J.P. Chalasani, Group CEO, Suzlon, said, We have achieved sustainable turnaround and profitable growth as evidenced in our second quarter performance. Our performance is further boosted by rapid technological advancements and a conducive policy environment. Recent policy impetus such as revised RPO trajectory, approval on repowering policy and 1 GW under Inter-state transmission scheme (ISTS) across various states will further bolster incremental demand for renewable energy in India. We are confident of maintaining this momentum and building on our strengths.
Kirti Vagadia, Group Chief Financial Officer (CFO), Suzlon, said, Strong volume growth, controlled costs and resultant operating leverage enabled strong financial performance in this quarter. We remain focused on tapping business efficiencies and sustainability of profitable growth. We continue to monitor our long term debt which has helped keep our finance cost in control. Our efforts are validated by our upgraded credit ratings which has been recently revised by CARE to investment grade BBB from the earlier BBB-.
Suzlon Group Q2 FY17 financial performance at a glance (consolidated):
Revenues
- Rs. 2,746 crores in Q2 FY17; up by 66% QoQ and 57% YoY
Operating Performance (EBITDA and EBIT- Before Forex gain/ loss)
- EBITDA margin improved to 21.3% in Q2 FY17 with EBITDA of Rs. 586 crores
- EBIT margin improves to 17.9% in Q2 FY17 with EBIT of Rs. 491 crores
Net Profit of Rs. 238 Crs.
- Net Profit @ 8.7% of revenues - up by Rs. 439 crores on YoY basis
Debt - Consolidated net term debt (excluding FCCB) at Rs. 6,646 crores; further reduced by Rs. 230 crores QoQ
- Working capital debt at Rs. 3,193 crores
- Order book and order intake: New order intake at 449 MW in H1 FY17 including key orders in Q2 from Oil India Ltd (52.50 MW) and 111.30 MW from corporates and small and medium enterprises (SMEs)
- Order book stands at 1,136 MW valued at Rs. 7,165 crores
- Consolidated customer advance of over Rs. 1,000 crores
Key highlights:
1. Rating agency CARE has upgraded Suzlons investment grade credit rating to BBB from the earlier BBB-. The rating has been assigned to Suzlons outstanding banks facilities as well as for the proposed working capital enhancements.
2. Solar divestment update
3. Milestones and recognition
