Tata Power Company Limited (TATAPOWER.NS) Q2 FY2026 Earnings Call Transcript & Summary

Ladies and gentlemen, good day, and welcome to the Tata Power Q2 and H1 FY '26 Earnings Conference Call. [Operator Instructions] Please note that this conference is being recorded. I now hand the conference over to Dr. Praveer Sinha, CEO and Managing Director of Tata Power, for his opening remarks. Thank you, and over to you, sir.

Thank you very much. Good evening, everyone, and thanks for joining for the call. I am joined by my colleagues, Sanjeev Churiwala, CFO; J.V. Patil, Chief Financial Controller; Kasturi, who is the Chief of Treasury and Investor Relations; and Anshul, who is the Head of Investor Relations. We have already shared with you the presentation of the quarter performance. As all of you would have seen, this is the 24th consecutive quarter in which we have shown growth in our PAT. Our PAT has grown by 14% compared to last year. A couple of points. One is last quarter was a tough quarter in the sense that we had a very long monsoon. And because of that, the demand of power was less. Secondly, because of that, we also could not run Mundra under Section 11. And while we are discussing with Government of Gujarat to finalize, which we expect that we are in the last stage and hopefully in the next few weeks, maybe within this month, we'll be able to close it. We also saw that many of our renewable projects could not get completed because the sites where these projects were supposed to come up were virtually inundated and access to these sites was very difficult, especially to the wind sites where carrying such heavy wind turbines and the blades was a challenge. Three big things from this quarter. One is our performance of Odisha DISCOMs have now come to age, and we saw a PAT of INR 174 crores compared to previous year's PAT growth of 362%. Similarly, our half yearly PAT for the Odisha DISCOM is INR 279 crores, and we do expect that this will be the template going forward because most of the initial issues have been sorted out. Similarly, our solar cell and module manufacturing plant has done exceedingly well, has stabilized production. The cost of production has reduced. We have been able to optimize a lot of costs, including the input material cost. And that's why our PAT has gone to INR 240 crores, which is a 262% increase from the previous year. And our H1 PAT is INR 340 crores. And you can again see this happening in the future also, in future quarters. Another big area that has happened in the last quarter is our rooftop PAT, which has grown to INR 123 crores and which is a 390% increase over the previous year. And on a H1 basis, it is INR 213 crores. We also saw for the first time the rooftop sales crossing INR 1,000 crores in a quarter. And I think going forward, you will see many of these type of new benchmarks that we will set in rooftop business. We have also, for the first time in the quarter crossed an EBITDA of INR 4,000 crores. And again, this is in back of excellent performance from all our businesses in spite of the fact that we had a loss in Mundra because the plant was not operating. So what you can see is that even without Mundra, we continue to grow on back of excellent coal performance. All our other businesses will continue to perform better in the subsequent quarters. In fact, we have huge target to add capacity in renewable projects, especially for our own utility projects in third and fourth quarters, and we are expecting about 700-megawatt capacity added in the third quarter and 600 megawatt in the fourth quarter. So end of the year, you will find that we would have crossed nearly 7 gigawatt of our operating renewable assets. A few points I wanted to mention that in today's Board meeting, we decided that we will do investment in the 1,125-megawatt Dorjilung project. It will be on similar terms as was done for the 600 Khorlochhu project where 60% stake will be from the Bhutan Government owned DGPC, and we will have 40% stake and that will continue. The work -- initial work on this project has already started wherein access road, bridges, colony, for construction, power, all is getting tied up. And we expect that the financial closure of this project will be achieved by mid of next year by when we will start the work also. We'll have World Bank financing. And they will, of course, come in consortium with IFC and some of the other banks, and they will syndicate the loan. And we do expect that this will be again a record in terms of the implementation of the project at a very fast pace as we have seen in the existing Khorlochhu project where the work started nearly a year back on 1st January 2025. So all in all, I think a lot of good things are happening. We will -- also at some stage, we are evaluating the 10-gigawatt plant for manufacture of ingot and wafers. We are in discussions with various state governments as to what sort of state subsidy they will provide, as also the Government of India PLI, and we will be finalizing this in the next few months. And we do expect that many of these initiatives will start showing the type of results that we had presented to you in the last analyst meet that we had in our 4-gigawatt manufacturing plant in Tirunelveli. Our balance sheet continues to be very strong. In spite of the capital expenditure, we invested nearly INR 7,349 crores in this year. And as we have mentioned to you, we plan to spend INR 25,000 crores in this financial year. Our debt increased by INR 6,400 crores, reaching INR 54,000 crores. However, even with this rise in debt, our leverage ratios are very good. Our net debt to underlying EBITDA remains 3.3 and our net debt to equity is 1.2 which is very competitive, especially in the infrastructure industry. Having said that, we continue to get one of the best credit ratings in corporate India, with the S&P Global upgrade of outlook from BBB/Positive (sic) [ BBB-/Positive ] to BBB/Stable. And I think this will help us to further improve the interest rates for the borrowings that we have at present. So we do expect that our performance in future quarters will become more robust and will substantially improve once we are able to sort out the issue of Mundra and also with more capacity adds in renewable that is expected in this quarter and the subsequent quarters. And all our other existing operations will continue to perform very well. So I'll take a pause over here and look forward to respond to your questions.

