The company continues to remain in the red but the only solace is that the net loss at Rs.261 crore was slightly better than the one in Q1FY13 at Rs.244 crore. But this had little to do with the operations as net sales was status quo at Rs.1502, ditto as in Q1FY13. The lower loss was more on account of the 7% (QoQ) drop in fuel cost, forex gain of Rs.154 crore and interest cost down 54%. Its debt as at end of Q2FY13 stands at a mind boggling Rs.38,000 crore. Its revenue from power sector was down sequentially by 2% but it posted an EBIT of Rs.100 crore v/s loss of Rs.298 crore in current Q1. Shipping revenue rose 74% but its EBIT was down 15%.

Hoping that the coal impasse gets resolved soon, the company is moving as scheduled to commission two power projects this fiscal at Tiroda and Kawai.  It expects to achieve the expansion of capacity to nearly 10,000 MW by March 2013. During current Q1, its current capacity stands increased at 4,620 MW in the quarter from 3,960 MW in Q1FY13. Its aim is to generate 20,000 MW by 2020, through its six power projects across Gujarat, Maharashtra, Rajasthan and Madhya Pradesh. All said and done, till this impasse does not get resolved, the company will face turbulent times. This time around the rupee saved the company from a steeper loss.