निवेशक

« Back STATEMENT OF AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED 31 MARCH 2019

Rupee Crore
Sl. No.ParticularsStandaloneConsolidated
Quarter ended 31.03.2019
(Unaudited)
Quarter ended 31.03.2018
(Unaudited)
Quarter ended 31.03.2018*
(Unaudited)
Year ended 31.03.2019
(Audited)
Year ended 31.03.2018*
(Audited)
Year ended 31.03.2019
(Audited)
Year ended 31.03.2018*
(Audited)
123456789
1Income
 (a)Revenue from operations21222.3924120.3623100.2690307.4383452.7095742.0388083.31
 (b)Other income1323.22187.65517.571872.131755.251795.311558.28
 Total income (a+b)22545.6124308.0123617.8392179.5685207.9597537.3489641.59
2Expenses
 (a)Fuel cost11990.6714511.8512569.6752493.7448315.4753833.7848992.80
 (b)Electricity purchased for trading709.58710.15528.632713.681313.515288.124323.49
 (c)Employee benefits expense1206.081146.371368.214779.894734.674907.594791.97
 (d)Finance costs 925.701277.001104.174716.743984.255260.854434.59
 (e)Depreciation, amortisation and
impairment expense
1504.752001.011934.817254.367098.867688.107459.93
 (f)Other expenses 2671.661172.092723.777548.637421.737603.037554.59
 Total expenses (a+b+c+d+e+f)19008.4420818.4720229.2679507.0472868.4984581.4777557.37
3Profit before tax, Regulatory deferral account balances and Share of net profit of joint ventures accounted for using equity method (1-2)3537.173489.543388.5712672.5212339.4612955.8712084.22
4Share of net profits of joint ventures
accounted for using equity method
     672.07445.05
5Profit before tax and Regulatory deferral
account balances (3+4)
3537.173489.543388.5712672.5212339.4613627.9412529.27
6Tax expense:       
 (a)Current tax (refer note 4)897.25785.82195.122849.121625.502916.311664.86
 (b)Deferred tax (refer Note 10 and 11(i))(8086.33)780.84793.74(5767.83)3631.64(6122.72)3988.08
 Total tax expense (a+b)(7189.08)1566.66988.86(2918.71)5257.14(3206.41)5652.94
7Profit   after   tax   before   Regulatory   deferral
account balances (5-6)
10726.251922.882399.7115591.237082.3216834.356876.33
8Net movement in Regulatory deferral account balances (net of tax) (refer Note 10 and 11(i))(6375.93)462.53525.88(3841.34)3260.85(4200.90)3625.17
9Profit for the year (7+8)4350.322385.412925.5911749.8910343.1712633.4510501.50
10Other comprehensive income/(expense)       
 (a)Items that will not be reclassified to profit or loss (net of tax)       
  (i)Net acturial gains/(losses) on
defined benefit plans
(192.68)2.5773.18(185.13)(7.28)(185.13)(7.28)
  (ii)Net  gains/(losses)  on  fair  value  of
equity instruments
(23.28)31.38(37.56)(16.74)(7.20)(16.74)(7.20)
  (iii)Share of other comprehensive
income  of  joint  ventures  accounted for under the equity method
     (1.07)(0.16)
 (b)Items that will be reclassified to profit
or loss (net of tax)
       
  Exchange  differences  on  translation
of foreign operations
     11.67(6.05)
 Other  comprehensive  income/(expense)  (net
of tax) (a+b)
(215.96)33.9535.62(201.87)(14.48)(191.27)(20.69)
11Total comprehensive income (9+10)4134.362419.362961.2111548.0210328.6912442.1810480.81
12Profit attributable to owners of the parent     12640.0210543.95
13Profit attributable to non-controlling interest     (6.57)(42.45)
14Other comprehensive income/(expense) attributable to owners of the parent     (191.27)(20.69)
15Other comprehensive income/(expense) attributable to non controlling interest     --
16Paid-up equity share capital (Face value of share Rupee10/- each)9894.568245.468245.469894.568245.469894.568245.46
17Paid-up debt capital$   127430.48115104.29145723.29123368.18
18Reserves excluding revaluation reserve as per balance sheet    97513.6193532.31100142.4395318.01
19Net worth**   106771.54101146.56109396.49102932.02
20Debenture redemption reserve   7902.437274.567902.437274.56
21Earnings   per   share   (of   Rupee10/-   each)   -   (not annualised)  (including  regulatory  deferral  account balances): Basic and Diluted (in Rupee) (Refer Note 14)4.402.412.9611.8810.4512.7710.66
22Earnings   per   share   (of   Rupee10/-   each)   -   (not annualised)  (excluding  regulatory  deferral  account balances): Basic and Diluted (in Rupee) (Refer Note 14)10.841.942.4315.767.1617.026.99
23Debt equity ratio   1.191.141.331.20
24Debt service coverage ratio (DSCR)   2.212.142.232.15
25Interest service coverage ratio (ISCR)   5.265.935.095.56