[Operator Instructions] We'll take our first question from the line of Mohit Kumar from ICICI Securities.

My first question on the solar manufacturing. I think you alluded to that you are going to set up 10 gigawatt of ingot and wafer. My question is that are you looking to set up this 10-gigawatt cumulative capacity of ingot, wafer, cell and module, everything? And are you expecting another PLI because you mentioned the PLI?

Yes. So it will be in 10 gigawatt of wafer and ingot. We already have the 4.3 gigawatt of cell and module and another 250 in Bangalore. So we already have 4.5 gigawatt of cell and module, but the new investment will be only in wafers and ingots.

Only for wafer, ingot of 10 gigawatt, right, sir?

Absolutely right.

Understood, sir. Are we expecting any PLI for wafer, ingot separately?

Yes, we are expecting. Government is very keen that these type of plants come up quickly, and also the overall requirement of the country is large and very little of capacity is there right now. So to encourage that they will be coming up with the PLI scheme, support this sort of investment. This requires a lot of technology as well as large investment for huge capacity.

Understood. Sir, my second question is on the -- as you mentioned that there is some progress on Mundra resolution with Gujarat. Is it fair to expect that we'll be able to close the new arrangement with all the offtakers or are you expecting only Gujarat to go ahead for time being?

We'll start with Gujarat, and then we will, of course, take it up with all the states and close.

Are you expecting this resolution to happen by the fiscal year-end with all the states, sir? Is that a fair assumption?

No. No, much before that. We are in final stages and hopefully within this month we'll be able to.

We'll take our next question from the line of Puneet from HSBC.

Congrats on good performance. So my first question is actually on your investments in Bhutan. How much investment do you intend to commit in Bhutan? I see there are at least 3 more projects on the hydro side that are listed in your presentation. How much investment should one look at -- between the first 2 and then the next 2?

So the first project was about INR 6,800 crores. This is about INR 13,000 crores. And these projects require a lot of detailed analysis, engineering has to be finalized, access arrangements have to be made to the site. And also, we need to carry out many other studies relating to the type of water flow is there, environment issues, forest issues. So these projects require a lot of time in development. So first project already construction work is started. The second one of 1,125, we expect the construction work to start by mid of next year. Already initial work, preproject activities are already going on at the site.

I'll just add a bit to what Dr. Sinha also said since you asked about the investment. In both the project, the earlier Khorlochhu one, we have a 40% partnership over there. And over there, our equity contribution would be about INR 830 crores. And in the second one, which is INR 3,000 crores CapEx plan, we also have a 40% equity over there and our investment there would be about close to INR 1,570 crores. Both these projects put together, our total equity from Tata Power side will be about INR 2,400 crores. Given that we have a 40% equity here, the financials of those 2 companies will not get consolidated with Tata Power. Tata Power will be showing these investments as investment in the gross.

