In a significant development, Godawari Power & Ispat Ltd witnessed a remarkable surge of over 7% on the morning of April 10, spurred by the announcement of the complete resumption of operations at its biomass power plant in Chhattisgarh. This resurgence comes in the wake of a recent fire incident that had temporarily disrupted operations at the facility.
As of 10:20 am, shares of Godawari Power were trading nearly 6% higher at Rs 800 on the National Stock Exchange, reflecting the investor enthusiasm surrounding this news. Over the course of the past year, the stock has displayed exceptional growth, more than doubling in value and consistently recording gains for three consecutive weeks, showcasing its resilience and robust performance in the market.
According to the company’s statement to the exchanges, trial operations at the Chhattisgarh plant had commenced on March 27 as part of the recovery process, with full-scale operations successfully resuming on April 8. This marks a significant milestone for the company as it bounces back from the setback caused by the fire incident.
The temporary halt in operations was a result of a fire incident that occurred at an 8-MW biomass power plant owned by its subsidiary, Hira Ferro Alloys Ltd, in Chhattisgarh, back in August 2023. The resumption of operations signifies the company’s commitment to overcoming challenges and its dedication to ensuring uninterrupted production and growth in its operations. This development is expected to further bolster investor confidence in Godawari Power & Ispat Ltd’s prospects and contribute positively to its trajectory in the market.
The communication regarding the operational resumption of the Chhattisgarh plant was conveyed to Godawari Power by Hira Ferro Alloys on April 9, as disclosed by Godawari Power itself.
In the fiscal third quarter, Godawari Power and Ispat witnessed a notable increase in consolidated net profit, rising to Rs 229.26 crore from Rs 128.21 crore reported in the same period a year ago. However, the company experienced a decline in revenue, which fell to Rs 1,308.92 crore from Rs 1,462.99 crore recorded in the corresponding period previously.
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