*Restated

$Comprises long term debts 
** Excluding fly ash utilization reserve and corporate social responsibility reserve 

See accompanying notes to the financial results.

STATEMENT OF ASSETS AND LIABILITIES

Rupee Crore
Sl.No.ParticularsStandaloneConsolidated
As at 31.03.2019
(Audited)
As at 31.03.2018*
(Audited)
As at 01.04.2017*
(Audited)
As at 31.03.2019
(Audited)
As at 31.03.2018*
(Audited)
As at 01.04.2017*
(Audited)
AASSETS
1Non-current assets
 (a) Property, plant and equipment125290.68119427.5797443.34137490.86127913.66102619.18
 (b) Capital work-in-progress90808.8978606.9181921.82106379.6682916.7488080.44
 (c) Intangible assets329.94331.60293.02330.50331.76293.12
 (d) Intangible assets under development397.80469.36434.63397.80469.36434.63
 (e) Investments in subsidiary and joint venture companies13054.029941.208134.63   
 (f) Investments accounted for using the equity method   8008.068769.337500.44
 (g) Financial assets      
    (i) Investments91.92106.28113.4891.92106.28113.48
    (ii) Trade receivables--35.59--35.59
    (iii) Loans544.38655.67530.59434.38454.67401.34
    (iv) Other financial assets1424.291632.861874.181302.701600.861358.32
 (h) Other non-current assets13269.3011547.7316852.5314043.9611789.9417107.95
 Sub-total - Non-current assets245211.22222719.18207633.81268479.84234352.60217944.49
2Current assets      
 (a) Inventories7988.026057.386504.818119.436140.296586.13
 (b) Financial assets      
    (i) Trade receivables8433.867577.978137.9210147.688812.198963.89
    (ii) Cash and cash equivalents24.3860.49157.12208.97383.11363.83
    (iii) Bank balances other than cash and cash equivalents2119.963917.892773.372573.354004.492937.63
    (iv) Loans305.79280.22236.92238.29238.43211.92
    (v) Other financial assets8331.847938.126053.328807.148424.036128.92
 (c) Other current assets15056.7010899.184557.3915403.8011267.134837.72
 Sub-total - Current assets42260.5536731.2528420.8545498.6639269.6730030.04
3Regulatory deferral account debit balances3406.008381.665450.673417.908739.405448.68
                                         TOTAL - ASSETS290877.77267832.09241505.33317396.40282361.67253423.21
BEQUITY AND LIABILITIES      
1Equity      
 (a) Equity share capital9894.568245.468245.469894.568245.468245.46
 (b) Other equity97513.6193532.3187985.77100142.4395318.0189592.56
 Total equity attributable to the owners of the parent107408.17101777.7796231.23110036.99103563.4797838.02
 Non controlling interest   664.83947.77803.26
 Sub-total - Total equity107408.17101777.7796231.23110701.82104511.2498641.28
2Liabilities      
(i)Non-current liabilities      
 (a) Financial liabilities      
 (i)   Borrowings119698.08108697.6097339.28137792.88116775.81104075.12
 (ii)  Trade payables      
    - Total outstanding dues of micro and small enterprises6.145.495.186.415.495.18
    - Total outstanding dues of creditors other than micro and
small enterprises
41.7617.827.9941.8017.827.99
 (iii) Other financial liabilities1314.292164.692247.131959.862187.312355.69
 (b) Provisions588.74480.90463.15589.09480.90463.15
 (c) Deferred tax liabilities (net)4200.1410047.166412.684199.7210401.636410.71
 (d) Other non-current liabilities--17.49--17.49
             Sub-total -  Non-current liabilities125849.42121413.66106492.90144589.76129868.96113335.33
(ii)Current liabilities      
 (a) Financial liabilities      
 (i) Borrowings15502.906500.323000.5615994.566680.383119.54
 (ii) Trade payables      
    - Total outstanding dues of micro and small enterprises353.41276.11186.65361.79282.96191.72
    - Total outstanding dues of creditors other than micro and
small enterprises
7197.535316.534689.438155.836424.595380.98
 (iii) Other financial liabilities24902.2721408.9819179.4027153.9722853.2820392.82
 (b) Other current liabilities684.34963.991081.16880.691156.991263.24
 (c) Provisions6840.368088.837964.927150.208251.788120.73
 (d) Current tax liabilities (net)--75.2032.72-81.40
                 Sub-total - Current liabilities55480.8142554.7636177.3259729.7645649.9838550.43
3Deferred revenue2139.372085.902121.142375.062331.492406.84
4Regulatory deferal account credit balances--482.74--489.33
                    TOTAL - EQUITY AND LIABILITIES290877.77267832.09241505.33317396.40282361.67253423.21