And would you be guaranteeing the debt that will need to go into these projects?

No, the debt is taken in those companies, not in Tata Power.

And there is no reports to Tata Power?

Yes.

Okay. That's helpful. Secondly, your Odisha performance has been extremely good. So just if you can elaborate a bit more on whether these numbers should be sustainable? Or there were some corrections, et cetera, that got included this time?

There is no correction. In fact, you will see much better performance in the subsequent quarters.

We'll take our next question from the line of Sumit Kishore from Axis Capital.

My first question is in relation to your ingot, wafer 10-gigawatt plant. So what is the ballpark investment? And what time frame?

I'm sorry, you're sounding muffled. Sumit, can you just repeat the question, please?

Yes. I was asking about the 10-gigawatt ingot, wafer plant. What sort of CapEx that you'll be looking for by setting this up? And over what time frame do you expect to start commissioning this capacity? And when does it reach peak capacity? That's my first question.

At this time, we are examining the proposal. As I mentioned to you, we are in discussion with various state governments to understand what sort of subsidy and support they will provide and also from Government of India, the PLI scheme. So that will give us an idea, based on that, that what sort of eventual cost of the project will be there. So I think we need to wait for some more time. In principle, we have decided that we will go ahead, but we need to firm up some of these numbers in the next few months.

Sure. So in the first half of the year, how much CapEx has Tata Power incurred? And so -- and how is the ramp up...

We have incurred about INR 7,300 crores and our plan is INR 25,000 crores. We are on track. You will see a huge amount of those investments happening in quarter 3 and 4.

Okay. And on the cell and module plant numbers that you have shown, the EBITDA margin seems to be better this time around, around 26% or so. Is this sustainable? And what was the mix of module, cell sale to third-party and in-house use this time around?

So typically, the prices of modules and cells are governed by two things, one is demand supply and the other is what is the input cost where we import the wafers and what price we get wafers and some of the other input materials. So it will vary to a certain extent. But what is important is that the plant operation has stabilized and many of the efficiencies in plant operations, those get reflected in the cost of production and those benefits will be [ there to the comp ].

Sure. Just one final clarification, a question on what is the status of the bidding for the UP DISCOM privatization? And what are the expected time lines here?

So we are also waiting for the bidding process to happen. Every time they have told us that it will happen very quickly. So let's hope it happens in the next few weeks.

Next question is from the line of Atul Tiwari from JPMorgan.

Sir, in first half, your consol net debt has gone up by almost INR 10,000 crores versus the CapEx of INR 7,300 crores. So 2 questions here. Where -- I mean, is there some other cash usage in addition to the CapEx that you have done in the first half? And the second thing is that, obviously, you are now embarking on a very large CapEx program. So what kind of debt to equity maximum or debt to EBITDA you will be comfortable with going ahead?

The kind of -- just to give you some context here, the company has a rating of AA+, which is kind of a debt to EBITDA of about 4x. If you see the balance sheet of the company as a whole, we are presently at a net debt to equity of about 1.2 and net debt to underlying EBITDA of 3.3. So we have a very healthy ratio and healthy balance sheet, and that should cater to our future requirements of the CapEx as well.

Okay. So the 4x will be the upper limit. That's what you're trying to say, debt-to-EBITDA number. Is that right understanding? Or you will go even ahead on that?

So we're trying to work on that guardrails but depends upon what kind of project comes in, what kind of cash flow comes in. We'll have to just monitor that every year.

Okay, sir. Okay. But there is no hard upper limit that you have in mind at this point?

No, as I said, we're trying to keep a guardrail to ensure that we stay in an AA kind of environment always. And for that, around 4x is what it is. You can go slightly up and down. But by and large, we're looking at a net debt to EBITDA of about 4x.

Okay, sir. And sir, my second question is on your plans for solar ingots and wafers. So obviously, in the first half, we have seen a pretty sharp reduction in the solar project award. And obviously, power demand has been quite weak. And it looks like that even the government is rethinking the pace of capacity addition on the pure solar side. So what is your take on the top-down landscape? I mean do you think that this is just a very temporary situation and we will soon revert back to the pace of awards that we saw in previous 2 years? And if not, then what is the thought process behind committing more CapEx on the manufacturing side?

