Highlights:
– Suzlon shares surge 5% following strong Q1 results
– Net profit triples to ₹302 crore
– Revenue jumps nearly 50% to ₹2,016 crore
– Wind Turbine Generator business sees highest Q1 deliveries in seven years
– Brokerage firm Anand Rathi sets a price target of ₹58
Shares of Suzlon Energy Ltd. hit a 5% upper circuit in early trading on Tuesday after the company posted impressive June quarter results. Suzlon’s net profit tripled from last year’s quarter, soaring to ₹302 crore, driven by reduced finance costs. The company had reported a net profit of ₹101 crore in the same quarter the previous year.
The company’s total revenue increased significantly to ₹2,016 crore, up from ₹1,348 crore a year ago, marking a growth of nearly 50%. This growth was primarily fueled by the robust performance of its core Wind Turbine Generator business, which saw its revenue rise by almost 90% to ₹1,496 crore, compared to ₹803 crore in the base quarter. However, this segment’s revenue was slightly lower than the ₹1,531 crore reported in the March quarter.
Suzlon’s Wind Turbine Generator business achieved its highest first-quarter deliveries in seven years, reaching 274 MW. The company’s Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) surged by 95% to ₹354 crore, up from ₹181.7 crore in the same period last year. This was the highest EBITDA reported by the company in nearly seven years. The EBITDA margin for the April-June period also improved significantly, expanding by almost 400 basis points to 17.5%, compared to 13.45% last year.
At the end of the June quarter, Suzlon had cash reserves of ₹1,197 crore. The company also boasted its largest-ever order book, standing at 3.8 GW. “With significant deliveries of our flagship product series, the 3.