AUDITED SEGMENT-WISE REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER AND YEAR ENDED 31 MARCH 2019

Rupee Crore
Sl. No.ParticularsStandaloneConsolidated
Quarter ended 31.03.2019
(Unaudited)
Quarter ended 31.12.2018
(Unaudited)
Quarter ended 31.03.2018*
(Unaudited)
Year ended 31.03.2019
(Audited)
Year ended 31.03.2018*
(Audited)
Year ended 31.03.2019
(Audited)
Year ended 31.03.2018*
(Audited)
123456789
1Segment revenue
 - Generation21501.9123464.8222685.7888702.3882678.9491522.3484247.29
 - Less: Inter segment elimination     (1795.27)(1892.49)
       89727.0782354.80
 - Others904.56814.13679.963241.511625.177636.826662.10
 - Less: Inter segment elimination     (26.36)(50.61)
       7610.466611.49
 - Unallocated139.1429.06252.09235.67903.84199.81675.30
 Total22545.6124308.0123617.8392179.5685207.9597537.3489641.59
2Segment results (Profit before tax and interest)
- Generation(2519.83)5377.185674.4513724.8320509.2114071.4721186.43
 - Others165.4960.1384.79389.72157.64384.46252.79
 - Total(2354.34)5437.315759.2414114.5520666.8514455.9321439.22
 Less
 (i) Unallocated finance costs925.701277.001104.174716.743984.255260.854434.59
 (ii) Other unallocable expenditure net of unallocable income674.28293.39659.311621.76932.25823.17698.15
 Profit before tax (including regulatory deferral account balances)(3954.32)3866.923995.767776.0515750.358371.9116306.48
3Segment assets       
 - Generation163073.92170306.37155622.67163073.92155622.67177305.53165813.86
 - Others4661.175594.114952.264661.174952.266587.896715.19
 - Un-allocated123142.68116490.40107257.16123142.68107257.16133826.36110091.75
 - Less:Inter segment elimination     (323.38)(259.13)
 - Total290877.77292390.88267832.09290877.77267832.09317396.40282361.67
4Segment liabilities       
 - Generation15748.3114905.4314988.4015748.3114988.4018103.1217223.49
 - Others2869.852734.902546.002869.852546.004401.863955.62
 - Un-allocated164851.44167940.06148519.92164851.44148519.92185177.81157878.22
 - Less:Inter segment elimination     (323.38)(259.13)
 Total183469.60185580.39166054.32183469.60166054.32207359.41178798.20

*Restated

The operations of the company are mainly carried out within the country and therefore, there is no reportable geographical segment.

Notes:

1. The above results have been reviewed by the Audit Committee of the Board of Directors in their meeting held on 25 May 2019 and approved by the Board of Directors in the meeting held on the same day.

