NTPC shares decline over 3%: Why is the stock buzzing today?

Shares of NTPC tumbled over 3.3% to an intraday low of ₹321.35 per share on the National Stock Exchange amid reports of a block deal.

Last seen, shares of the power generation firm were trading at ₹329.45 per piece on the National Stock Exchange, falling 0.95%.

On Monday, the power giant said that it will seek shareholders’ nod to raise up to ₹18,000 crore through the issuance of NCDs or bonds on private placement in the domestic market.

State-owned NTPC on Monday issued a notice of postal ballot to seek approval of the members by way of special resolution through remote e-voting regarding raising of funds through the issue of secured/unsecured, redeemable, taxable/tax-free, cumulative/non-cumulative, non-convertible debentures (bonds/NCDs), amounting up to ₹18,000 crore, according to a regulatory filing.

The fund will be raised in one or more tranches/series not exceeding 12 through private placement in the domestic market during the period commencing from the date of passing of the special resolution till completion of one year thereof.

As the company is under capacity expansion mode, a major portion of its capital expenditure requirements has to be funded by debt, NTPC said.

NTPC Ltd had reported a nearly 22% rise in its consolidated net profit to ₹7,897.14 crore for the March quarter of FY25 (Q4 FY25), aided by higher revenue from its generation business.

The power major had reported a net profit of ₹6,490.05 crore in the January-March period of 2023-24.

Its total income increased to ₹51,085.05 crore in the latest March quarter from ₹48,816.55 crore logged in Q4 FY24. The company earned a revenue of ₹49,352.99 crore alone from the generation business, up from the ₹47,088.70 crore revenue garnered from the segment in the fourth quarter of FY24.

For the full FY25, the company's net profit rose to ₹23,953.15 crore against ₹21,332.45 crore seen in FY24. The total income also advanced to ₹1,90,862.45 crore from ₹1,81,165.86 crore seen in FY24.

In FY25, the profit from subsidiaries increased to ₹4,139 crore, higher than the ₹3,897 crore registered in FY24. While the share of profit from joint ventures also rose to ₹2,214 crore in the fiscal year ending March 2025 from ₹1,636 crore recorded in the April-March 2023-24.