No, I don't think that the pace will slow down ultimately. We've seen a temporary pause where there have been issues around land and connectivity. But most of the players in the market have been announcing capacities. So to that extent, I think we're all working towards the government ambition of reaching the target. Now in some ways, there could be less or more. But I think the trend will only pick up.

We'll take our next question from the line of Apoorva Bahadur from IIFL Capital.

We are seeing a lot of state government bids for thermal power projects. It would be interesting to know your thoughts if there is any intention of adding greenfield or brownfield thermal capacity here?

We are examining all these opportunities, and we'll take a call depending upon what sort of land we have, what sort of tariff one would be in a position to bid. So it's something that we keep on continuously evaluating.

Understood, sir. Sir, also on -- any update on the Delhi regulatory asset liquidation, there was a Supreme Court order. So any progress on that?

So already, the regulatory assets in Delhi has been going down for last 2 years. And this year also nearly, I think, INR 600 crores of regulatory assets have got reduced. Last year also, there was a huge reduction. And now that the Supreme Court has asked the DERC to amortize it within the 7-year period from the time they have been accrued, I think that will get completed. So we do expect that there will be a good trajectory of regulatory asset reduction over a period of time. And also some of the regulatory assets that we have in Mumbai and all, everything will get liquidated.

Understood, sir. Sir, lastly, on parallel distribution licenses. We understand we have -- Tata Power had applied in a couple of circles. So if you can provide some color on that.

Parallel license, those -- that electricity act amendment proposal has come and they had asked for comments. We have given our comments. I do expect that this will go to the parliament. And of course, it has to go through the process of select committee to examine it and all. Hopefully, in the budget session, I expect that this may get passed.

We'll take our next question from the line of Bharanidhar Vijayakumar from Avendus Spark.

So my first question is on the media news on DISCOM bailout package by government to the tune of around INR 1 trillion. My first question is whether this is finalized? And what is the likely time line when this will be implemented? And if so, how will Tata Power be benefiting on top of this?

So we have also read in the newspaper that the government has such a plan. I -- from whatever I know, it is still not finalized. Government has to take the decision on this. But considering that there is so much of debt and also losses of DISCOMs, it will be necessary for some action to be taken. The nature of the action, of course, will depend what the government decides. We do expect that will open up more opportunities for Tata Power in doing the PPP of distribution as we have done in Odisha and Delhi and also the parallel license opportunity. So I think Tata Power will play a very, very active role in power distribution in the coming years.

Okay. My second question is on our renewable addition targets. We had some time back given a 2.6 gigawatt of addition target for '26 and about 2.3 for '27. Where are we to achieve that target? If not, could you highlight some of the reasons why there are challenges or delays? Is it because of EPAs not being in place or connectivity or transmission infrastructure not being in place or any other challenges?

So our capacity addition in H1 has been 205 megawatts. We expect that in Q3 we'll -- and Q4, we will do about 1.3 gigawatt. This is based on the availability of transmission line and the land and all that. Whatever will get missed out in this financial year, we'll try to complete it within the next financial year. So hopefully, by end of '27, you will see that -- financial year '27, you will see that our overall target that we have set, we'll be able to achieve.

What I'm hearing is 2.6 target in '26 now will mostly read as 1.3 plus [ 0.2 ] already commissioned, around 1.5.

Agree.

Okay. My final question is on the Mundra plant. Two parts, one on supplementary PPA, you alluded to decision by Gujarat Government getting finalized. But can you give broad context of what we can expect given one bone of contention on this supplementary PPA was, how much of the profit that the mining segment is doing will be knocked off from the proposed tariff. So any context you can give on what would be the final tariff? And also what is our thought [ process ] on when Section 11 if at all can be, say, brought back by the government? Is it likely that next year when demand increases, it will be back?

