Tata Power outlook revised to positive by Moody's

Tata Power Company Limited (BSE: TATAPOWER) announced that Moody's Ratings has affirmed its corporate family rating (CFR) at Ba1 while revising the outlook to positive from stable. This decision reflects Moody's expectation that Tata Power will maintain stronger credit metrics, driven by improved operating efficiencies in its regulated businesses and growing renewable energy portfolio. Moody's anticipates TPC's CFO pre-WC/debt to remain between 12%-15% over the next 2-3 years. TPC's Ba1 CFR incorporates its standalone credit quality of Ba2 along with a one-notch uplift for shareholder support, reflecting the company's stable revenue from regulated businesses and fixed-tariff power purchase agreements. Moody's also expects Tata Sons Private Limited to provide support if required. As of December 2024, Tata Power has an installed generation capacity of 15,567 megawatts.