NHPC, a **Mini Ratna category I public sector utility**, is the Government of India's flagship hydroelectric generation company. The company is primarily involved in the generation and sale of bulk power to various Power Utilities. The company was incorporated in **1975** and is based in Faridabad, India.
Its other business activities include providing project management/construction contracts/consultancy assignment services and trading of power. The Company's consultancy services encompass survey and investigation, planning, design and engineering, construction, operation and maintenance, and renovation, modernization, and updating of hydropower projects.
NHPC stands as one of India's most significant hydroelectric power generation companies, operating under the Ministry of Power, Government of India. The company has built a reputation over nearly five decades as a leader in the hydropower sector, contributing substantially to India's renewable energy goals. NHPC Ltd is an electric utility company of which the Indian government owns the vast majority of shares.
As of Q3 FY25, the company has an installed capacity of **7,233 MW**, which includes both hydro and renewables. It is one of India's largest hydropower producers, with **6,971 MW of hydropower (approximately 15% of the country's total)**. It operates **28 power stations** across 15 states and 2 Union Territories.
The company's operations span across multiple states and union territories, establishing a truly pan-India presence in the hydropower sector. NHPC Ltd is an energy utility company that plans, promotes, and organizes the development of hydropower plants.
NHPC has diversified its portfolio beyond traditional hydroelectric power generation. The company has made efforts to expand its electric production capacity with thermal, wind, and solar power generating facilities. NHPC's major offerings include hydroelectric power, solar power, and wind power. Recent developments include the commissioning of solar projects, with NHPC commissioning **53.57 MW part capacity of its 300 MW Bikaner solar project**, bringing the total Commercial Operation Date (COD) capacity to 214.28 MW.
* **Market Cap:** ₹85,483 Crore
* **Revenue:** ₹10,380 Crore
* **Profit:** ₹3,412 Crore
* **Promoter Holding:** 67.4%
* **Revenue from operations:** ₹2,286.76 Crore, up 11.2% YoY compared to ₹2,055.50 Crore in Q3 FY24.
* **Total income:** ₹2,616.89 Crore, reflecting a 2.6% increase from ₹2,549.69 Crore in the same period last year.
* **Net profit:** ₹330.13 Crore, down 47% YoY from ₹623.28 Crore in Q3 FY24, primarily impacted by higher operational and tax expenses.
* NHPC Ltd's net profit jumped **56.95%** year-on-year to **₹853.64 Crore** in Q4 FY25.
* NHPC's consolidated net profit surged **52% YoY to ₹919.63 Crore**.
The company's financial performance shows mixed results, with strong revenue growth but fluctuating profitability. The company has delivered a poor sales growth of 0.73% over the past five years. Additionally, the company has a low return on equity of 9.34% over the last 3 years.
NHPC generates most of its revenue from the sale of energy to state electricity boards, state energy departments, and their successor companies via long-term agreements. It operates in the energy sector, primarily serving bulk customers, which are mainly electricity utilities owned by state governments.
The company has established a strong market position in India's renewable energy sector, particularly in hydroelectric power generation. The Company is one of the largest organizations in the field of hydropower development in the country. This positioning aligns well with India's renewable energy goals and the government's push towards clean energy sources.
NHPC Limited is a **Mini-Ratna Category-I Enterprise of the Government of India**. This status provides the company with enhanced operational and financial autonomy while maintaining government oversight. Recent management changes include the appointment of **Interim CMD Rajendra Prasad Goyal** for two months at NHPC, effective July 1, 2025.
The company maintains transparency in its operations through regular regulatory filings and compliance with SEBI LODR requirements. Its subsidiaries include Loktak Downstream Hydroelectric Corporation Limited, Bundelkhand Saur Urja Limited, Jalpower Corporation Limited, and Chenab Valley Power Projects Private Limited.
NHPC continues to expand its renewable energy portfolio with new solar and wind projects. NHPC Limited has commenced commercial operations for the **third phase of its Karnisar Solar Power Project**, increasing its capacity to 160.71 MW. The company is also actively working on significant hydroelectric projects, including the Subansiri Lower Hydroelectric Project.
The company's focus on renewable energy expansion aligns with India's commitment to achieving net-zero emissions and increasing the share of renewable energy in the country's energy mix. Services are rendered in various areas, including design and engineering, procurement, project management and supervision, construction management, operation and maintenance of power plants, rural road projects, and rural electrification projects.
NHPC presents a mixed investment proposition with both opportunities and challenges. The company's strong market position in hydroelectric power generation, government backing, and expansion into solar and wind energy provide growth potential. However, investors should consider the company's high debtors of 169 days and the volatility in quarterly earnings.
The stock has shown resilience over the long term, with NHPC Ltd share price moving up by **160.54% on BSE over the last three years**, though it has experienced some volatility in recent periods. Recent analyst coverage includes JM Financial issuing a **Buy rating with a target price of ₹100**.
With India's continued focus on renewable energy and the government's support for hydroelectric power development, NHPC is well-positioned to benefit from the country's energy transition. The company's diversification into solar and wind energy, combined with its established hydroelectric portfolio, provides a balanced approach to renewable energy generation.
