The net profit of Neyveli Lignite Corporation (NLC) came down by roughly Rs375 crore in the financial year 2015-16 when compared to the previous year. The corporation suffered huge lossses in power generation for more than a month due to incessant rain and floods in the township during December last year.
The net profit after tax of the corporation stood at Rs1,204.15 crore for the financial year 2015-16 as against Rs1,579.68 crore in the previous year. The corporation suffered power generation loss of 763.72 million units resulting in consequential loss of estimated revenue of Rs409.73 crore.
The reduction in net profit was also attributed to a few technical glitches in the newly-commissioned units of thermal power station II expansion resulting in operation loss to the tune of Rs244.08 crore.
The corporation despite several odds recorded increase in revenue generation and profitability in the financial year 2015-16. The total revenue of the corporation for the last financial year stood at Rs7,194.2 crore as against Rs6,796.97 crore of the previous financial year registering a growth of 5.84%.
Similarly, the profit for the year 2015-16 before interest, depreciation and tax rose to Rs2,741.85 crore as against Rs2,627.88 crore for the previous year registering 4.33% growth.
The corporation has proposed to give a dividend of 30% of its equity for 2015-16 as against 28% dividend paid in previous financial year. This will result in an additional financial commitment of Rs39.08 crore for the corporation. The dividend payout this year will be 50.31% of profit after tax when compared to 35.87% for the previous financial year.