Are NHPC Ltd latest results good or bad?

NHPC Ltd has released its financial results for the quarter ending March 2025, showcasing a notable year-on-year growth in key metrics. The company reported a Profit Before Tax (PBT) of Rs 787.65 crore, reflecting a significant increase of 60.39% compared to the previous year. Similarly, the Profit After Tax (PAT) reached Rs 853.64 crore, which is a 56.9% rise year-on-year. Net sales for the quarter amounted to Rs 2,346.97 crore, marking a 24.38% growth from the same period last year.
However, NHPC Ltd is also facing challenges. The Operating Profit to Interest ratio has reached its lowest level in five quarters at -90.17 times, indicating a decline in the company's capacity to manage interest payments effectively. Additionally, interest expenses for the nine-month period have risen by 28.55%, suggesting an increase in borrowings.

Overall, while NHPC Ltd has demonstrated strong growth in profits and sales, the company is encountering difficulties in managing its interest obligations. Furthermore, there has been an adjustment in its evaluation over the past three months.