Powering Ahead: Torrent Power’s Unexpected Q4 Profit Explosion
Investors love surprises — and Torrent Power just delivered one.
In a market where most utility players are grinding through margin pressures and regulatory headwinds, Torrent Power turned heads with a 146% YoY jump in Q4 net profit, reaching over ₹1,059 crore.
Torrent Power Q4 FY25 at a Glance
| Metric | Q4 FY25 | Q4 FY24 | Change |
| Net Profit | ₹1,059.6 Cr | ₹430.2 Cr | 🔼 146.3% |
| Revenue | ₹6,456.3 Cr | ₹6,529 Cr | 🔽 1.1% |
| EBITDA | ₹1,130.4 Cr | ₹1,109.2 Cr | 🔼 1.9% |
| EBITDA Margin | 17.5% | 17% | 🔼 53 bps |
| Total Comprehensive Income | ₹1,085 Cr | ₹448 Cr | 🔼 142% |
What’s Really Driving the Profit Spike?
It wasn’t magic. A few key levers played into Torrent’s performance:
1. Tax Windfall
- A one-time reversal of deferred tax liabilities worth ₹637 crore.
- That alone turbocharged the bottom line.
2. Strategic Investment Moves
- Gains from the sale of non-current investments added more firepower to earnings.
3. Disciplined Cost Control
- Despite top-line weakness, Torrent kept costs in check and grew EBITDA by nearly 2%.
Dividend Bonanza: ₹19 per Share for FY25
Torrent Power isn’t just rewarding investors with numbers — it’s paying them in cash.
Dividend Breakdown:
- Final Dividend: ₹5 per equity share
- Interim Dividend (already paid): ₹14 per share
- Total for FY25: ₹19 per share
(That’s a 190% return on face value!)
If approved at the AGM, the final dividend will be credited on or before September 4, 2025, post-tax deduction.
Stock Performance: A Quiet Wealth Creator
Torrent Power isn’t a flashy stock — but it’s a consistent compounding machine.
Returns Snapshot:
- 2-Year Gain: 172%
- 3-Year Gain: 236%
- 5-Year Gain: 378%
Even after a dip post-result (currently trading at ₹1,434), the long-term trajectory is intact.
“If you’re hunting for silent multi-baggers — Torrent might just be your dark horse.”
Expert Take: This Isn’t Just Luck — It’s Strategy
While many might write off Torrent’s Q4 jump as a “tax fluke,” smart investors know this:
“A tax reversal might be a one-time event — but efficient capital allocation and shareholder focus are a pattern.”
Torrent Power is quietly building a reputation as a lean, dividend-friendly, debt-disciplined energy player in a market craving stability.