Vedanta PAT dips 38% to ₹3,479 cr on write-offs

MINING MAJOR VEDANTA posted a 38% decline in net profit year-on-year forthe quarter ended September 30 on the back of an exceptional loss of 1,547 crore on account of write-offs and settlement expenses at its Talwandi Sabo Power plant.

- URVI MALVANIA

Talwandi Sabo Power wrote off $1,407 crore in receivables after the Supreme Court ruled against its mega power benefit claim. It also paid $75 million (around %660 crore) to SEPCO under a settlement agreement, following contract termination and ongoing arbitration, both recorded as exceptional items. The impact was partially offset by exceptional gains of $520 crore in deferred taxes.

Net profit came in at 3,479 crore as compared to %5,603 crore reported in Q2FY25,and was behind Bloomberg estimates of $3,630 crore. Excluding onetime settlement and write-off costs, profit after tax (PAT) was up 13% annually at 5,026 crore.