CESC Limited (Calcutta Electric Supply Corporation) is a distinguished integrated electrical utility company incorporated in 1978, with its origins tracing back to 1899. The company operates as the flagship entity of the RP-Sanjiv Goenka Group (RPSG), which reported a turnover of ₹36,509 Crore and assets of ₹60,590 Crore in FY24, with operations spanning across power, infrastructure, carbon black, retail, education, BPO, and media & entertainment sectors with a presence in 60+ countries and 100+ offices globally.
CESC Limited is an India-based integrated power utility company engaged in the generation and distribution of electricity, with operations spanning the entire value chain from mining coal, generating power, and distribution of power. The company is headquartered in Kolkata, India, and has established itself as a significant player in the Indian power sector over its extensive operational history.
CESC owns and operates multiple power generation facilities including two thermal power plants - Budge Budge and Southern generating stations with a combined capacity of 1,125 megawatts (MW), a thermal power project with 600 MW capacity in Haldia, West Bengal, two thermal power projects with 600 MW capacity in Chandrapur, Maharashtra, and a 40 MW atmospheric fluidised bed combustion power plant in Asansol, West Bengal. The company also operates solar power projects with a capacity of 18 MW and has a data center in Ramanathapuram, Tamil Nadu.
The company owns and operates a portfolio of energy-generating facilities that utilize thermal fuel sources, particularly coal, which it sources mainly from Indian mines either allocated by the Government of India or purchased in the marketplace. CESC has also expanded its capacity through renewable energy sites that employ wind, hydro, and solar power.
CESC's Kolkata operations include distribution of electricity across its licensed areas in Kolkata, Howrah, Hooghly, North and South 24 Parganas in West Bengal. The company holds distribution licenses for Greater Noida in Uttar Pradesh, operates three distribution franchisees in Kota, Bharatpur, and Bikaner in Rajasthan, and manages a distribution franchise in Malegaon, Maharashtra.
The company serves a diverse customer base including domestic, commercial, and industrial customers, along with government agencies, pumping stations, local bodies, and educational institutions. CESC generates the majority of its revenue from the sale of electricity to consumer households and commercial establishments primarily in the state of West Bengal.
CESC commands a market capitalization of ₹23,675 Crore as of the latest available data. For Q3 FY25, the company reported gross revenue of ₹3,657 Crore, reflecting a growth of 10.8% compared to ₹3,301 Crore in Q3 FY24. The EBITDA for the quarter stood at ₹1,006 Crore, an increase of 4.5% over ₹963 Crore in the same quarter last year. However, the PAT (Profit After Tax) decreased by 6.3%, coming in at ₹282 Crore, down from ₹301 Crore in Q3 FY24.
For the nine-month period of FY25, the company reported a gross revenue of ₹13,345 Crore, marking a 10.4% increase from ₹12,084 Crore in the same period last year. The company has delivered a sales growth of 6.93% over the past five years, with a return on equity of 12.0% over the last 3 years, and maintains a promoter holding of 52.1%.
Key financial metrics for recent periods include:
- Q3 FY25 Revenue: ₹3,657 Crore (10.8% YoY growth)
- Q3 FY25 EBITDA: ₹1,006 Crore (4.5% YoY growth)
- Q3 FY25 PAT: ₹282 Crore (6.3% decline YoY)
- Nine-month FY25 Revenue: ₹13,345 Crore (10.4% YoY growth)
CESC has ambitious plans to develop a 3.2 GW solar wind-hybrid renewable project over the next three years, with expectations to commission 1 GW of renewable energy by March 2026, followed by an additional 1 GW in each of the subsequent years. The company's subsidiary, Purvah Green Power, has entered a framework agreement with Envision Energy India for the supply and commissioning of 1 GW wind turbine generators, including a 10-year operations and maintenance contract.
CESC is strategically moving towards new capacity in green energy to reduce its reliance on outsourced energy for distribution areas and dependence on tariff hikes, with growth expected from year-on-year demand growth in distribution circles and collection of Fuel & Power Purchase Adjustment Surcharges (FPPAS).
The company declared an interim dividend of ₹4.50 per equity share for FY25, with the record date set for January 16, 2025. This dividend translates to a dividend yield of 5.20% based on the December 2024 quarter. The interim dividend announcement reflects the company's commitment to shareholder returns despite facing some profit margin challenges.
CESC operates through various subsidiaries including Haldia Energy Limited, Malegaon Power Supply Limited, and Bhadla Three SKP Green Ventures Private Limited, among others. Through its subsidiaries, the company is also involved in retail, business process management, and infrastructure sectors, demonstrating its diversified business approach beyond core power generation and distribution activities.
The company continues to focus on operational efficiency improvements, renewable energy expansion, and strategic capacity additions to strengthen its position in India's evolving power sector landscape.