So Section 11 is an emergency section. Whenever there is a shortage of power, the government has the right to call upon plants which are not operating to operate at full capacity. This year because of the monsoon coming early and a longish monsoon, it was not imposed during summer months. Hopefully, it will be imposed next year. But in any case, we want to have a long-term resolution rather than going year after year on Section 11. So we have been in discussion with Government of Gujarat. And hopefully, we should be able to come to some arrangement. The details are still getting finalized, and it has to go the government approval process. And once it is finalized, we will be in a position to share.

We'll take our next question from the line of Satyadeep Jain from Ambit Capital.

I just want to firstly ask on the decision or thought process to go long on ingot, wafer versus cell. So you're looking at 10-gigawatt ingot, wafer versus cell line. What is the thought process there? And does it mean that incrementally we should look at Tata Power as getting bigger on the third-party sales of cell, module, wafer because currently, most of the capacity is tied to internal, but looks like increasingly, that's the path you're going to choose.

Yes. So based on the demand supply and the plants which are under implementation, we feel that there will be enough supply of cell and modules. And that is why we are doing the backward integration going for the wafer and ingot. And we feel that the 10-gigawatt capacity will be good capacity to not only supply wafers for our plants but also for other cell and module plants. This is under finalization and hopefully, in the next 2 months, we'll be in a position to finalize and share the details.

So are you suggesting that the barriers to entry for wafer and ingot would be higher? So incrementally not many players will be able to add ingot, wafer. Is that what you are trying to say?

Yes. it has not only the technology which is very sophisticated, but also in terms of the ability of many people to execute such complex projects. Today, we have virtually very small capacity, just 2 gigawatts in the country. And the country will require about 50 to 60 gigawatt of wafer and ingot manufacturing capability in next 2, 3 years. So we feel we are very well poised for this sort of investment opportunity.

Yes, fair enough, sir. Sir, secondly, I wanted to ask on one of the questions around thermal. I just want to allude to the recent podcast and case study that you had with the HBR. It seems like you may look at the -- focus would be on renewable. But opportunistically, you may look at some stressed assets and you also have that 2045 net zero target. Are you suggesting you're still open to looking at some greenfield assets also for thermal? Because initially, the impression was that maybe brownfield, maybe more of stressed assets that anyway will retire by 2045, given the target you have?

No, we don't have any determined clear plans as yet now. We're kind of looking at opportunities, right? But as of now, we are absolutely committed to grow our green portfolio. But as and when those opportunities come, we'll keep on evaluating them.

Okay. Just one quick question on the renewable energy addition for Tata Power in the first half. Just overall, when we look at the industry, it seems like there is a spurt in commissioning maybe 27, 28 gigawatt commissioning in the first 7 months. And 200 megawatts seems like less than 1% share. What is -- is it tail really long and other players have succeeded? What exactly is going on in terms of -- because with some we are hearing challenges on transmission and all. But when you look at the entire industry commissioning, there is a jump. What exactly is going on, sir?

So what has happened is in the first 2 quarters, we had commitment of third-party EPC projects. And these were DCR cells and modules that were to be used. We focused on completing all of them so that here after, we will be in a position to execute only our projects. So that's the whole plan. And you will see that that's why there will be a lot of capacity additions in Q3, Q4 and in the next financial year, which will primarily cater to our own internal requirements and very little of third party.

We'll take our next question from the line of Anuj Upadhyay from Investec.

Sir, first question is on the rooftop sustainability. So how big are we anticipating this market to be? And are we directly tying up any of the states to supply the rooftop? Likewise, you have a few new entrants who directly enter into an agreement with certain states to install a rooftop of around, say, 700 megawatt plus kind of a capacity. So are we looking out for similar kind of an opportunity here?

So rooftop, I think it's just tip of the iceberg. Only 20 lakh rooftops have been installed till September. And my expectation is that in this country, at least 5 crore homes will have rooftop. And so there is a long way that we have to go to cater to the country's requirements. So this is a very good opportunity. We are one of the best in the country with maximum market share of more than 20%. And this is going to be a very sustained effort from Tata Power side for many more years in the future.

