Reliance Power Q4 FY25 Results: PAT turns ₹126 cr

Key takeaway from the March quarter

Reliance Power reported a return to profitability in the quarter ended March 2025 (Q4 FY25), even as its top line stayed largely flat and total income declined from the year-ago period. The company posted profit after tax (PAT) of about ₹126 crore for the quarter, compared with a loss of about ₹398 crore in Q4 FY24. The turnaround came alongside a sharp reduction in total expenses, which fell to ₹1,998.49 crore from ₹2,615.15 crore a year earlier. The company also disclosed exceptional gains, including a ₹3,230 crore gain from the deconsolidation of a subsidiary, which supported reported profitability. On the operational side, the company reported a sharp rise in EBITDA and margin for the quarter compared with Q4 FY24, pointing to better cost efficiency. The quarterly update also highlighted that the company does not provide segment-wise revenue details in its disclosures. However, it noted that performance was primarily driven by thermal power generation. The results were closely tracked in the market amid sharp intraday moves in the stock around the announcement.

Q4 FY25: Revenue steady, income lower

Reliance Power’s revenue from operations for Q4 FY25 was reported at ₹1,978 crore. The company indicated a marginal year-on-year decline in revenue from operations, described as about 1% lower versus the corresponding quarter. In the quarterly comparison table, total revenue was listed at ₹1,978.01 crore for Mar 25 versus ₹1,971.94 crore for Mar 24, implying a near-flat year-on-year movement. Total income for Q4 FY25 came in at ₹2,066 crore, down from ₹2,193.85 crore in Q4 FY24. The decline in total income alongside a move back to profit underscores that the quarter was driven more by cost movements and exceptional items than by top-line expansion. The company’s disclosures also point to limited granularity on business-line revenue, which can make it harder for investors to attribute revenue changes to specific plants or contracts. Still, the reported numbers show a clearer improvement in profitability than in revenue.

Expenses fall sharply, supporting the profit turnaround

A major feature of the quarter was the drop in costs. Total expenses were reported at ₹1,998.49 crore in Q4 FY25, compared with ₹2,615.15 crore in Q4 FY24. In the results highlights, total operating expense for Mar 25 was shown at ₹1,599.56 crore versus ₹2,093.88 crore in Mar 24. Selling, general and administrative expenses were also shown lower year-on-year in the table, at ₹478.18 crore in Mar 25 versus ₹1,643.95 crore in Mar 24. Depreciation and amortisation stood at ₹211.41 crore in Mar 25 compared with ₹275.31 crore in Mar 24. The combined effect of lower expenses and reduced depreciation burden helped lift reported earnings. The company’s results coverage also described “cost moderation” as a key driver, along with one-off gains.

PAT swings to profit; EBITDA and margins jump

Reliance Power reported PAT of ₹125.6 crore (also reported as ₹125.57 crore and rounded to ₹126 crore in different summaries) in Q4 FY25. This compares with a net loss of about ₹397.56 crore in Q4 FY24. In the quarterly table, net income was reported at ₹125.60 crore for Mar 25, versus a loss of ₹397.56 crore for Mar 24. Diluted normalised EPS was reported at ₹0.31 for Mar 25, compared with -₹0.98 for Mar 24. The company’s filings and coverage also pointed to a sharp improvement in operating profitability, with EBITDA reported at ₹589.8 crore in Q4 FY25 versus ₹48.8 crore in Q4 FY24. EBITDA margin was reported at 29.8% versus 2.4% in the year-ago quarter. These reported shifts indicate that the quarter’s profitability improvement was broad-based across cost lines, but investors typically also watch how much of the profit is repeatable without exceptional items.

One-off items: Deconsolidation gain disclosed

Reliance Power disclosed exceptional gains, including a ₹3,230 crore gain from the deconsolidation of a subsidiary. The result summaries described one-off gains as a meaningful contributor to the turnaround in profitability for FY25. While the quarterly PAT was ₹126 crore, the presence of a large exceptional gain is important context for how the company’s reported earnings compare with underlying operating performance. Exceptional items can materially change net profit for a period without necessarily reflecting a similar improvement in cash flows. The company’s commentary also linked improved results to cost moderation, reinforcing that the quarter combined lower expenses with non-recurring support.

Quarterly movement: Mar 2025 versus Dec 2025 (QoQ)

On a quarter-on-quarter basis (Mar 25 vs Dec 25, as presented), total revenue increased to ₹1,978.01 crore from ₹1,872.84 crore. Net income rose to ₹125.60 crore from ₹25.11 crore. Operating income was listed at ₹378.45 crore for Mar 25 versus ₹394.45 crore for Dec 25 in the table, while other cost lines moved modestly. The same dataset also included a summary for a later quarter dated 30 January 2026, showing revenue of ₹1,872 crore and net profit of ₹25 crore, consistent with the Dec 25 figures presented elsewhere. These quarterly movements matter because they show that the sharp year-on-year turnaround to profit in Q4 FY25 did not translate into similarly high profits in the immediately preceding quarter shown (Dec 25), based on the data provided.

Full-year picture: FY25 profit versus FY24 loss

For the full financial year 2025, Reliance Power reported a consolidated net profit of ₹2,947.83 crore. This compared with a net loss of ₹2,068.38 crore in FY24. The swing in full-year profitability, combined with the disclosure of a large deconsolidation gain, suggests that exceptional items played a role in the annual result. The FY24 loss was also referenced in the context of higher costs and other pressures during that year. The company’s reported quarterly and full-year numbers underline why investors typically separate operating performance from one-time accounting gains when tracking trend improvements across cycles.

Stock reaction: Sharp move after results and updates

Market reaction was strong around the result and other company updates. As of 1:49 pm on Friday, May 23, 2025, Reliance Power shares were reported up 15.66% at ₹51.56. Separately, another update noted the stock “zoomed” about 14% on Monday (May 12) following the turnaround in Q4 FY25. Coverage attributed the sharp rise to two factors cited by the company: the Q4 results and a large order win by its subsidiary (without detailing the order value in the provided data). The price action indicates that the earnings swing and the narrative of lower costs drew market attention, even as top-line growth remained muted.

Snapshot table of reported facts

Why this quarter matters for investors

The Q4 FY25 result is significant because it marks a shift from a large loss in the year-ago period to a reported profit, with a clear reduction in the expense base. At the same time, the quarter also highlights that revenue and total income did not show strong growth, meaning the earnings improvement was driven largely by costs and non-recurring items. The disclosure of a ₹3,230 crore exceptional gain is a key detail when interpreting headline profitability, especially alongside the sharp jump in annual net profit for FY25. Investors tracking Reliance Power will typically focus on whether expense reductions and operating metrics such as EBITDA can sustain without similar one-off supports. Future updates on operating performance, and any additional disclosures around subsidiary actions referenced in market coverage, are likely to remain in focus.

Closing summary

Reliance Power reported Q4 FY25 revenue of ₹1,978 crore and PAT of about ₹126 crore, reversing a loss in Q4 FY24, helped by a sharp fall in total expenses and an exceptional gain from deconsolidation. The next set of quarterly updates will be important to assess how much of the profitability improvement is operational versus one-off in nature.