2. The subsidiary and joint venture companies considered in the consolidated financial results are as follows:

a)Subsidiary CompaniesOwnership (%)
1NTPC Electric Supply Company Ltd.100.00
2NTPC Vidyut Vyapar Nigam Ltd.100.00
3Kanti Bijlee Utpadan Nigam Ltd.100.00
4Nabinagar Power Generating Company Ltd. (previously Nabinagar Power Generating Company Private Ltd.)#100.00
5Bhartiya Rail Bijlee Company Ltd.74.00
6Patratu Vidyut Utpadan Nigam Ltd.74.00
b)Joint venture Companies
1Utility Powertech Ltd.50.00
2NTPC GE Power Services Private Ltd.*50.00
3NTPC SAIL Power Company Ltd.50.00
4NTPC Tamilnadu Energy Company Ltd.50.00
5Ratnagiri Gas and Power Private Ltd.25.51
6Aravali Power Company Private Ltd.50.00
7Meja Urja Nigam Private Ltd.50.00
8NTPC-BHEL Power Projects Private Ltd.*50.00
9National High Power Test Laboratory Private Ltd.*20.00
10Transformers and Electricals Kerala Ltd.*44.60
11Energy Efficiency Services Ltd.*36.36
12CIL NTPC Urja Private Ltd.*50.00
13Anushakti Vidhyut Nigam Ltd.*49.00
14Hindustan Urvarak and Rasayan Ltd.33.33
15Konkan LNG Private Ltd.*14.82
16Trincomalee Power Company Ltd.*50.00
17Bangladesh-India Friendship Power Company Private Ltd.*50.00
All the above Companies are incorporated in India except Company at Sl. No.16 and 17 which are incorporated in Srilanka and Bangladesh respectively.
* The financial  statements are un-audited and certifed by the management of respective companies and have been considered for consolidated financial statements of the Group. The figures appearing in their respective financial statements may change upon completion of their audit.

# Joint Venture Company till 28 June 2018 and Subsidiary w.e.f. 29 June 2018. 

3. a) The CERC notified the Tariff Regulations, 2014 in February 2014 (Regulations, 2014). The CERC has issued tariff orders for all the stations of the Company except five stations for the period 2014-19, under Regulations, 2014, and beneficiaries are billed based on such tariff orders issued by the CERC. For other stations, beneficiaries are billed in accordance with the principles given in the Regulations, 2014. The energy charges in respect of the coal based stations are provisionally billed based on the GCV of coal 'As received', measured at wagon top samples in respect of most of the stations barring a few on the grounds of safety issues, for the quantity supplied through conveyors/road and other difficulties. The amount provisionally billed  is  Rupee 88,278.09 crore (31 March 2018: Rupee 79,231.07 crore).

b) The Company filed a writ petition before the Hon'ble High Court of Delhi contesting certain provisions of the Regulations, 2014 including issue relating to the measurement of GCV. As per directions from the Hon'ble High Court on the issue of point of sampling for measurement of GCV of coal on ‘As received’ basis, CERC issued an order dated 25 January 2016 that samples for measurement of coal on ‘As received’ basis should be collected from wagon top at the generating stations. Consequent to this order , wagon top sampling for measurement of ‘As received’ GCV was implemented at NTPC Stations w.e.f 1 October 2016.  Thereafter the company approached the CERC with the difficulties being faced in implementation of said order through Petition No. 244/MP/2016 seeking inter-alia a margin in the GCV measured at wagon top.  This petition is pending in CERC. 

Pending disposal of the petition  by the CERC for the tariff period 2014-19, measurement of GCV of coal is being  done from wagon top samples in respect of most of the stations barring a few on the grounds of safety issues, for the quantity supplied through conveyors/ road and other difficulties.

The writ Petition filed in Hon’ble High Court of Delhi was withdrawn without prejudice to the rights and contentions of the Company in the above petition pending before the CERC for adjustments of loss of GCV relating the period 2014-19.  Subsequently, in the Tariff Regulation for the tariff period 2019-24, CERC has allowed a compensation of 85 kcal/kg on the Weighted Average GCV of coal ‘As received’ on account of compensation during storage at the generating stations.

Sales  have been provisionally recognized at Rupee 89,007.64 crore (31 March 2018:   79,683.50 crore) on the said basis.

c) Sales of the Company  include Rupee 0.02  crore  (31 March 2018: Rupee 210.33 crore) on account of income tax refundable to the beneficiaries as per Regulations, 2004. Sales  also include Rupee 82.68 crore (31 March 2018: Rupee 66.98 crore) on account of deferred tax materialized which is recoverable from beneficiaries as per Regulations, 2014.

d) Sales include (-) Rupee 2,775.82 crore (31 March 2018: Rupee 6.44 crore) pertaining to previous years recognized based on the orders issued by the CERC/Appellate Tribunal for Electricity (APTEL). This includes reversal of sales amounting to Rupee2,926.47 crore in respect of one of the stations, considering the directions issued by the CERC and subsequent developments as detailed in Note 3(e) below.

