Arun Kabeli Power Ltd. (AKPL) Swings Back to Strong Profitability in Q4

Arun Kabeli Power Ltd. (AKPL) has published its audited Q4 results for FY 2024/25, showing a dramatic turnaround from last year’s heavy losses to robust profitability, supported by strong revenue growth and significantly improved margins.

The company reported total revenue of Rs. 632.29 million, up 27.98% year-over-year compared to Rs. 237.31 million in Q4 2023/24. Revenue momentum was consistent throughout the year, highlighting strong operational recovery and higher generation capacity utilization.

Gross profit stood at Rs. 551.49 million, delivering an impressive margin of 87.22%, up from just 44.89% in Q4 last year, reflecting effective cost control and stronger operating efficiency. Net income soared to Rs. 170.16 million, a complete turnaround from a net loss of Rs. 301.86 million in Q4 2023/24. This brought the net margin to 26.91%, up sharply from last year’s -127.20%.

For shareholders, EPS (annualized) improved to Rs. 4.37, compared to -Rs. 7.75 last year, while the PE ratio normalized to 60.21, compared to a negative valuation base earlier. Book Value per Share rose to Rs. 99.75, from Rs. 95.56 in Q4 2023/24, and the market value per share increased to Rs. 262.97, up from Rs. 185.00 last year, reflecting improved investor confidence.

Financial Indicators

• Return on Assets (ROA TTM) rose to 2.77%, compared to -5.30% a year earlier, showing efficient asset utilization.

• Return on Equity (ROE TTM) improved to 4.49%, compared to -10.01% in Q4 last year, signaling restored shareholder value creation.

• Margins across all quarters improved steadily, with profitability fully restored after prior losses.