistent efforts, he acknowledged their contribution to the outstanding financial results.

Key highlights of IREDA's Q3 on a year-on-year basis are:

- Profit After Tax: Rs 335.54 crores as against Rs 200.75 crores (up by 67.15%)

- Revenue from Operations: Rs 1,253.20 crores as against Rs 868.98 crores (up by 44.21%)

- Loan Book: Rs 50,579.67 crores as against Rs 37,887.69 crores (up by 33.50%)

- Net worth: Rs 8,134.56 crores as against ₹ 5,591 crores (up by 45.49%)

- Net NPA: 1.52% as against 2.03% (reduction by 25% in percentage terms)

- Gross NPA: 2.90% as against 4.24% (reduction by 31.70% in percentage terms)

- Earnings Per Share: Rs 1.38 as against Rs 0.87 (up by 57.33%).

IREDA is a Mini Ratna (Category - I) Government of India Enterprise under the administrative control of the Ministry of New and Renewable Energy (MNRE). IREDA is a Public Limited Government Company established as a Non-Banking Financial Institution in 1987 engaged in promoting, developing and extending financial assistance for setting up projects relating to new and renewable sources of energy and energy efficiency/conservation with the motto: "ENERGY FOR EVER"

IREDA is committed to maintaining its position as a leading organisation to provide innovative financing in Renewable Energy & Energy Efficiency/Conservation and Environmental Technologies through efficient systems & processes for providing total satisfaction and transparency to its customers.

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