e). The commercial operation date (COD) of one of the stations of the Company declared by the Company as 14 November 2014 was challenged by one of its beneficiaries. CERC vide order dated 20 September 2017, directed to consider the COD of the said unit as 8 March 2016 in place of 14 November 2014. The CERC further directed that the revenue earned over and above fuel cost from sale of infirm power from 15 November 2014 to 7 March 2016, be adjusted in the capital cost of the said unit. The Company filed an appeal against this order in APTEL on  11 October 2017. Pending disposal of the appeal and considering the said order of the CERC, sales for the year 2017-18 was recognized as per CERC order and provision for tariff adjustment was made for the sales recognised till March 2017. On 25 January 2019, APTEL disposed off the Company’s appeal by upholding the said CERC order. Further, the Company’s appeal against the said CERC order has also been dismissed by the Hon’ble Supreme Court of India on 5 April 2019. Consequently, provision for tariff adjustment amounting to Rupee 276.69 crores, expenditure of Rupee 2,708.88 crore and  sales of Rupee 2,926.47  crore  for the period from 15 November 2014 to 31 March 2018 have been reversed and related adjustment have been carried out in the property, plant and equipment during the year. This has resulted in increase in profit for the year by Rupee 59.10 crore and reduction in PPE amounting to Rupee 499.37  crore.

4. Provision for current tax of the Company for the year includes tax related to earlier years amounting to (-) Rupee105.88 crore (31 March 2018 (-) Rupee 951.30 crore). 

5. During the year, one thermal unit of 800 MW at Kudgi w.e.f. 15 September 2018, one thermal unit of 250 MW at Bongaigaon w.e.f. 26 March 2019 and one thermal unit of 660 MW at Solapur w.e.f. 30 March 2019 of the company have been declared commercial. Further, pursuant to Memorandum of Understanding dated 15 May 2018 with Government of Bihar and Bihar Power Utilities, the Company has acquired Barauni thermal Power Station having 2 units 110 MW (R&M) and 2 units 250 MW (under construction).

6. The environmental clearance (“clearance”) granted by the Ministry of Environment and Forest, Government of India (MoEF) for one of the Company's project consisting of three units of 800 MW each, was challenged before the National Green Tribunal (NGT). The NGT disposed off the appeal, inter alia, directing that the order of clearance be remanded to the MoEF to pass an order granting or declining clearance to the project proponent afresh in accordance with the law and the judgement of the NGT and for referring the matter to the Expert Appraisal Committee ("Committee") for its re-scrutiny, which shall complete the process within six months from the date of NGT order. NGT also directed that the environmental clearance shall be kept in abeyance and the Company shall maintain status quo in relation to the project during the period of review by the Committee or till fresh order is passed by the MoEF, whichever is earlier. The Company filed an appeal challenging the NGT order before the Hon’ble Supreme Court of India which stayed the order of the NGT and the matter is sub-judice. All the three units of 800 MW each have since been declared commercial.  Aggregate cost incurred on the project upto 31 March 2019 is Rupee 15,598.80 crore (31 March 2018: Rupee 15,522.77 crore). Management is confident that the approval for the project shall be granted, hence no provision is considered necessary.

7. The Company is executing a hydro power project in the state of Uttrakhand, where all the clearances were accorded. A case was filed in Hon’ble Supreme Court of India after the natural disaster in Uttrakhand in June 2013 to review whether the various existing and ongoing hydro projects have contributed to environmental degradation. Hon’ble Supreme Court of India on 7 May 2014, ordered that no further construction shall be undertaken in the projects under consideration until further orders, which included the said hydro project of the Company. In the proceedings, Hon’ble Supreme Court is examining to allow few projects which have all clearances which includes the project of the Company where the work has been stopped. Aggregate cost incurred on the project up to 31 March 2019 is Rupee 163.33 crore (31 March 2018: Rupee 163.23 crore). Management is confident that the approval for proceeding with the project shall be granted, hence no provision is considered necessary.

8. Non-current assets - other financial assets includes Rupee 719.71 crore (31 March 2018: Rupee 680.11 crore) towards the cost incurred upto 31 March 2019 in respect of one of the hydro power projects of the Company, the construction of which has been discontinued on the advice of the Ministry of Power (MOP), GOI which includes Rupee413.40 crore (31 March 2018: Rupee 390.59 crore) in respect of arbitration awards challenged by the Company before Hon'ble High Court of Delhi. In the event the Hon'ble High Court grants relief to the Company, the amount would be adjusted against Current liabilities - Provisions. Management expects that the total cost incurred, anticipated expenditure on the safety and stabilisation measures, other recurring site expenses and interest costs as well as claims of  contractors/vendors for various packages for this project will be compensated in full by the GOI. Hence, no provision is considered necessary.