Okay. And next on the Mundra, sir, sorry, I guess you have already mentioned that it's -- that initial phase, so you won't be able to comment on the resolution as such. But as you mentioned that Gujarat will be the first state with whom we are negotiating as such. So how long basically would it take for the entire 4-gigawatt capacity to get resolved? So are we looking out for, say -- earlier we used to have close to around 2 gigawatt or 1.5 gigawatt with Gujarat. So is the only those capacity with which we are having a resolution or the content would be much higher than that?

I think as Dr. Sinha said, we are in active discussions and trying to resolve and get to an understanding, let's say, within November. And in a couple of states, we're also discussing. We're kind of ensuring that post discussion with Gujarat, we also close with the remaining states. The idea is to close that as fast as possible. But on the call today, probably we cannot commit a particular time line. But the idea is that we resolve it sooner than later.

Okay. Okay. And can you split across the balance CapEx, the INR 17,500 crores across various segments? You mentioned that roughly the renewable capacity would have at least close to INR 7,500 crores of CapEx. The balance INR 10,000 crores would be spread across which segment, if you can elaborate, that would be helpful, sir.

You're talking about the full year?

For the balance year.

Yes. So whatever is there, almost 50% to 60% of the balance will definitely go into the renewable, plus we have commitment to our transmission business. And plus we are kind of already doing our pump storages businesses and the balance will go in thermal. So you can assume 60% of the balance. So if we had about INR 25,000 crores now for the full year, and we've already done, let's say, INR 7,500 crores, we're still talking about INR 17,000-odd crores. You assume 60% of that will go into the renewable and the remaining in rest of the businesses.

Fair point, sir. And lastly, anything on the green hydrogen, sir? Just want to have -- understand the group's view out here because we are going very aggressively on the equipment side for solar. But are we planning or thinking anything to get into the green hydrogen as well?

No plans as of now, but we keep on evaluating opportunities.

We'll take our next question from the line of Vishal Periwal from Antique.

Sir, in your slide of the cluster-wise performance, the coal SPV, Mundra and shipping...

I'm sorry to interrupt. Can you use your handset mode, please, Vishal?

Is this better now?

Yes, please go ahead.

Sir, in your slide which has cluster-wise performance, the Mundra, coal and then shipping, it has contributed negatively to our PAT of almost like INR 360-odd crores. The Mundra contribution could be how much? This is just to understand like on a quarterly basis what kind of negative contribution may came in times to come?

We report that basically on a cluster basis because Mundra and coal both go hand in hand. And of course, because Mundra has been shut because of overhauling and various reasons for the entire quarter, there have been losses there. So what the number that you see is a combination of all of them put together. I think the Slide #51 of the deck has that breakup. You can have a look at it.

Slide 51, okay. Okay. But then I think one of the slide also has negative contribution from coal investments, almost like INR 70-odd crores. So the meaning is Mundra, is that fair to understand?

We can construct that, but there are pluses and minuses here.

Okay. Okay. Got it. Got it. And then in terms of our pipeline, again, one slide has almost like 5.8 gigawatt of project, which includes FDRE, solar-wind hybrid combined as a pipeline. So in this, what sort of projects have PPA tied up as of now?

No, we have the entire PPA tied up. We don't have any open position. Just for the 1 or 2 small quantities here and there. But normally, we go and tie up the entire thing.

Okay. Okay. Got it. Got it. And maybe one last thing. I think you did mention the solar rooftop is probably a growth engine for us and also for the industry. But sir, at one point of time, there are like untied solar PPA, which are there in the market. And again, like the solar rooftop, again, it's not getting accounted, but don't you think like at some point of time, the state will put some sort of regulations around that, which as of now, it's this -- I mean it's quite open for anyone to install?

That will take a long time because if you see the solar rooftop penetration is very small. It doesn't really impact the overall PPA and other things. So I think this is a discussion probably we'll have to have 3 or 4 years down the line.

We'll take our next question from the line of Mahesh Patil from ICICI Securities.

