Tata Power Company's consolidated profit in first quarter (April-June) is expected to increase 36 percent year-on-year to Rs 328 crore due to lower finance and tax expenses, according to average of estimates of analysts polled by CNBC-TV18.

Higher profitability at Maithon, higher EBIT spread for Coal and lower losses at Mundra may also drive profit.

Revenue is likely to be at Rs 9,250 crore in the quarter ended June 2016 compared with Rs 9,235 crore in year-ago period.

Analysts expect power generation volumes at 10,337 million units against 11,170 million units on yearly basis. They see flat volumes at Mundra that may be offset by higher volumes at Mumbai and Delhi circles.

Losses may be narrowed at Mundra plant due to lower fuel cost and coal processing charges. Coal price decline may reduce profitability in coal business but may be aided profitability for power business.

Tax rate may decline from over 45 percent to 35 percent in Q1 YoY.

Operating profit (EBITDA - earnings before interest, tax, depreciation and amortisation) is expected to fall 5 percent year-on-year to Rs 2,073 crore and margin may contract 112 basis points to 22.5 percent in Q1.