9. The Company had entered into an agreement for movement of coal through inland waterways for one of its stations. As per the agreement, the operator was to design, finance, build, operate and maintain the unloading and material handling infrastructure for 7 years after which it was to be transferred to the Company at Rupee 1/-. After commencement of the operations, the operator had raised several disputes, invoked arbitration and raised substantial claims on the Company.  An amount of Rupee356.31 crore (31 March 2018: Rupee158.50 crore) has been deposited till 31 March 2019 based on the interim arbitral award and subsequent directions of the Hon’ble Supreme Court of India.  During the year, the Arbitral Tribunal has awarded a claim of Rupee 1,891.09 crore plus applicable interest in favour of the operator vide their order dated 27 January 2019. The Company aggrieved by the arbitral award and considering a legal opinion obtained has filed an appeal before Hon'ble High Court of Delhi against the said arbitral award in its entirety. Considering the provisions of Ind AS 37 ‘Provisions, Contingent Liabilities and Contingent Assets’, Significant Accounting Policies of the Company and the principle of  conservatism, an amount of Rupee 394.07 crore has been estimated and provided for and an amount of Rupee1,875.73 crore has been disclosed as contingent liability, along with applicable interest.

10. During the year, the Company has recognised MAT credit available to the Company in future amounting to Rupee 8,257.38 crore (31 March 2018: Rupee Nil) as the same is likely to give future economic benefits in the form of availability of set off against future income tax liability. Out of the above, an amount of Rupee7,615.10 crore  (31 March 2018: Rupee Nil) has been recognized as payable to beneficiaries through regulatory deferral account balances.

11. In accordance with Ind AS 8 'Accounting Policies, Changes in Accounting Estimates and Errors' and Ind AS 1 ' Presentation of Financial Statements', the Group has retrospectively restated  its Balance Sheet as at 31 March 2018 and 1 April 2017 (beginning of the preceding period) and Statement of Profit and Loss for the year ended 31 March 2018 for the reasons as stated below.

(i) As per CERC Regulations, 2014, the power utilities of the Group are entitled to a fixed return on its investment, net of tax. Consequently, tax is a pass-through cost. A practice was followed by recognising an asset ('Deferred assets for Deferred tax liability') for the tax liability recognised in the financial statements which is recoverable from the beneficiaries. The Group used to offset deferred asset for deferred tax liability recognised with the deferred tax liabilities (Net) and income on account of deferred asset for deferred tax liability was also offset with the tax expense recognised in the Statement of Profit and Loss. 

During the year, based on an opinion pronounced by (EAC) of (ICAI), the Group has recognised Deferred asset for Deferred tax liability as a regulatory deferral account debit/credit balance in accordance with Ind AS 114, Regulatory Deferral Accounts. 
As a result, regulatory deferral account debit/credit balance has increased with a corresponding increase in Deferred tax liabilities (Net) as under:
As at 1 April 2017: Rupee 4,927.84 crore and Rupee4,925.85 crore on standalone and consolidated basis respectively.
As at 31 March 2018: Rupee 7,638.53 crore and  Rupee7,993.49 crore on standalone and consolidated basis respectively.

Further, for the year ended 31 March 2018,  'Net movement in regulatory deferral account balances' has increased by Rupee 2,707.85 crore crore and Rupee3,064.80 crore, on standalone and consolidated basis respectively, with a corresponding increase in deferred tax expense .

For the quarter ended 31 December 2018 and 31 March 2018, 'Net movement in regulatory deferral account balances' has increased by an amount of Rupee 772.53 crore and Rupee 226.19 crore respectively with a corresponding increase in deferred tax expense in the
standalone financial results.

(ii) The Company was capitalizing expenditure incurred under Rehabilitation and Resettlement (R&R) Schemes as cost of land. During the year, an opinion has been pronounced by Expert Advisory Committee (EAC) of Institute of Chartered Accountants of India (ICAI) stating that the R&R expenditure incurred for development activities associated with the project (not merely for acquisition of land) can be considered as directly attributable to the project. Accordingly, R&R expenditure incurred for development activities associated with the project capitalized as cost of land have been reviewed.  This has resulted in decrease in property,plant and equipment as at 31 March 2018 by Rupee1,293.04 crore (1 April 2017:Rupee1,619.36 crore) with corresponding increase in capital work-in progress to the same extent standalone and consolidated basis.