Sir, my first question is on the RE capacity addition. So for this year, you have mentioned around 1.3 gigawatt in H2, so around 1.5 gigawatt overall in FY '26. Sir, what is the target for FY '27?

We kind of plan on a runway to do about 2 gigawatt, 2.2 to 2.5 -- 2 to 2.5 every year. As of now, we have already installed 5.7 and we have almost 5.8 in the pipeline. So I think we'll kind of tracking quite well with respect to the overall target that we have set for ourselves.

In fact, this year, if you consider third party, then we would be doing nearly 3 gigawatt.

Okay, sir. And sir, second related question, as you mentioned close to 4 to 5 gigawatt we are planning to do over the next 2 years. So what about the bidding for the projects? What are your thoughts on that? Because I think the bidding has been slower. I mean what about adding more to the pipeline?

So we are looking at bidding for projects such as FDRE and RTC and all that. And as we had mentioned to you earlier, we are now in the process of constructing our pumped hydro project, which will also be operational in FY '29. So a lot of planning will be done in such a way that we package this as a solution of RTC power or peak power for consumers and this can be DISCOMs as well as industrial and commercial consumers. And -- so it will not only be just bidding for the DISCOMs, but also tying up with C&I customers.

Okay. And one observation, your third party EPC order book has come down to around INR 19 billion from INR 27 billion. So is this because we are focusing more on our own projects? So is this why the contribution from third-party EPC will go down and rooftop will go up to...

So it's a mix and match depending upon the supply and demand. But of course, our execution overall pipelines will happen in quarter 3 and quarter 4 as well. So when you look at the full year number, this quarterly variations will be taken care.

We'll take our next question from the line of Rajesh Basu Majumdar from 361 B&K.

I just had a question on renewables. What is the capacity addition we've seen in 1H? And what is the outlook for 2H in terms of total additions for the year?

So we have added about 205 megawatt in H1. And as Dr. Sinha kind of mentioned earlier, we've plan to execute another 1.3. So for the full year, you see about 1.5 on the large-scale utility. But when you look at our rooftop installation, we've already done close to 650 and most likely will be closer to 1.4 gigawatt in rooftop as well, right, plus the third-party EPC. So I think unlike a pure genco capacities, we have to look at the capacity that we're installing across EPC, rooftop and genco. All 3 put together would be a significant high number.

That's fair. That's fair. And sir, if you look at your quarterly EBITDA run rate and the fact that now we're entering the lean season and Mundra is unlikely to contribute to the second half. Does it mean that we will see a fall in the profits at least for this year until the PPAs or the -- et cetera, are signed and that is coming into the next season starting from March. So is that a fair assumption to make?

I don't think that's a fair assumption to make because even in quarter 2, we are delivering a 14% financial PAT growth in spite of the impact at Mundra. So of course, many of our projects that we are doing, including the transmission, the recovery that we see in the distribution in Odisha, solar rooftop, our manufacturing, all of them will be contributing significantly. In fact, if you look at the core businesses, they have significantly delivered in quarter 1 and quarter 2 and those delivery will continue in quarter 3, quarter 4 as well.

We'll take our next question from the line of Puneet from HSBC.

So on your 1.3 gigawatt future capacity addition in the second half, is it possible to break down between how much solar and how much -- when would that be?

We won't have that number readily available, but a significant part of that would be solar.

Ladies and gentlemen, that was the last question. I would now like to hand the conference over to Dr. Praveer Sinha for closing comments. Over to you, sir.

Thank you, everyone, for joining for this call. And if you have any queries, you can always get in touch with my colleagues, Kasturi and Anshul, and we'll be more than happy to provide you all with required information. Thank you, and take care. And Kasturi, you have informed everyone about that visit?

Have you started informing them? We can maybe -- if you want, you can...

Okay. So it's on 15th of December in Bhubaneswar. So the next analyst meet is in Bhubaneshwar on 15th of December. My colleagues will get in touch with you and provide you more details on the agenda.

Thank you, sir. Thank you very much.

Thank you, everyone.

Thank you.

On behalf of Tata Power Limited, that concludes this conference. Thank you for joining us. You may now disconnect your lines.