Suzlon delivers 205 MW volume with 15.3 % EBITDA margin

Suzlon Group has announced its results for the first quarter (Q1) of financial year 2015-16 (FY16).

Mr. Tulsi Tanti, Chairman, Suzlon Group said: “Our Q1 performance reflects our turnaround journey. Our strategic vision incorporates the government’s renewable energy target of 175 GW by 2022 and the conducive policy landscape.

With our technology pedigree, comprehensive product portfolio and over 14GW of global installations, we are well positioned to seize the market opportunities in India and other core markets. We introduced the next generation turbine, the S111 - 2.1 MW for the Indian market that is specially designed for low wind sites generating 20% higher energy compared to S97. This year, we expect to supply 100 turbines of the S111. Our pan-India presence and 1700 customers across all segments give us the competitive advantage to enhance our market share.”

Mr. Kirti Vagadia, Group Head of Finance, Suzlon Group said, “We demonstrated strong operational performance after addressing our liquidity challenges and delivered strong EBIDTA margin of 15.3% on 205 MW in the first quarter. Q1 witnessed significant reduction in debt and interest costs.  Our key priority is to execute strong order book of 1107 MW and maintain momentum in the order intake.”

Key Updates:

1. Financial Performance:

Revenues

• Suzlon Wind Rs. 1542 crs in Q1 FY16
• Delivered highest quarterly volumes (205 MW) in India since FY12
• Operating  Performance
• Normalized EBITDA margin improved to 15.3% in Q1 FY16; EBITDA of  Rs.237 crs against negative EBITDA of Rs 224  in Q4 FY15;
• Normalized EBIT margin improves to 11.3% in Q1 FY16 with EBIT of Rs. 175 crs against negative YoY and QoQ EBIT

Debt

• Consolidated Net Debt (Excl. FCCB) down to Rs. 7,010 crs from Rs 14,821crs  as of 31^st March 2015
•  Interest cost down by 36% QoQ  

Liquidity

• Cash and cash equivalent in excess of Rs. 3,000 crs
• Strong liquidity position to capitalize on growth opportunities

2. Order Intake:

• Net Order intake at 188 MW, up 28% YoY, 69% QoQ
• Order Book stands at 1.1 GW worth Rs. 6,839 crs

3. Order wins:

• 90MW order by ReNew Power for project in Madhya Pradesh. Suzlon will install 43 WTGs of  S97_120m Hybrid Tower with rated capacity of 2.1MW each
• 99MW order win from Mytrah Energy project in Telangana. Suzlon will install 47 WTGs of the S97_120m Hybrid Tower with rated capacity of 2.1MW each
• Another order from ReNew Power for 90.30 MW project in Andhra Pradesh to install 43 WTGS of S97_90m hub height with rated capacity of 2.1MW

Key priorities for Suzlon Group:

• Focus on the Indian market as well as North America, China and Brazil
• Focus on leveraging technology to reduce cost of energy
• Remain focused to deliver best-in-class service
• nvestment to further build our wind project pipeline