12. (i) During the year, the Company has voluntarily changed the accounting policy for ‘Development expenditure on coal mines’ considering the expected time for delivering sustainable operations by the coal mines. Consequently, one of the coal mines has been declared commercial w.e.f. 1 April 2019 instead of 7 December 2018. Due to the above change, impact on profit for the year is (-) Rupee24.70 crore

(ii) During the year, the Company has revised certain other accounting policies for improved disclosures. There is no impact on accounts due to these changes.

13. During the quarter, the Company has paid an interim dividend of Rupee 3.58 per equity share (par value Rupee 10/- each) for the Finanical year 2018-19. The Board of Directors has recommended final dividend of Rupee 2.50 per equity share (par value Rupee 10/- each). The total dividend (including interim dividend) for the financial year 2018-19 is Rupee 6.08 per equity share (par value Rupee 10/- each).

14. The Company has issued 164,90,92,880 equity shares of Rupee 10/- each as fully paid bonus shares during the year ended 31 March 2019 in the ratio of one equity share of Rupee 10/- each for every five equity shares held. This has been  considered for calculating weighted average number of equity shares for all comparative periods presented as per Ind AS 33. In line with the above, EPS (basic and diluted) have been adjusted for all periods presented.

15. The Company entered into a Memorandum of Understanding (MoU) with State Government of Bihar and its affiliate companies on 15 May 2018 for buy-out of equity of Bihar State Power Generation Company Limited (BSPGCL) in Kanti Bijlee Utpadan Nigam Limited
(KBUNL) and Nabinagar Power Generating Company Private Limited (NPGCL) and acquisition of Barauni Thermal Power Station (BTPS). Consequently, the Company bought the equity shares of BSPGCL in KBUNL and NPGCL for an amount of Rupee392.78 crore and
Rupee1,737.19 crore respectively. As a result, KBUNL and NPGCL became wholly-owned subsidiaries of the Company with effect from 29 June 2018. Further, pursuant to the same MoU, all assets and liabilities (including mining rights) of BTPS have been acquired for an
amount of Rupee2,145.33 crore by the Company with effect from 15 December 2018. The acquisition of NPGCL and BTPS has been accounted as per the provisions of Ind AS 103 - Business Combinations.

16. The Group has adopted Ind AS 115 - 'Revenue from Contracts with Customers' which is mandatory for reporting periods beginning on or after 1 April 2018, using the cumulative effect method and therefore the comparatives have not been restated and continues to be reported as per Ind AS 11 and Ind AS 18. On account of adoption of Ind AS 115, no cumulative adjustment was required as at 1 April 2018. Application of Ind AS 115 does not have any impact on the standalone financial results of the Company. However, adoption of Ind AS 115 has resulted in decline in both 'Revenue from operations' and 'Electricity purchased for trading' by Rupee1,046.39 crore for the year ended 31 March 2019 on consolidated basis.

17. Formula used for computation of coverage ratios DSCR  = Earning before Interest, Depreciation, Tax and Exceptional items /(Interest net of transfer to expenditure during construction + Scheduled principal repayment of the long term borrowings) and ISCR = Earning before Interest, Depreciation, Tax and Exceptional items/(Interest net of transfer to expenditure during construction).

18.  For all secured bonds issued by the Company, 100% security cover is maintained for outstanding bonds. The security has been created on property, plant and equipment through English/Equitable mortgage as well as hypothecation of movable assets of the Company.

19. Previous periods/year figures have been reclassified wherever considered necessary. 

20. Figures of last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the third quarter of the current financial year, post adjustments as detailed in Note 11. 

21. The audited accounts are subject to review by the Comptroller and Auditor General of India under Section 143 (6) of the Companies Act, 2013.

22. The standalone and consolidated financial statements of the Company for the year ended 31 March 2019 have been prepared in accordance with the Indian Accounting Standards (Ind-AS) as prescribed under Section 133 of the Companies Act, 2013.The statutory auditors have issued unmodified opinion on these standalone and the consolidated financial statements.

For and on behalf of Board of Directors
(K.Sreekant)
DIRECTOR (FINANCE)

Place: New Delhi
Date: 25 May 2019