Reliance Power shares soar 9% after firm returns to black in Q3

Meanwhile, the firm had already returned to profitability in Q2FY25, posting a profit of Rs 2,878.15 crore, driven by an exceptional gain of Rs 3,230.42 crore following the deconsolidation of a subsidiary.

Revenue from operations declined 4.6% to Rs 1,852 crore in Q3FY25, compared to Rs 1,943 crore in the year-ago period. Meanwhile, expenses fell 33% to Rs 2,109.56 crore, down from Rs 3,167.49 crore last year.

Reliance Power’s auditors highlighted material uncertainty regarding the financial position of a subsidiary, Rajasthan Sun Technique Energy (RSTEPL), which has defaulted on debt repayments and incurred sustained losses.

The management has maintained that the entity’s accounts have been prepared on a going concern basis, citing ongoing discussions with lenders for debt resolution. The company is also pursuing regulatory compensation related to foreign exchange rate variations and changes in direct normal irradiance (DNI).

Also Read: Stocks in news: ITC, SBI, Airtel, Swiggy, Azad Engineering“The group is confident it can meet its liabilities in the ordinary course of business and through the time-bound monetization of gas-based power plants and other subsidiary assets. Accordingly, the consolidated unaudited financial results of the group have been prepared on a going concern basis,” the auditor’s note stated.
Also Read: Stocks in news: ITC, SBI, Airtel, Swiggy, Azad Engineering

Reliance Power shares technical indicators

Technically, the stock’s relative strength index (RSI) is at 49.5. According to Trendlyne, an RSI below 30 is considered oversold, while above 70 indicates overbought conditions. Additionally, the MACD stands at -0.9, which is below its center line, signaling a bearish indicator.

The stock is trading below its 30-day, 50-day, and 100-day simple moving averages (SMAs), while trading above its 5-day, 10-day, 20-day, 150-day, and 200-day SMAs.

Also Read: Q3 results today: ITC, SBI, Airtel among 174 companies to announce earnings on Thursday

Reliance Power’s stock performance

On Wednesday, Reliance Power shares closed at Rs 39.9, down 0.05% on the BSE, while the benchmark Sensex declined by 0.4%. The stock has declined 11% year-to-date but gained 239% over the last two years. The company’s market capitalization stands at Rs 16,023 crore.

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