While operating profits increased by 19 per cent, PBT increased by 25% due to reduction in interest and finance charges by 23 per cent.

As the wind farm was taken out of the licensee business as per MERC order, there was a creation of additional Deferred Tax in respect of previous years aggregating to Rs.20 crores, restricting the PAT increase to 2.2 per cent. The financial results include reduction in tariff by 9.2% as per MERC order.

Revenue from non-power business increased by 63 per cent to Rs.43.4 crore.

With effect from 1st July 2004, the Broadband division of TPC has become a 100 ]er cent subsidiary.

Tata Petrodyne, a 100 per cent subsidiary of TPC also brought in good results. Revenues increased to Rs.30 crore and PAT increased by 17 per cent to Rs.15.5 crore.

Powerlinks Transmission Limited : The 51 per cent joint venture with Power Grid Corporation achieved financial closure and received first disbursement from all lenders in May 2004. The company has opened site offices in 8 locations. The construction of the Transmission lines has commenced and is on schedule.

North Delhi Power Limited : (distribution joint venture company in north Delhi) Performance continued to improve and as per regulatory targets. Aggregate Technical & Commercial (AT&C) losses in this quarter decreased by 7 percentage points over the corresponding period last year. Reliability Index is now at 99.61 per cent.

Commenting on the company''s performance, Firdose Vandrevala, managing director, Tata Power said: "The Q1 performance reflects both the benefit of increased sales and better internal efficiencies. Our efforts to provide reliable power and controlling costs are showing results. During the quarter, the benefit of our improved efficiencies were reflected in lower charges to our consumers. A new regulatory order for tariff has come into effect from 1st June 2004. The company is confident of the future and is pursuing several opportunities in India and abroad."