MCX hits record high as bourse gets SEBI's nod to launch electricity derivatives

The electricity derivatives contracts to be introduced by MCX will help power distribution companies and large consumers to hedge against price volatility and manage price risks more effectively by enhancing efficiency in the power market, the commodity bourse said in a statement.

"These contracts will offer participants a reliable, transparent, and regulated platform to manage power price risks, which are becoming more dynamic due to renewables and market-based reforms," Praveena Rai, MD & CEO of MCX, said.

"With India's growing focus on renewable energy and open access power markets, electricity derivatives can serve as a vital bridge between the physical and financial sectors," he added.

MCX Q4 FY25 Results

Multi Commodity Exchange of India Ltd (MCX) posted a 54.15% jump in its consolidated net profit to ₹135.46 crore for the fourth quarter of the 2024-25 fiscal year (Q4 FY25) on higher income.

The company reported a net profit of ₹87.87 crore a year ago, a regulatory filing said.

Total income rose by 60.68% to ₹320.49 crore during the March quarter of 2024-25 from ₹199.45 crore logged a year ago.

Expenses rose to ₹152.96 crore from ₹92.96 crore in the said period.

For the full 2024-25 fiscal year, the company reported a more than six-fold jump in consolidated net profit to ₹560.04 crore as against ₹83.11 crore in the previous year.

The board recommended a final dividend of ₹30 per equity share for the 2024-25 fiscal.

Meanwhile, shares of Indian Energy Exchange (IEX) were also trading with impressive gains. The stock was trading nearly 5% higher at ₹212.15 on the NSE.

About MCX

MCX is a commodity derivatives exchange that facilitates online trading of commodity derivatives transactions. The exchange, which started operations in November 2003, operates under the regulatory framework of the Securities and Exchange Board of India (SEBI).

"MCX is India’s largest exchange in the commodity derivatives segment and the world’s sixth largest exchange by the number of commodity derivative contracts traded," per the company's website.