Tata Power Company Ltd

To our shareholders, customers, colleagues and partners,

I am pleased to share that FY25 was a successful year for Tata Power, marked by strong financial and operational performance across all businesses.

The year 2025 began with optimism, underpinned by expectations of macroeconomic stability and recovery with global growth, falling inflation, and tailwinds from falling interest rates. However, this macro narrative shifted with rising concerns as policy uncertainty rose with shifts in trade policy. Amid trade uncertainties, global growth is expected to slow to 2.3% in 2025 from 2.8% in 2024.

Today?s world exists in a paradoxical state, where digitalisation has fostered unprecedented integration, yet geopolitical tensions are driving fragmentation. The interconnected global economy, powered by AI, cloud computing, and digital commerce, has made cross-border collaboration seamless. This, along with a rapidly heating world has led to intensifying demand for power across the world. This environment is characterised by four megatrends which your Company is well prepared to respond to with agility and foresight:

Rapid Artificial Intelligence (AI) deployment across sectors:

This is not merely another technological shift, it is a civilisational one. AI is swiftly becoming as fundamental to human progress as electricity once was, reshaping our world in ways we are only beginning to comprehend. What makes this moment uniquely significant is its simultaneity. Unlike previous technological revolutions that arrived sequentially across the globe, AI/Gen AI is emerging simultaneously everywhere and impacting the pace of change of other technologies. It is being supercharged by parallel progress in semiconductors, cloud computing, quantum technologies, robotics, energy and energy storage innovations.

This is leading to a surge in power demand, both globally and in India. To support this Tata Power is offering affordable and accessible clean and green power.

Your Company is also adapting to this new reality by leveraging AI driven solutions to enhance operational efficiencies and accelerate India's clean energy transition. Through AI-enabled smart energy management systems in its Discoms, AI-powered predictive maintenance and grid optimisation, and specialised data lakes for power generation, Tata Power is ensuring better, data driven energy distribution and reducing outages across the areas of operation.

2. Ongoing energy transition:

Sustainability remains core to Tata Power?s operations. Aligned with the Tata Group?s Project 'Aalingana' your Company is well on track to achieve a 70% clean energy portfolio by 2030 and net-zero by 2045. Tata Power is also actively participating in the Tata Group?s broader sustainability objectives across energy-intensive industries through customer centric solutions.

3. Increasing focus on manufacturing & supply chain resilience:

As global energy supply chains undergo reshoring and reinforcement to bolster resilience, and energy security becomes critical to India?s growth, Tata Power is keeping pace with global trends and domestic policies like 'Make in India,' with its state-of-the-art 4.3 GW solar cell and module manufacturing facility. Commissioned in the past year, the manufacturing plant is playing a key role in strengthening energy self-reliance and reducing imports. It is operated by a workforce comprising 80% women.

4. Talent management:

Recognising the critical need for skilled professionals in the rapidly growing green economy, Tata Power Skill Development Institute (TPSDI) has trained over 3.4 lakh individuals in clean energy technologies, with a focus on women and youth. Accredited by the National Council for Vocational Education and Training (NCVET), TPSDI continues to expand certifications in rooftop solar, energy storage, and green hydrogen. Tata Power has demonstrated resilience and commitment to business growth in the face of a rapidly changing business environment.

Tata Power?s total generation capacity now stands at 25.7 GW (including 9.9 GW capacity in pipeline), with more than 65% from renewable sources, reinforcing its pivotal role in India?s energy transition. Your Company?s growth aligns with India?s ambition of 500 GW non-fossil capacity by 2030, actively supported by its diverse clean energy solutions.

On a consolidated basis, the operating revenue stood at I 64,502 crore in FY25 compared to I 61,542 crore in FY24. The increase was primarily attributable to improved billing efficiency in the Odisha DISCOMs and transmission projects, along with regulatory gains in Tata Power Delhi Distribution Company (TPDDL). Additionally, strong performance of the Rooftop EPC business, capacity enhancements in the Renewable segment, and the commissioning of the 4.3 GW solar module and cell manufacturing facility significantly contributed to revenue growth. The topline was further supported by the full operations of the Mundra Thermal Plant pursuant to directions from the Ministry of Power (MoP). These gains, however, were partially offset by lower availability stemming from a fire incident at Trombay Thermal Plant (Unit 5), plant outages, and reduced depreciation entitlement at Maithon Power Plant.

Consolidated EBITDA grew by 14% to I14,468 crore as against I 12,701 crore in FY24. The consolidated profit after tax in FY25 was at I 4,775 crore compared to I 4,280 crore in FY24.

On standalone basis, the operating revenue was at I 21,288 crore in FY25 compared to I 20,297 crore in FY24 mainly due to Mundra being fully operated under MoP guidelines, regulatory upsides in Mumbai Distribution and Mumbai Thermal business segment.

The standalone Profit after tax in FY25 was I 3,133 crore as compared to I 2,230 crore in FY24.

This growth has been built on strong foundations of industry partnerships and operational excellence.

To drive cross border partnerships and energy security in the region, Tata Power forged a partnership with Bhutan?s Druk Green Power and commenced work on a 600 MW hydropower project. It entered a strategic partnership with the Asian Development Bank, mobilising $ 4.25 billion to accelerate clean energy initiatives It surpassed 3 GW of installed capacity in Group captive projects It is committed to empowering customers to make clean and green choices. In FY25, your Company rapidly scaled rooftop solar adoption by 51% y-o-y, surpassing 1.5 lakh installations in over 700 cities. Tata Power?s efforts are complemented by its strong alignment with the PM Surya Ghar Yojana with its Ghar Ghar Solar initiative active across the country Tata Power continues to be one of the largest player in India's electric vehicle (EV) charging infrastructure in India having successfully installed over 1.35 lakh home EV chargers and 5,488 public and semi-public charging points, available across 600+ cities pan India Tata Power is set to commence work on 2.8 GW of pumped storage projects in Maharashtra Your Company has 2,400+ ckm of transmission lines set to be commissioned thereby bringing its installed capacity to 7,000+ ckm of transmission lines across the country Your Company is well placed to drive the energy transition in the years to come. It has an ambitious future-ready roadmap for 2030, which includes: 20+ GW of clean and green operational capacity Solarising over 30 lakh households through rooftop solutions Achieving 10,000 ckm of transmission lines Strengthening distribution networks to serve 4 crore consumers As we step into FY26, I am confident that Tata Power?s integrated business model, strong governance, and commitment to affordable, reliable, clean and green energy solutions will help ensure sustainable growth for a brighter tomorrow, creating lasting value for all stakeholders.

I would like to thank all shareholders, customers, business partners, the management team and all employees of Tata Power, for their trust and partnership.