OPG Ventures PLC (LON:OPG), the developer and operator of power generation assets in India, has reported a 9.5% rise in revenue in its final results for the year ended March 31, 2020
The AIM-listed firm posted full-year revenue of £154.0mln, up from £140.6 million in 2019 as total generation (including deemed) rose to 2.72 billion units from 2.71 billion units a year earlier.
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The group's full-year adjusted underlying earnings (EBITDA) were £31.2mln at a 20.3% margin, compared with £35.3mln at a 25.1% margin in 2019, while profit before tax from continued operations was £14.5mln compared with £16.9mln.
OPG saw its gross borrowings at the year-end reduced to £56.8mln, compared to £80.4mln as at March 31, 2019
In the six months since the March year-end, the company said its average Plant Load Factor (PLF) was 46%, down from 79% in the first half of 2019 as the coronavirus (COVID-19) pandemic took its toll, although in September 2020 PLF increased to 63%
In June 2020, OPG raised around £21.0mln (2bn rupees) through non-convertible debentures (NCDs) with a three-year term and coupon rate of 9.85, with the proceeds used to repay principal term loans obligations up to March 2022.
As of September 30, 2020, the company's gross debt amounted to £43.8mln, comprised of £21.0mln of NCDs, £21.5mln of existing term loans, with scheduled repayments spread from June 2022 to June 2024, and working capital loans of £1.3mln.
In the results statement, Arvind Gupta, OPG's chairman said: "We delivered strong operational FY20 results and achieved significant deleverage as promised to our shareholders. COVID-19 and the lockdown had a severe impact on overall industrial activity in India and OPG's operations at the beginning of FY21, but power demand gradually increased during the first half of FY21 and OPG remains profitable.
"We have worked hard to tackle the unprecedented challenges caused by COVID-19 and I am proud to report that we managed to significantly strengthen OPG's balance sheet with issue of NCDs and collecting receivables from TANGEDCO. This will enable OPG to resume cash dividend payments to the Company's shareholders in the medium term. I am pleased to report that our long term, profitable and sustainable business model remains unchanged."
In early morning trading, OPG shares were 11.4% higher at 11.25p.